I’m David Nelson, co-founder and CEO of Guidant Financial. We’re best known for helping entrepreneurs behind newly created and acquired businesses to find the capital they need to grow their companies. But our mission is to increase the number of people that succeed in small business and as part of living it out. We often provide information around tools and tips that will help entrepreneurs be successful as they start buying build their businesses.
Today I want to talk about real estate because this is a really important piece of any brick and mortar business. Location can play a huge part of success. One of the things that will help you in this search is to get very clear and specific before you go out looking at real estate is that who your core customer is. It’s easy to fall in love with the deal. So knowing up front who and where your customers live and work is extremely important. And once you’re clear on those things, hire a real estate professional in your area to help you find the right location.
A real estate professional being knowledgeable in the demographics of a certain area and the population density and even the traffic patterns it’s a precustomer by your business. And also negotiate your lease which is free, so it adds a lot of value in research. But one of the strategies that I love is what I call the proximity play and that is where you decide to put your business by other businesses that have like customers. That way you can leverage their customer acquisition to bring more people into your business.
A great example of how it will work is if you own a massage studio, you might put that next to a high end fitness location where many fitness locations because they have customers that are proven to want to spend money on their health and wellness and they should spend it at your business as well. About keeping proximity to theirs, you’re not only can pick it back off their foot traffic, but you can also collaborate with to build your own business.
Real estate doesn’t have to be an arduous task. But there are things that you can do up front that set you up for successful business. Hopefully this tool, these tips will help you do that.