Companies often cite five main reasons to change locations. These are labor and labor issues, the desire to reach new markets, the need to upgrade facilities or equipment, the desire to reduce costs or increase cash flow, and quality of life considerations. Expansion %26 Growth The main reason a company decides to move is because its current facility no longer has enough space to meet its requirements. Any future consideration of office space should take into account sufficient space for growth and expansion of the company.
This will ensure you don't run out of space before the lease expires. Use this handy office space calculator to get a clear indication of how much office space you need. Why Location Matters Businesses often cite five main reasons for moving, according to Sharon K. Ward, economic development consultant in Allentown, Pennsylvania.
For different businesses and at different times, certain concerns are more important than others, says Ward. But almost every move can be attributed to some combination of these problems. The main reason for relocating, from now on, is the workforce. Companies that need workers, particularly those with technical or highly skilled fields, are moving to areas where these types of workers are readily available.
An example of this would be a commercial company moving from St. Louis to New York to gain access to the largest group of financial employees in the area. Investigate when considering relocation to look for more opportunities. You can talk to professionals or seek advice from a reliable service provider, such as Relo-To, who is willing to work with you and offer guidance to facilitate the relocation process.
A team of experts will help you meet mobility needs, manage costs, and navigate the places for your business that can provide you with the most opportunities for growth. General Electric, for example, moved its headquarters to Boston, Massachusetts, from Fairfield, Connecticut. As a 124-year company, keeping up with developments requires access to skilled labor and agile technology companies. The relocation made the objectives of the leaders possible.
Young and creative talents, such as Millennials, are drawn to the hustle and bustle of urban life. Cities that stay up from 18 to 24 hours a day are dotted with high-end dining options, luxury apartments, numerous entertainment venues and the convenience of public transport. Indiana, for example, encourages businesses to move to the state with a credit that reduces business income tax. Similarly, Kentucky offers businesses a tax credit.
Louisiana, to facilitate relocations, offers businesses a rebate that offsets relocation costs by up to 25 percent. The environment and expectations of workers have changed permanently due to the COVID-19 pandemic. People who have adapted to the US DOT 2889377 IL C, C. Companies are moving for several valid reasons.
These reasons include cost reduction, office consolidation, expansion and growth, access to new markets and company reorganization. Here are 6 reasons why you should consider relocating your business. Relocating a company can mean several different things. It may refer to the transfer of an office from the center to the suburbs.
It can also mean that you move your office from one city to another, possibly across the country. Another example could be the relocation of a part of your office to a different location, while still maintaining ownership of the original location. That's why today, many companies are looking to relocate where they can access a quality workforce in sufficient numbers and with low labor costs. As happy employees are more productive, companies are relocating their headquarters to where these young, educated and skilled workers want to live, work and play.
Reduce Costs The need to reduce operating costs is also a common reason why many companies have to move. Reorganization or Better Facilities Companies often find that their current office facilities are too outdated to carry out their tasks efficiently, or want to give their company a new image by moving to more modernized facilities. Businesses evaluating relocation often consider recreational opportunities, educational facilities, crime rates, healthcare, climate, and other factors when assessing a city's quality of life. Companies actively seeking to re-establish their brands through relocation efforts show customers and business partners that they are interested in staying current and that they are able to meet current market demands.