If you’ve already entertained profitable home business ideas, maximized your home based business opportunities and seen a level of long-term success, then you’re in a class of home business owners ready to scale-up!
4 Considerations For Home Business Owners Ready To Scale-up To The Next Level
If you have been running a successful home business out of your house, you’re probably starting to think about the future. You may be thinking about ways to expand your company — beyond your own personal property.
You may also be thinking about new marketing ideas, because probably built up reserve funds and savvy professional insights. The kind of people you could bring into your business for growth, and hiring a personal assistant has possibly crossed your mind. Maybe? 🙂
Perhaps most importantly, you’re considering the best type of workspace for you and your team. Relocating your home business to an office space is a big deal and is a milestone of your success.
If you’re working out of your home and stepping toward moving your business to a site of its own, this is an exciting step. But a lot of time and effort will be involved. So, home business owners: How to scale-up to the regular marketplace? Let’s explore the necessary details and optimal processes for best results below.
Location, Location, Location – Research The Best Place Of Business
If you’re going to move a business from your home, and into a traditional setting, where do you go? Where is the best location to ensure safety? What is the best location to attract customers with success?
Well, it differs from place to place, and you need to know the trends of your own geographic area and local business economy.
At first, taking your company international might be a bit much. Instead, focus on what you have around you, and focus on where vibrant business communities are located.
- What streets are the most crowded, day by day?
- What businesses have been around for years, while their neighbors have packed up and left around them?
- What office blocks receive the most foot traffic?
Three important consideration.
By answering questions like these, you can narrow your location search, weigh the best options in your local area. Capitalize on local business first, to gain a foothold in your own community. Once you’ve done that, you can think about additional physical expansion.
Each step will take time, so be calculated and don’t rush.
Save Money By Renting
If you are indeed planning to move your business out of your home in the near future, you’re probably already looking at real estate pamphlets and leasing signs. If you are in the lucky position to buy or rent space, you want to best value for your money and the most ROI for time and effort spent. Be mindful of your competition that may have been existing in the traditional marketplace for years.
It is important to be confident about your available cash position and ability to keep a reserve. You’ll want to save where you can and be prepared for yearly business cycles and unexpected drops in revenues. Don’t over-commit and sabotage yourself.
Commercial properties are typically a large investment and require more expensive maintenance. Landlords and business associations have expectations that impact your bottom line. At least at the beginning, it may be more advantageous to rent. Especially if you are juggling trial periods for some aspects of your business.
Look into all of your options and consider a temporary lease. Taking the risks of ownership off of your shoulders at the beginning will allow you to focus on key aspects of growing your business and your team.
Researching something like Bond Collective membership options could show you just how cost-effective a move like this could be for your previously home operated business. Many home business owners have successfully made their transition in this way.
The Right Size For Home Business Owners In Transition
The next step is to think about the size of your new location. Once you’ve discovered your optimal locale and your best advantage in the real estate market, you need to calculate the space needed to properly conduct your operation. Avoid workplaces too small or too big, because both of these elements defeat the object of expanding out of your home-based setting in a sustainable and sensible way.
Why do home business owners relocate out of their home? Simply, they run out of basic resources:
- Work space
- Work and family life balance
- Personal space taken by work supplies
You may even be annoying your neighbors with all of the stock boxes currently spilling out of your garage or extra traffic from customers and deliveries.
Find a space that could reliably hold 10 or more people. Home business owners interested in business growth will want welcoming space for new staff members.
As your business grows you can consider a larger office space at an appropriate time down the road. Also keep in mind fire marshals that may evaluate your workplace and how you are using your space relative to employees and customers.
Carefully Craft A Budget
Finally, it’s time to think about your budget. You will need a financial plan to facilitate this type of business upgrade. You may have to:
- Tap into cash reserves
- Arrange for financing
- Implement collaborative agreements
One or some combination of all to make things work.
Your budget should cover:
- The transition phase
- Initial year business plans
- Short-term future business plans
As well as some room to allow for fluctuations in business levels and seasons trends.
Be strict and frugal but not so much that it is a detriment. At the same time, be sure you are not overspending. In short, it is a delicate balance.
You first work out some basics:
- Working costs
- Packing boxes
- Moving quote
And also the time it will take to get properly set up.
Determine your costs and add them all up. Once you have done the math, you will begin to see how you could possibly improve your budgeting and forecasting and if you will need additional funding. Be inclusive, but be somewhat conservative at this stage.
Conclusions For Smart Home Business Owners
Moving your home business into the big wide world of the traditional marketplace is going to be a huge step, physically. But it’ll be a positive step in terms of your mental wellbeing, as well as your business’ chances for future continued growth.
Remember, you are taking a risk here, but with well-thought foundation. If you’ve followed the steps above you’re definitely going into such a decision with eyes wide open. Take your time, make wise moves, and you’ll be one of those home business owners eventually looked to as an example of sweet success!