Understanding the Market
Perhaps the biggest and most important consideration you will need to make is to understand the market for industrial property. This will help you factor the financials into your business model and decide whether or not the current “going rate” is something that fits in for you.
If the market does not seem favorable for you then you may want to consider different options to industrial units, although a loan may be beneficial if you are able to meet your financial obligations and generate revenue going forward.
Using the Building
Once you know whether you can afford it, you then set out to find a building suitable for your business. There are various types and styles of industrial property available, so it is not as easy as simply finding the nearest industrial estate with units for let and picking one out. Think about the needs of your business and whether your space will simply be a hub where you operate from, or whether it will need a more commercial feel and have customers visiting the premises on a daily basis.
Sounds like basics, however getting the right building for your usage needs could revolutionise your business.
The natural inclination for many business is to go for a bigger unit so they are certain of having the correct amount of space. This all sounds like a great idea, until six months into a contract said business is then looking at 10,000 square feet of space that isn’t being used, is being paid for, and is ultimately proving to be a massive strain on resources.
Take the time to calculate accurately how much space you need and choose correctly. Remember that you will be unlikely to be able to organize a sub-let, and do not want to be paying for expensive space that won’t be used.
This again comes into the thinking around both cost and what your building will be used for. A great location for a haulage firm will be right beside a motorway junction, for example, however that could prove more expensive. At the same time you will want to avoid locations in the middle of town centers – unbelievably, they do exist – or other areas that are difficult to find or get to.
Although many industrial estates will have many businesses operating in the same sector, identifying somewhere where your presence will seem new and original could have a great impact on your business. This is especially crucial if you find a great location and are the first in your sector to be there – you will be able to establish a firm base and build a client base without too much trouble at all.
Harworth Estates are one of the predominant land owners in the UK with over 30,000 hectares of land available for industrial units to let.