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Size is a huge factor when it comes to selecting the right location for your business. It is crucial that the space you choose can accommodate your day-to-day operations. If your chosen space is too small, it may hinder your operations. On the other hand, if it is too big, you could be shelling out more costs. Here are some points to consider before you decide on how big you want your business space to be:
Nature of Business
The size of your business location will depend on its nature and how it operates. Retail stores generally require large spaces, considering the amount of goods displayed and the number of people visiting. On the other hand, service-related businesses do not necessarily need large spaces given its nature.
By identifying the space size needed for your business, you will be able to operate efficiently considering that it won't be too cramped or too spacious for your business needs.
A good basis to start with when it comes to identifying the ideal size for your business would be to refer to the industry standards. Research on the typical space sizes used by your competitor in the industry to get the average ideal size that you could use as a reference for your business space size.
The size of your business location also depends on your budget. Determine how much you can allocate for rent and utilities beforehand in order to ensure that you will not overspend on your business location. It must be considered that rental rates vary from city to city. To have an idea regarding office rental rates, check out our latest market briefing for 2023.
Your business location is an investment. Consider your long-term goals for future growth when determining the size and location of your business. If you foresee your business growing in an area, you may want to consider leasing a larger space, to expand your operations without the need to relocate.
It’s always wise to evaluate your business’ competitive landscape first. Who are the major players in your target locations? Can you compete with what they offer? What else can you provide? These questions may determine the optimal retail size.
Businesses need to consider the macroeconomic factors that may affect their business. Take the pandemic as an example: government-imposed lockdowns around the world prevented people from going outside of their homes frequently. This led to the rise of delivery services and E-commerce, which led to food and retail businesses leasing smaller spaces enough to efficiently operate their businesses.
Find the right business location that fits your business goals and needs today! For more information and inquiries about our real estate services, contact us at: (+63) 917-565-3547 or email [email protected]