Are you moving your business? Maybe it’s time to expand your office space or upgrade to a more favorable location. No matter the reason, relocating your business can be a long and stressful process without the right resources. Before making the big adjustment, it’s important to carefully consider all of the factors involved with relocating your business.
Things to Consider When Moving Your Business
Cost
One of the most obvious factors to consider before uprooting your business is all of the hidden secondary costs involved. You’ll need to weigh pros and cons, and possibly make a compromise between business expenses, target market and quality of life for employees.
First, you’ll need to calculate the cost of moving from one location to another. Then, assess the overhead costs associated with your everyday operations and the impact moving will have on them. This includes your lease payments, utilities, taxes, shipping and wages, which may vary location to location. Lastly, don’t forget to consider any indirectly related costs, such as hiring or training costs, to avoid any big financial surprises
Staff, Customer and Community Impact
It’s important to consider the effect moving your business might have on your employees, partners, customers and community. It’s a good idea to gather feedback from your staff and customer base about move concerns, including commute time, accessibility and parking. Depending on how far you plan to move and your business structure, this conversation might look very different for some businesses than others.
Relocating your business may also have a large impact on the community and other nearby organizations. Before moving, you should assess the community impact associated and prioritize minimizing impact.
Growth
When relocating your business, it’s essential to think about how your new location will impact your business over the long term, not just short term. How will your new location accommodate growth or expansion? Not only should you consider whether the physical space supports that growth, but also the labor pool in the area you plan to move.
How to Relocate Your Business
Utilize this checklist for relocating your business to ensure you don’t miss an important step!
Notify Your Staff
First, and most importantly, notify your employees that you’re relocating your business. Keep a respectful, open line of communication with your staff, and ensure that they are updated each step of the process. Accommodate your employees, giving them enough time to decide whether they wish to stay with your company or find new employment. If they decide to move with you a long distance, be prepared to discuss any relocation packages or financial assistance you may be able to provide.
Notify Authorities
Be sure to contact federal, state and local agencies to notify them of your relocation. The IRS will require you to fill out a change of address form. If you’re moving out of state, contact your state’s business division and taxing authorities! You may also need to change company legal documents, such as articles of incorporation.
Gauge Future Talent
When you move your business, you have to plan for the potential to lose some team members. Get familiar with your new home’s talent pool and begin to network. College towns provide a wealth of new, young talent, while some cities might provide more qualified and experienced talent.
Deduct Business Moving Expenses
Expenses associated with moving your business are tax deductible. This includes costs to move equipment, supplies and inventory. Find out which moving expenses you may deduct, and which you can’t.
Connect with Local Business Organizations
Gather information on the business climate for your industry in your new location. Inquire about state laws, policies and regulations that might affect your industry. Engage with local businesses and leaders in the community