Expanding Your Business? Crucial Strategies for Company Relocation

Lizzie Weakley

June 29, 2018

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There are numerous reasons why business owners relocate. Expansion plans are a major factor in why many businesses opt to relocate. A business relocation may be a necessary step but it is also fraught with peril. There are potential disruptions to business which can have wide-ranging effects on your relationships with suppliers and clients. Before relocating your company it is important that you have a plan in place. In the following guide, we will go over a few of the most crucial strategies for company relocation.

Determine Concrete Reasoning for the Move

Every plan must have a rationale, and your company’s plan to relocate is no exception. Before you move forward with finding or building a new location make sure that your plan is fully formed. Figure out how much space you need, whether the new location is accessible for clients and suppliers, and other practical issues related to the move. These include issues like employee downtime, computer server installation, and many other potential kinks.

Figure out Total Relocation Expenses

The expenses involved with a full company move can be staggering to outsiders. Purchasing or renting a new building and filling that building with furniture and fixtures is never cheap. Hiring a full service moving company will also come out of your bottom line. These services make the move easier, but no one works for free. Once you embark on your relocation journey costs can quickly add up, so make sure you have them figured out before you start.

Compare Property Options

In order to get the best setup for your business it is incredibly crucial that you “comparison shop” the real estate your company will be moving to. Not every space is created equally and finding the right place to do business can be the difference between succeeding and failing. Before you enter into a contract for a loss, or purchase a new building, make sure that you are getting a good deal. A way to find out is to compare the rent/purchase price of similar properties in a 1 or 2 mile radius of the subject property. This allows you to determine a “comp”, or comparison between different real property.

Relocating can be stressful, but it does not have to have a negative impact on your bottom line. Make sure to plan ahead and do your due diligence before starting a move. In addition, keep your employees and customers informed of your plans and be willing to make arrangements accordingly.