Businesses rarely perform exactly as projected. Some can expand faster than expected, whilst others can take a bit longer to develop to the next stages of success. That’s why it’s important to ask yourself some key questions when choosing a commercial property:
- Is our headcount likely to grow significantly in the next five years?
- Are we likely to need additional storage, retail or productivity space over the same period?
Now, you can start looking for properties that match those projections. Factors to consider include:
- Is there room to expand within the building or development in the future?
- Does the length of the lease align with your business plans?
- Is there flexibility, such as a break clause or a review available?
5 tips for making the right commercial premises choice
1. Know what your business needs next
Whether you’re already in a business premises or you’re working from the spare room or garage, there is usually a good reason behind your decision to relocate.
Most of the time, the need for additional space is the primary reason for relocating. More room can help improve productivity and create a better working environment for employees, as well as provide greater flexibility for future growth.
Sometimes location is the driving factor. Is your current location holding you back in terms of accessibility for staff, customers and partners? Does your business require improved infrastructure? Or are you happy with your current premises and you’re now searching for additional locations to expand into.
2. Be realistic in your projections
Balancing today’s requirements with tomorrow’s possibilities is an important part of making a decision on which commercial property will be best suited for your business. While it’s important not to overestimate future needs, as more space comes at an additional cost, it’s just as important that you do not limit your business’s growth. If you are projecting to continue to grow it’s probably worth taking on a property that’s a bit too large for right now, but will save on time, disruption and relocation costs further down the line.
3. Consider a new location carefully
Finding the right commercial premises in a new location requires careful planning, and different types of growing businesses will have different priorities.
For those requiring a larger office space, they will need to consider ease of travel to a new location for their existing employees, whilst also finding a location that can open them up to a wider talent pool as the team expands. Businesses looking for larger industrial premises should consider transport connections, delivery routes and proximity to key suppliers and customers.
For retail and hospitality, growth may involve moving to a larger unit within the same town or it might mean opening additional sites in new locations. If you are looking to stay in the same town, a move could provide greater visibility, increased footfall and improved access for customers. If you are searching for premises in new towns, understand the local demographics to ensure your business continues to reach your key target market.
4. Do logistics matter?
A lot of businesses could be run from anywhere, but if you’re in the retail, manufacturing, catering or service sector, you might need a location that’s close to suppliers and customers, and your current location might happen to be in the sweet spot.
Map out your key business relationships to assess travel times, this will help you to identify which areas you are best to start your search in for a larger commercial space.
5. Working out the long-term value
Relocating is an investment in the future of your business, so it’s essential to work out whether a move will deliver value over the long-term. Will the move create greater opportunities for efficiency, increased productivity, access to a wider talent pool, a better customer experience?
Sometimes, it’s also worth exploring if your current premises might be more adaptable than you had considered, and the owners might be open to an expansion that you hadn’t previously discussed.
However, if a new location offers better opportunities, moving can be a powerful catalyst for growth.
When will you know it’s time to make the move?
We would say that there are two factors to consider when deciding whether it’s the right time to move: the immediate and the medium-term.
The most obvious one is in the here and now, when you and your colleagues are struggling to do your day-to-day work because you are lacking space.
That can manifest itself in cramped desk space, where staff feel they have no privacy or silence to do their duties, and there are conflicts over electric sockets, chairs and meeting rooms.
If you’re in the supply business, it can mean not having enough warehousing space to keep the items that sell regularly, so you’re constantly having to make small orders. In retail or hospitality, it’s turning customers away at peak times, when you could be making the most money in a daily or weekly cycle. It’s simply time to move.
The second sign is more subtle, and if you manage it correctly, it can prevent the above scenario from ever happening. It comes through thoroughly analysing your situation and what it promises to look like over the next 3–5 years. In other words, you might not be struggling now – in fact, everything might feel just perfect – but it would only take a small burst of growth to start making the gears grind.
It’s really important that you proactively plan your relocations ahead of your growth. Waiting until it has happened means you’ll be making decisions under pressure.
And while you’re waiting to move, you’ll have a phase where your business is not running at full speed, and you could be missing out on opportunities or profitability that could have helped your longer-term trajectory.
Conclusion
Relocating your business isn’t a decision that should be taken lightly, and it deserves careful planning.
When there’s a case for moving based on your growth plans, and the sums have been checked and double checked, relocating can open up your business to its next phase of growth.
If you’re in the London or Thames Valley area, and you’re looking for new business premises, we’ve got years of experience helping businesses find the perfect property – and hundreds of satisfied customers to show for it. If you think it’s time to make the move, take a look at our current properties, and get in touch so we can help you reach your business’s next stepping stone.