Moving your business can be a great way to save some money, get improved facilities for your employees, or make a better impression on your customers.
However, moving premises isn’t cheap! It’s important to plan your move carefully so that you can be sure you are making the most out of it.
Buying or renting?
If your company has been growing and expanding and you have some investment capital, it is worth considering purchasing your business premises rather than renting them. Buying a property is a significant long-term investment, and it means that rather than lose your rental payments each month they will be going towards an asset that you own. You will also stand to benefit if property prices go up, so if you’re smart about the property that you buy it could actually make you money in the future.
That being said there are downsides to owning your property as well. Rental payments are often fixed, whereas mortgage payments will fluctuate with interest rates. It’s also worth noting that capital that you sink into property can’t be used to invest in your business elsewhere, so it’s really worth thinking about what your plans are for the next few years before making the decision to buy a business property.
Make a budget
It’s important that you make a budget including all of the costs of the move. This includes things like:
- Lost working time for employees while they transition between the old and the new properties.
- The cost of the physical move. It’s worth getting quotes from several commercial movers near me to make sure you’re paying a fair price.
- Business rates and rent or mortgage payments for the new property compared to your old one.
- Legal fees.
Be absolutely sure that your new premises are affordable in line with your projected earnings before agreeing to anything.
When you’re thinking about where you want your new premises to be, there are a few things to think about.
- Foot traffic. Are you a retail business relying on foot traffic to get you sales? If so, a town centre location is important. If not, you can probably move somewhere cheaper!
- Demographics. Who is your target customer base, and where are they likely to be based? This is where you need to be.
- Parking and accessibility. If you have a large number of employees, it’s important that they can all easily get into the office. A city centre location might be great for some, but for people who are commuting in they may actually prefer somewhere a little further out of town where they can park easily.
- Image. What does your chosen site say about your company? Be sure you are sending the right message to people who visit you.
When you’re choosing your property, think about what you’ll need in five or 10 years’ time, as well as what you need now. Moving is expensive, so if you think you’ll need a lot more space in the near future due to expansion then it makes sense to cater for that now.
If you want to put your own stamp on your office building, make sure that you are allowed to do the things you want to. Landlords aren’t always happy for you to do anything you want!
It’s also important to factor the cost of renovations into your budget. If there is a building that needs less work, it could be worth exploring as this means you won’t have to enter into a lengthy renovation project.