The U.S is home to several famous entrepreneurs and their businesses. Nevertheless, no matter how thriving a business is, moving it to a new place is one of the most daunting tasks that requires proper planning. You have to keep in mind different factors while relocating your business. You have to take care of the various aspects that can impact your future progress from location to cost. As a company owner, you also have to consider the impact of moving on stakeholders and your finances. We move from one place to another, switching jobs or changing houses to upgrade ourselves at some point in our lives. Similarly, to make progress and for better growth prospects, a time comes when you have to move your business.
Every employer has different motives to relocate. You can move from one state to another or from suburbs to downtown. Also, opening another office branch for business expansion comes under business relocation. So, moving businesses does not necessarily have the same meaning. You should also understand that shifting all your office contents to another place is not cheap. Thus, having a proper budget is mandatory. Let’s see what key aspects you must consider when relocating your business.
Booking a Storage Unit
You may find it difficult to move your belongings at once to a new workplace. Renting a storage unit might be a good idea. Ideally, this should be as near to your new location as possible. For example, if you move to Boise, Idaho, research the local storage facilities and use the best Boise ID storage units you find to keep your belongings secure. It will spare you the hassle of adjusting your valuables at a new place in a limited time.
So, booking a well-protected storage unit is the first step you must take while relocating a business. For your satisfaction, acquire complete details about the storage facility where you plan to keep your belongings. You must ensure the storage unit has foolproof security measures to keep your stuff safe from any natural disaster or potential security threat.
One of the most important considerations while moving a business is the overall cost of the entire procedure. It is never easy to manage hidden expenses involved in the company’s relocation. Firstly, you have to calculate the total cost of moving to another location. You should know that relocating the office of 1000 employees will be more expensive than moving a 100 people office across the town.
You must analyze how the new location’s overhead costs will impact your operations in both situations. It includes things like mortgage payments, shipping, wages, and utilities.
You must know that the prices of commercial properties vary in different states. For example, if you are planning to move from Los Angeles to New York, the rent of your office can go sky-high. So, it is better to know about the cost structure of the place where you are planning to set up your business. It will help you manage your finances accordingly and prepare a suitable budget for it.
Everyone moves their business with the sole aim of grabbing better growth opportunities. It would help if you had a clear idea of how your business’s new location will help you accomplish your goals. For example, if your business is accelerating at an incredible pace, you may want to increase the number of employees in the next two years. So, you have to ensure that the new place can easily manage so many people. As mentioned above, there is a particular motive with every business relocation. So, you have to be one hundred percent sure that the new location will positively contribute to your business objectives.
Also, you should know whether a new location can provide your desired labor pool or not, which will help in your growth. You do not have to be worried if your business growth is dependent on professionals like accountants, marketing managers, and lawyers. So, you have to pay attention to such factors keeping your new location in mind as you have to hire new resources mostly from that place.
Customers are the lifeline of any business as they govern your company’s financial health. Therefore, you should assess your relocation’s impact on your current customer base. For example, consider a rise or decline in the overhead costs depending on how far or close you move to the customers.
If your business is hugely dependent on two to three customers, you must assess the risks associated with relocation. If you are moving closer to your customers and it will save your expenses, stick to the decision to move without any hesitation. On the other hand, if you want to expand your customer base by relocating and can afford to take this risk, you should go for that. Remember that you can afford to take a calculated risk that can result in long-term progress in the business.
While moving from one state or city to another, you should know the tax situation there. Your future profitability entirely depends on the taxes of your new location. Some companies receive tax credits for having offices in specific locations, so you should consider these tax impacts during relocation.
You have to analyze the impact of your business on a specific community. Relocation can have an impact on your community. For example, if you run the company in a small town of 20,000 people, your relocation can cause a decline in the availability of jobs. Therefore, it is the ethical responsibility of all businesses to reduce the community impact linked with relocating a company.
So, being a responsible business owner, you have to do the same to improve your company’s reputation. It may also help you gain the credibility of your new customers.
There are plenty of factors involved in relocatinga business that you can not afford to overlook. From cost to taxes, customers to community impact, you have to focus on every single aspect that can drive your business growth in the future. Business relocation requires sound planning, and if everything goes according to plan, you can achieve your targets quickly. The proper execution of your business relocation plan will lead to better revenue and ROI that will help you fulfill your vision.