How to choose the location of your business?

How to choose the location of your business?

When starting and developing an activity, the choice of a location is essential, both for the commercial appeal and for the proper functioning of the business. But what are the criteria to consider to select the most suitable location? Flow, customer profile, location, accessibility, surface area, competition... Find 7 tips for choosing the right location for your business.
1. Flow
The flow of mobility, both in terms of passers-by and cars, is a decisive criterion for choosing the right location for your business. For example, within a city center, from one street to another, the flow of passers-by can vary significantly. And, therefore, directly impact the turnover of your business depending on its location.
In this case, several elements must be checked to analyze the nature of the flow:
Is it an exclusively busy street?
Is the room located in the heart or at the end of the street?
Are the sidewalks wide enough for potential customers to stop?
Are there elements that can impede the circulation of passers-by or draw their attention elsewhere?
This issue of the flow of mobility is just as essential for companies that are more serviced by car. The flow analysis approach remains the same:
How fast do the vehicles travel?
What is the direction of traffic?
Do drivers have the ability to slow down, watch the trade?
Can vehicles park easily?
2. Customer profile
Another extremely important point when choosing the location of your business: the customers. And, more specifically, the profile of customers frequenting the area where the premises are located:
people living in the place or workers, people passing through;
middle age ;
couples or families;
purchasing power.
Check whether this clientele is likely to vary significantly depending on the hours, days, or even seasonality. Finally, looking at demographic trends over the medium and long term can also be a very good indicator.
3. The type of area
The choice of the zone will be dictated by your sector of activity. This is one of the main criteria for choosing the right location for your business, as it will have a direct impact on its attendance.
For example, if you want to open a ready-to-wear store, it will be better to target a city center or a commercial area. Conversely, for an industrial or transport-related business, it is more advisable to turn to an industrial area, located on the outskirts of cities.

 

 4. Accessibility
This criterion is, in a way, directly linked to the previous point and must be taken into account to choose the location of your activity. Accessibility concerns both your customers and your suppliers. For the former, it is advisable to check that the company is easily accessible, by a pedestrian route, by road or by public transport. Similarly, if you are located on the outskirts, parking options can quickly become a determining factor.
The same goes for your suppliers. If you have a wholesale business, it is not necessary to set up in a city center. This would be counterproductive, especially if you have to load and unload trucks, for example.
5. Visibility
A well-established company is a visible company for its customers. Again, this criterion should guide your choice of location. Check if the commercial cell and especially its storefront are sufficiently visible, from far and near, or from the other side of the road.
Give particular importance to the length of the window: the smaller it is, the less visible it will be. Likewise, be careful of exterior elements that can hide the front of your business, such as trees, signs, street furniture, glass containers, a bus stop, etc. Finally, it is interesting to know that a street corner location can be very advantageous, especially in the city center, because you can be seen from two arteries.
6. Competition
This criterion is very important in choosing the location of your business, for good or for bad. Indeed, it can be complicated to set up and, above all, to develop in a geographical area where there are already many competitors. Conversely, it can be very interesting and stimulating for your business.
Overall, the commercial environment must be taken into account. For example, the presence of a large brand in the same street as your company can be very positive, create a dynamic and boost the frequentation of the places.
7. Surface area
Finally, you should turn to a room large enough for your activity. Premises that are too small can be a hindrance, not inviting customers to enter your store and hindering the proper development of your business.
It is therefore necessary to find the ideal and coherent surface, according to your budget – the rent you wish to devote to it will necessarily not be the same –, the desired sales surface and that dedicated to stocks.