IS LOCATION IMPORTANT IN BUSINESS?

How To Start A Farming Business:

Part 2 Location

Site selection is the first step in starting a farm/business when the crop to be grown has already been decided. It also includes the selection of the right geographical location but first of all consider :Location is the place where a firm decides to site its operations. Location decisions can have a big impact on costs and revenues. A business needs to decide on the best location taking into account factors such as: Customers - is the location convenient for customers?

Accessibility

Any location you consider should be easy to access. Look for places that are nearby one or more major roads (in good condition) and are easily served by public transportation, if applicable. If it makes sense for your brand, also research storefronts that are within walking distance of neighborhoods or high-rise apartments. (Note: if you are currently in a location with a lot of pedestrian traffic, make sure you have an amazing signage display to draw those potential customers inside!)

Besides being easy to access, consider how accessible other places are from you. Consider a location that’s near other stores as well as places that people visit regularly, such as a grocery store, bank or post office.

Also consider a place that is easily visible from the road. Having your sign visible to traffic is constant advertisement for your brand.

Competitors

Check for compatibility with nearby stores when researching a site. The ideal location will have neighbouring stores with a similar target audience that sell products or services that complement what you offer. For example, as a well established farm, a great location for you might be next to a fruit and vegetable market. If you’re a record shop, consider finding a location near a music venue or vintage store. With this strategy, you are helping create a bigger retail experience than you could offer alone.

Similarly, avoid setting up shop near direct competition, especially if they are a more established brand. If you do end up by a competitor, you will have to not only share the market, but will also need to come up with a competitive advantage to draw customers to you versus the other.

Costs

Beyond the base rent (if you are renting), consider other costs that may affect your bottom line. note how much will it cost you to contribute to maintenance , utilities and security? If the location is remote, how much more money will you need to spend on marketing? Is the location ready for move-in, or will it require significant repairs? These costs can quickly add up and make a seemingly cheap option into a money pit.