4 Tips for Choosing the Right Location for Your Connecticut Business
Oct. 22, 2020
Although more and more companies are conducting business virtually these days, the location you choose for your business can have significant consequences. Your location has the potential to literally make or break your business. Choosing the wrong location can lead to financial problems, legal headaches, and fewer customers. However, many entrepreneurs and new business owners underestimate the importance of choosing the right business location. When deciding where to headquarter your startup, make sure to consider the following tips.
Focus on Increasing Customer Accessibility
You have probably already spent a great deal of time thinking about how to price your products and services. However, have you considered how accessibility could impact your profitability? Many shoppers are willing to pay slightly higher prices if a store or business is easy to get to or adjacent to an establishment they are already planning to visit. When choosing a location, consider how many of your customers will arrive on foot versus the number of customers who will drive. Make sure not to forget about parking concerns.
Consider the Impact Your Location Could Have on Investment Opportunities
If you are starting a business that will not involve customers physically visiting your location, you may assume that location is not an important factor to consider. However, it is important to think about how the location could influence the relationship you have with strategic partners and investors. Does your location encourage or discourage investors?
Do Not Forget About Zoning Laws
You may find a location that seems perfect until you realize that the location is not zoned for the type of business you intend to start. Do not sign a lease until you know for sure that you will be allowed to operate your business in this location. Zoning issues can lead to heavy fees, wasted time, and even civil charges.
Think About Tax Consequences
Taxes can vary significantly -- even within the same state. You will need to consider how property tax, sales tax, income tax, and other taxes will impact your bottom line. What are the tax advantages of renting versus purchasing a property? Are you willing to increase your prices in order to make up for a slightly higher tax obligation?
Contact a Fairfield County Business Lawyer
If you are starting your own company, it is important to seek professional legal counsel before it launches. Contact The Law Offices of Peter V. Lathouris, LLC for help with business entity formations, contract review and drafting, and other business law needs. Call our office today to schedule a free consultation with a Stamford, CT business law attorney today.