You know you want to open a business of your own, but you do not know where to set up shop. What considerations should you focus on most?
The U.S. Small Business Administration explains how to choose the right spot for your business entity. Use their experience and insights to your advantage.
Company expenses specific to a region
Pay close attention to region-specific commercial costs as you assemble your business plan. Geographic location affects everything from property values, minimum wage and salaries to rental rates and commercial insurance rates. Familiarize yourself with a zip code’s expenses as you check out its business properties.
Local and state taxes
While exploring costs specific to different regions, look into local and state taxes. These include sales, property, income and corporate taxes. Some areas do a better job welcoming specific businesses and industries than others, creating favorable taxes to attract entrepreneurs. Check out local and state government sites to understand how much you should expect to pay if you set up shop in a specific neighborhood.
Local zoning requirements
Before renting, buying or constructing a business site, investigate local zoning requirements. After all, you do not want to build a business in a zip code zoned for residential properties. By performing your due diligence, you could discover zoning ordinances forbid you from operating a specific business type in specific areas. Even if feel it makes more sense to base your business out of your home, you could still run into roadblocks because of zoning requirements.
A business enterprise’s physical location may either help or break it, and the same applies to commercial tips business owners use.