We recently wrote about finding a good location for your condo or house, as well as what locations to avoid for a residential investment. But the same logic does not always apply when it comes to finding a good location for a commercial space.
Choosing a location for your commercial business is often a big commitment. Of course you want your business to do well and last for many years, and having a good location can be an integral component to its success. This is not to mention the fact that as a business owner, you will be spending a lot of time there so should be very happy with it from the beginning.
Before you rent commercial space for your business, ask yourself the following questions about the property you are interested in:
What condition is the building in?
It can be difficult to maintain a building that is used for commercial purposes, especially if the business is open seven days per week. Check for the condition of the property and consider how long it might remain in the same condition, or if it seems that some things are falling apart. Repairs can be costly and time consuming, not to mention may set back your business if they at all interfere with your customers. It’s not just about the appearance of the building either. Look into whether the existing utilities-lighting, heating and cooling-meet your needs or if you will need to do any electrical rewiring, ventilation cleaning or plumbing work.
Does it have all of the space you need?
It’s not always just about the space that the customers will see. If it’s a restaurant, think about how comfortable it will be to work in the kitchen. It’s also best to consider if you expect the business to grow. This is important to consider if you need to sign a multiple-year lease. You never want to get stuck keeping your business at a plateau because you can’t fit more equipment or people in the space.
It’s also important to study the amount of storage space that comes with the business. If you decorate for the holiday season, all of that stuff will need to be kept somewhere. Extra chairs in case one breaks or somewhere to keep a physical filing system (as a backup to your digital storage). You need to think of this in advance so you don’t run into an issue or not being able to execute the layout that you want because you didn’t anticipate needing storage.
Is the building in a commercial zone?
Hopefully the property seller will educate you on the zoning laws, but you must always, always do your due diligence and investigate these logistics yourself. First, make sure that businesses are allowed in the neighborhood to begin with (don’t assume that because a business is currently there that the area is ok. Laws can also change!). And just because one business is allowed in a space does not mean that your particular business, whatever it is will be allowed. If you are looking to rent commercial space, especially in a foreign country like Thailand, it is always in your best interest to work with a lawyer who speaks the local language and can assist you.
Does it fit the nature and lifestyle needs of your business (and you?)?
Location is not only important because it allows customers to easily visit you, it’s also important for your own comfort with the terms of the lease. You don’t want to get stuck signing a long lease only to get sick of the very long or annoying commute. The same thing goes for your employees who may use the commute as a reason to either work, or not work with you.
Is there enough in the area that relevant customers
will naturally find you? Is it a place people will naturally walk by? Will customers need parking? Are there competitors in close proximity? Or would you rather have it in a place that’s more secluded? Does the season affect the business at all? And if so, will it work in favor of, or against the location you are considering?
How will your marketing plan be affected?
If you are not planning on doing much marketing, you will need your business to be in a very prominent location that people constantly walk by. If you have lots to spend on marketing, you can get away with having your business in a less popular area. A big mistake that many business owners make when they rent commercial space is spending their entire budget on rent and not having anything left for marketing. There’s no point in having a brick and mortar commercial location if no one knows you’re there!
Ready to start your search? You can click here: Find a commercial space in Thailand if you are currently looking for a place to house your business.
