The pros and cons of business relocation
Business relocation is now a much more viable option than it was prior to the development of the internet and other communication technologies.
Any business can now move to a different location with the minimum of fuss, making the workplace in Britain a far more flexible place.
Becoming more mobile opens the option of expanding the market, enabling a business to bring in new clients and new ideas, as well as new finance. Recent research suggests that business investment is a growing trend once again and companies need to be in a position to make the most of this.
Compared to elsewhere in the globe, the UK is relatively small so relocation is not as difficult as it might seem – although a number of challenges still need to be addressed.
Looking after the key assets
Staff are an important part of any company, and relocating can dramatically alter livelihoods if they suddenly have to commute long distances, meaning careful consideration is needed.
Meanwhile, lower rents and business costs may be incurred in other parts of the country, meaning it makes financial sense to make a move.
However, an awareness of the relative markets in the location where a business is moving to is also important as there could be a lack of demand in certain places.
If this is the case, it is unlikely that the company would be successful and corporate recovery procedures could be required.
There can be a number of reasons for changing location, but business goals are often one of the leading factors.
Considering the impacts
If developing a business requires a change of base then it’s important to take into consideration everything that could be affected.
It’s also important to think if different options may be available, especially where finances are concerned.
In instances where the positives of a move outweigh the negatives, there is no longer a need for companies to wait around.
Moving a business online means there can be fewer ties to sever when a move takes place, improving the flexibility and freedom that a company can enjoy.
If moving continually boosts business then it is just one more aspect to consider in the long-term vision of building a successful company.
By Phil Smith