The pandemic caused a lot of businesses to file for bankruptcy due to low sales. On the other hand, businesses that remained open shifted to online selling since their target market also went online. Due to this, some businesses had to scale down their physical location to reduce operating expenses.
Others had to move to a different location with a lower rental rate. Moving to a different location can be challenging, especially if the business has stayed in its original location for a long time. In this situation, the business should consider several factors to minimize the effects on its operations. Here are the things a business should consider before it finalizes its move to a different location.
Cost of Relocating
The first thing the business should take into account is the cost of relocating. Knowing the total cost of relocating can be complicated, especially if the business has been operating for a long time already. Aside from the cost of hiring a reliable, professional mover, businesses should also consider the equipment it needs to disassemble before moving. If a business has been operating at one location for decades, it may have a lot of equipment to take care of before transferring to a different location.
The expenses that the business should consider include the lease expense in the new location. More often, landlords require lease deposits before allowing a business to set up. The business should also consider improvements in the new location. Additionally, moving means interruptions in the routines and operations of the business. It should take these expenses into account before moving to a different location. If the business has no funds allocated for the move, it may have to postpone it until it sets aside funds.
Setting Up the New Office
After the business sets aside funds for the move, it can start planning for it. The plan should take into account the work it requires to set up the new office. It should make sure the new location is suitable for the business since it can affect its performance and productivity. It should have enough space for onsite employees to allow them to work safely and without any interruptions. With the pandemic yet to end, it should be big enough for the employees to practice social distancing.
The new space should also be suitable for all the equipment the business uses for its operations. It should also promote efficiency so employee productivity will not suffer in the new location. If the company has any specialized equipment, it’s best to get the services of an industrial electrician to hand the electrical works during the transfer. These professionals typically have an idea of whether the system can handle the electrical load required by the equipment.
Additionally, the business should also look for a location that is accessible to both the employees and its customers. It should be accessible to both private and public transportation. This is important to ensure the business retains its customers. It also encourages employees to stay with the business even after it moved to a different location.
The business should also consider the impact of the move on its customers. As indicated earlier, businesses should look for locations that are accessible to private and public transportation. If the location is only accessible to private transportation, the business may lose customers who commute to its competitors.
Moreover, the business should also consider the strength of the brand in the new location. It may have a good amount of work ahead of it if the brand is not well-known in the new location. In this situation, the business will have to rely on its digital marketing team to increase its brand identity in the new location.
Effects on Growth
The reasons for moving to a different location can include cutting down on costs or expanding the capacity of the business. Whichever is the reason, the business should expect the move to affect its growth. The effect may be positive or negative depending on how the business handles the move.
For instance, if the business finds a new location that does not have the things it needs to grow, it’ll be challenging for the business to expand. On the other hand, if the location has everything the business needs, it can readily expand and grow.
Due to this, businesses need to take into account the business environment of the new location. It plays a major role in its growth and expansion.
If a business plans to move to a different location, it should consider the above-mentioned factors to reduce disruptions to its operations when it moves.