The revolution in internet and mobile technology has driven business from the physical world to the virtual world. Nonetheless, to manage its back office functions including finance, accounting and human resources, every startup must have a presence on terra firma. When it comes to selecting a brick and mortar location, there is no magic mantra. But, in building the business, the criticality of a well located establishment warrants that key elements must be kept firmly in sight.
There can be no doubt that starting up and keeping any business running needs money. It makes great sense to set up your business where the financiers are housed. That makes one-on-one meetings and conferencing convenient. All said and done, the entrepreneur does have to sell his dream to the prospective financiers and that may call for frequent meetings.
Business Friendly Environment
More than one startup has been carried away by talk of tax breaks and subsidies. But far more important than that, is the startup environment. Focusing on the ease of doing business in terms of access to regulatory information, single window licensing and approvals, a professional education infrastructure that could be tapped into for upgrading not only the skills of the work force but also to add value to the knowledge of the budding entrepreneur, and supply of human resources with a sound work culture will pay far richer dividends in the long run.
The weather and the commute are often regarded as the decisive elements in assessing the acceptability of a location. But, this perspective looks not too kindly on other aspects such as education, medical facilities, recreation venues and cultural aspects including theatre, cinema, etc. The start-up founders and their work force would doubtless have family demands to fulfill. A contented family life has an exponential effect on employee productivity.
A meagre budget is a given for most startups so limiting cost is an uber important criterion. Competitiveness often comes down to selling your product or service at a price point dictated by a demanding and competitive market. The importance of economizing costs for everything – rent, electricity billing, stationery, et al can hardly be over-emphasised. And the cost of living could have a cascading effect on the pay packets that have to be handed out every month end to employees.
Search for locations that boast a startup culture that has had time to mature. After all, if startups have already set up shop and are doing reasonably well, even if not actually flourishing, there must be something good about the location. Be prepared for eye-ball to eye-ball contact with competitors. Entrepreneurs must perform their very own due diligence and talk things over with businesses that are struggling. This will help identification of the problem areas and help in ensuring that they have the wherewithal to triumph over the adversities that have thwarted the progress of the slow-coaches. Navigating the business to a good location is not simply about the here and now but equally about the future. Finding a business friendly headquarters calls for dedication to the cause, commitment and an eye for detail. The entrepreneur who makes the right selection will be rewarded many times over.