April 16, 2025
When you realise your business is lucrative and many people need your services, it might be time to broaden your horizons and open a new office. Have you ever considered branching out to a different city or even a country? This is a perfect opportunity to tap into a new market, find unique talents, and facilitate business growth.
Here’s what you should know and consider before investing in a fresh office location.
The prospects of opening a new office location heavily depend on the potential market demand. When you decide to open one, ask yourself if there are enough customers in the target location for your business to thrive. Once you’ve measured the overall number and it’s satisfactory, find out if it’s possible to grow your business there. Analyse historical market trends, seek growth forecasts, and study the general trajectory of the market in the location. If it’s expanding, then your office will, too.
Then, look at the bigger picture. Is the economy in the right state for a new branch? Look at employment rates and other financial indicators. Only then should you consider new locations for expansion.
Opening a new office is an outstanding prospect. But if you’re not careful, your initial investment can turn into thousands of dollars. In fact, over 60% of business owners underestimate the cost of setting up a new office and end up struggling. If you consider the right factors, however, your down payment will go a long way.
Budgeting for a new office is not just a minimum estimate. First, you should note down rent with a security deposit several months in advance, basic improvements to make the space right for your business, and utilities, such as electricity, running water, etc.
Then, think about the connectivity inside the office, including Wi-Fi, LAN wiring, and other factors. For teams to stay connected outside the office, remote or while travelling, you might need to support your employees with eSIMs. If you don’t know what eSIMs are, they’re embedded in devices perfect for secure, encrypted internet without a Wi-Fi router. Thanks to eSIMs, your employees can even forget about roaming charges, as they allow you to switch to a new carrier whenever you cross the border.
Your office should also have display screens, computers, power backup, control systems, and more. All these add up quickly, and forgetting to put even one on the list can be a huge mistake. So, note that down and calculate how big an investment it will be.
Already choosing a new office space? First, make sure it’s accessible to your employees. It should be accessible by highways for clients and staff who drive and by public transportation. Once you’re sure that the location is convenient, find out how far away your suppliers are, if applicable to your business. The closer they are located, the better the delivery times will be.
Afterwards, consider your competition. Depending on the market, staying near competing offices can be both good and bad. Retail stores, banks, and other markets always benefit from grouping: your customer base will be visiting the same location and will notice your presence. Other businesses, however, should avoid choosing an office near the competition. In that case, just aim for a location near attractive amenities.
Staffing a new office location includes both moving some of your employees to a different city and hiring staff. If you want some of your best professionals to occupy the new branch, you should foster open communication and share your plans in advance. Some will happily relocate, while others would prefer to stay. For those who want to move, share the details, help with transit, and assist in renting an apartment. Also, propose affordable eSIM deals, like Saily discount codes, so they can stay connected when travelling to a new office.
Then, appoint a dedicated hiring team. Team members should clearly understand your business goals, know the staffing needs, and comply with the budget set for new positions. Start by creating new job descriptions and advertising them where possible. Then, look through potential employees and continue with an onboarding process if they are a good fit. When evaluating, look at the soft and hard skills, and make sure the person is suitable for your team.
In the end, to navigate the hiring process successfully, ensure a good balance between your employees and new hires, so your office can function properly and work with clients as soon as possible.
Opening a new office is difficult, especially if you’re doing it for the first time. Yet, by studying the market demand, setting a realistic budget, selecting a profitable location, and hiring the right people, you can make the investment worthwhile, and your business more successful than it’s ever been.
The first and most critical factor is market demand. You need to be certain that there is a sufficient customer base and potential for growth in the new location to justify the investment.
Many business owners underestimate costs beyond rent. You should budget carefully for office improvements, utilities, IT infrastructure like Wi-Fi and servers, essential equipment, and connectivity for remote or travelling employees.
Look for a location that is easily accessible for your team and clients, with good transport links. Also, consider its proximity to your suppliers and the strategic placement in relation to your competitors.
A balanced approach is often best. Relocating some of your experienced staff helps to establish your company culture, while hiring local talent brings in new perspectives and local market knowledge. Creating a plan with a business coach from a firm like Robin Waite Limited can help you find the right balance.
