Choosing the right premises for your business: everything you need to know
Category Commercial and Industrial News
When your start-up or small business starts growing and becomes too big for your home office or garage, it's time to invest in your first business premises. Whether you're going to be leasing or buying, there are some common features that you should be on the lookout for. 3Cube Property Solutions shares some expertise to help you find the right first premises.
Location, location, location
The old real estate adage of "location, location, location" applies to commercial and industrial properties just as much as it does to residential - but for different reasons. The factors that matter most will depend on your business and your industry, but foot traffic, accessibility, access to arterial routes, proximity to public transport hubs and security are all likely to play a role in your choice of industrial, commercial or retail precinct.
In their information pack about how the right or wrong business location can make or break your startup, Faster Capital points out that another factor to consider when choosing the right location for your startup is the competition. If there are many businesses offering similar products or services in the area, it may be challenging to get your foot in the door, especially if your business is in the retail sector.
Think about the amenities you'll need - both now and in the future
A particular warehouse in a business park may seem ideal for your business's current needs. However, if you are planning to expand your enterprise in the short or medium-term future, it would be beneficial to consider what your business may need in the future. Arguably the most important commodity to consider is space. Start by assessing how much space you need for your current operations - and consider potential growth as well. Your business may have diverse space needs as well. Perhaps you are currently a small manufacturing operation, but as your business grows, you may consider hiring a marketing division or a human resources department - which would necessitate an office component as well as warehouse space in your premises.
Consider your budget carefully
While your premises is undoubtedly one of the most important aspects of your business, it's important to balance cost with value. Avoid overspending on premium locations and consider hidden costs like maintenance, utilities and taxes. At the same time, however, it's important to choose premises in a location that reflects your brand. For example, an industrial area is unlikely to be the right location for a high-end luxury retailer.
Seek a professional's advice
Consulting with a property practitioner can provide peace of mind that you've chosen the right premises - or guidance if you have not. Their insights into the market and knowledge of the areas in which they work can help your business secure premises that will enable it to soar.
Four important considerations when choosing your business's premises
1. Parking and yard space
First impressions count and if customers are coming to your premises, you need to ensure that you have ample parking and suitable surroundings. Depending on the nature of your business, you may also need to factor in space for trucks to manoeuvre outside your premises.
2. Client interactions
If you will be hosting events or welcoming clients to your premises, consider the space you'll need for this. This may include a reception area, consultation spaces and even conference rooms.
3. Equipment and stock storage
Consider the tools, machinery and stock that you will need to keep on site - and how these needs may change as your business grows.
4. Number of employees
As time goes on, your business will grow and your staff headcount will likely increase accordingly. Ensure that you have adequate office space to expand without needing to relocate.
3Cube Property Solutions specialises in finding businesses the right premises. If you're a start-up (or an established business) looking for the right industrial, commercial or retail property in Gauteng or the Western Cape, get in touch and let's talk.
Author: 3Cube Property Solutions
