Business, Management

Advantages and Disadvantages of Business Relocation

business-relocationThe world is getting smaller; you can now get from A to B much faster than ever before with the help of modern technology…. so why shouldn't you consider a move for your business? If your business is not doing as well and this can be attributed to its physical location, why put up with it, why let it hold you back? Perhaps a move could be the answer to your business dreams but on the other hand the grass always looks greener on the other side; hauling your business to a new location is a big decision and is not something to venture into lightly. In this article I am going to highlight some key points for in favour and against the decision to relocation your business.


  • Access Labour: Access a more specialised labour pool. Sometimes, if you want to remain at the forefront of innovation and be able to compete with the best businesses in your industry you have to go to the best employees, as they will not come to you.
  • Better Serve Customers: Currently your customers may be receiving a better product or service from your competition, do not allow this; and factors relating to your location may be contributing to your competition gaining an advantage over you.
  • Increase visibility: Create more footfall around your business especially for your target audience. If your business in an industry that relies on footfall such as in a high street then your location is vital for business success.
  • Reach/tap into new market: You may be part of a constantly changing industry, to continue as a leader within this industry you must change and adapt too, and this may extend to your location.
  • Upgrade facilities: Relocate to a more modern facility with better future prospects for expansion. Your current facility might have become outdated and does not lend to a competitive edge.
  • Lower costs: Utility costs and other expenses. Your current location might constrain you in terms of bills and other costs.
  • Increase cash flow: Increase customer base resulting in increased revenue. More customers equals more cash!
  • Quality of life: Access to entertainment, support services other leisure activities. You must consider your work like balance and your time away from the office.


  • Risk losing labour: While you may gain new employees, you risk losing some long standing, cherished employees who know all about your business, your culture and how you like to get things done.
  • Lose customer base: You may also have long standing customers that may lose out when you move away, this could damage loyalty and customer satisfaction.
  • Costs: Costs related to moving are undoubtedly high, higher than you anticipate.
  • Difficulty in balancing costs with proximity to your target market. The closer to your customers, the more expensive property is bound to be.
  • Risk: If you do not conduct effective market research then your new location could have downfalls as well as perks. There are no guarantees.
  • Time & Effort: Relocating your business is not something to be rushed. It can cause high levels of stress, and if you business is suffering it could be the move that breaks the camel's back.
  • New environment & regulations: Your new location might present itself with a whole new set of regulations that affect your business, these must be factored in to operations and planning.
  • Disruption: Consider the transition, what will happen in the meantime whilst the move is going on?

There are a lot of commercial relocation companies who specialise in moving businesses of all sizes from office buildings, to hospitals and factories. Whenever possible consult with these companies for a moving management plan that suits your business needs.

Be realistic, keep costs in mind and do your research. When a relocation is planned well and executed with professionalism then moving your business can be the answer to your dreams and give your business a new lease of life.

One Comment

  1. I like how you said that sometimes a business relocation can give you the opportunity to move to a building that will give you a competitive edge. If you are a business and you need to up your game a little bit, this could make the difference for you. That way you can actually get along with whatever it is that you want to do and have as a plan.

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