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ST-09 Locations SCORE Chapter 570
	LOCATION, LOCATION, LOCATION
You've heard it over and over again and it's true. One of the most important decisions you'll ever make in connection with your business, no matter what you choose to do, will be where to locate. There are many factors to consider when you choose your locations. Often they have different degrees of importance based on the type of business you are intending to operate. A manufacturer has criteria totally different from a retailer, as does a doctor or a shipping company. Let's explore a few……. TAXES & REGULATIONS Does the location (State, City, Township, Etc.) have any specific high taxes that will put you at a competitive disadvantage? ü Mercantile Tax (Gross receipts) ü Wage tax ü Sales tax ü Corporate tax ü Real estate tax/zoning ü Others PHYSICAL NEEDS Does your business require special needs such as… ü Rail service ü Water shipping ü Airport access ü An educated workforce ü Public transportation ü Trucking facilities ü Others FINANCIAL NEEDS It is important to remain competitive. Don't let yourself get priced out of the market. ü Do you need to impress clients? ü Will low rent locations suffice? ü Are area banks adequate? ü Is there room for growth? ü How about insurance rates? SPECIAL RETAIL CONSIDERATIONS Nowhere does location play a greater roll in your success than in the retail industry. Competition in most areas is treacherous. It must be convenient for your customer to shop with you or your competitor will surely prevail. Here's a check list just for retailers…. ü Are you a "Destination" or…. ü Do you need walk-by traffic? ü Are there easy entrances and EXITS? ü Must customers cross traffic? ü Is there well lighted, adequate parking? ü Are there other merchants in the area? ü Do they compliment you? ü Is there adequate signage? ü Is there an ANCHOR store? ü Are there extras in the rent? § CAM (Common Area Maintenance Charges)? § Percentage of sales charges? ü What are the prevailing store hours? ü Are sidewalks adequate? ü Is your store well lighted? ü Can you get deliveries easily? ü Is the landlord accessible? ü How about snow removal? ü Will it meet local fire codes? ü Are there frequent vacancies? ü Is there a merchant association? ü Where are your competitors? ü How is the security? ü Is traffic TOO heavy?