Whether an old or new business, it can be easy for companies to think that relocating to a new base can solve the majority of their business problems. However, the probable causes of the problems first need to be assessed to determine if relocating is the solution. It’s important to know what problems can be resolved by moving, and also to understand whether moving will actually have a positive effect on the business. If your business is showing these signs, then it may be time to relocate your business.
7 Signs It’s Time to Relocate Your Business
1. Difficult to Employ Workers
More and more job seekers are now looking to convenience when deciding on their next career choice, mainly because public transport is slowly becoming a preferred choice of commuting and investing in a car continues to be an expensive lifestyle choice. If the office is currently isolated and appears to be a difficult place of work to get to, talented individuals may prefer to go to a competitor who’s located in the city center instead. Unless your company can offer perks such as remote working, it can be hard to attract the top talent who are looking for more than just progression and learning their role. Millennials in particular tend to look more for the whole package, taking every aspect on their next career choice into consideration.
2. Operational Costs
Unless a strict business plan is in place and future ventures are considered, some companies don’t always evaluate the full running costs for the business they’re starting. Where it might begin small, such as in your home, for example, there will be a need to expand in the future. When this is the case, other factors, such as hiring staff, trading with local businesses, etc., need to be considered as part of your business plan (which can sometimes be damaging to your budget if you’re not based in the right area). Particular areas will be more expansive than others, and if your current location is upping your operational costs, then it may be worth looking elsewhere.
3. Living Costs
Similar to how running businesses can be difficult in some areas, the actual cost of living in some areas can also have a major effect. There are some areas that are more affordable than others in terms of the cost of living and purchasing a commercial space. If the area in which you’re based has lower living costs, it generally means that renting costs are also rather low, so renting a commercial space could be fairly affordable. A benefit to this is that businesses can also offer lower wages because employees won’t need as much money to live well. Lower income taxes will also be a financial benefit.
4. No Space
As your business becomes more successful, expansion is required in order to meet the demands of your business. The numbers of staff will begin to grow, and more equipment may be required, in which case, you’ll need to consider relocating or expanding to a larger commercial space. It may not be ideal to relocate to whole new commercial space, so if you’re located in a business park or shopping center then it may be worth looking out for nearby spaces that are vacant. This can save both time and money. Alternatively, if you’re at a stage where relocating isn’t financially suitable, you can always consider remote working. Employees can rotate between working from home and in the office space.
5. Unhealthy Environment
There can come a point in time when the commercial space you rent becomes older and starts to become a rather unhealthy environment for you and your employees to work in. As buildings get older, they can begin to mold or windows may begin to chip, making it an uncomfortable environment for your workers to be productive. This can affect employees if they’re unable to work to the best of their ability, and it can hurt the business in the long run. If you find that the maintenance of the building is becoming hard to manage, it may be worth investing in a better commercial space elsewhere.
6. Changing Remote Working Intentions
If you find that you’re managing too many remote workers, it can be understandable to centralize them all in one location, therefore requiring a larger workspace and a need to relocate. Just remember that there is the option to rent out conference rooms or have conference calls over the web and phone call if you need to have your workers meet up regularly. Modern connection tools have made this easier, so relocating may not necessarily be needed.
7. Changes Within Your Industry
You know your business inside out and know what’s best for it, but have you considered the changes that are being made in the industry and what effect this is having on your business? For example, the location of your business has perhaps contributed great numbers for your business, but over time you’ve found that fewer people are entering the store and more are shopping online. This will be a sign that you may benefit from downsizing your business to focus more on online sales. Research your industry and consider whether your business is experiencing the changes that are happening.
There can be several reasons why you may need to relocate your business, but before making the decision, consider these factors. It can be a large commitment to relocate and purchase a new commercial space, so make sure that it’s a decision that will work out.