Time to make your move? Know what to consider before relocating
While many aspects of your business are within your control, you are generally at the mercy of the market environment. Factors such as demography, economy, technology, natural forces, and culture can all affect your business. If the market research you've gathered suggests that your current business location is not ideal, could relocating help?
There are different approaches you can take:
You can stay where you are, and make adjustments to the business to try and improve your potential for success. You might consider:
- Expanding online with e-commerce, or exporting
- Adding or altering product lines, offering new services, or changing your promotional strategy
- Partnering with a complementary business
You could relocate the business to an area with more potential, including:
- Access to new markets, land, buildings, and quality talent
- Better infrastructure for business
- Improved business climate (e.g. strong lending industry)
Things to consider if you're thinking about relocating
- Have you signed a lease or other contracts? Would it be possible to undo them if needed?
- What are the financial and logistical challenges of relocating (finding new space, hiring new employees, shipping inventory, arranging for new suppliers and/or distributors, etc.)? You might have to close your business temporarily during this time.
- What effects would moving the business have on you personally? How far is the commute to the new location? Are you prepared to find a new place to live, or manage operations remotely?
If you need help making your decision, seek advice from professionals. A lawyer with experience in business relocation can advise you on things like due diligence, regulatory compliance, contracts and more.
Remember, even if you move to a new location, you will still be in a constantly changing environment, and you will have to manage the risks that come with it. In the end, you'll need to weigh the pros and cons of relocating versus staying where you are. Look at the big picture, and give yourself lots of time to plan before making your move.