Without a doubt, location is one of the more crucial factors in a business’ success.
Here, Entrepreneur Philippines gives you tips on securing the best locations for your venture:
1. Interested in Office Buildings?
To locate your business in an office building, you need to contact the building administration and address a letter of intent to the leasing manager. [See four tools to get the rent that you want here]
Most businesses that are allowed to set up in office buildings are food businesses, although convenience stores and coffee shops are generally welcome. Restaurant and café owners should be aware, however, that actual cooking of meals in most buildings is not allowed, to prevent triggering smoke detectors and reduce fire hazards.
2. How to Approach Shopping Malls
The first step towards locating your business in a shopping mall is to pitch your product to the mall administration. Lourdes Alano, tenant mix director for Robinsons Malls, says that all businesses hoping to locate in malls first need to pass a selection process. [See seven factors that make or break a business here]
Write a letter of intent describing the business concept you have. In the case of Robinsons, this can be done online (www.robinsonsmalls.com). Afterwards, you will be requested to provide requisite documents such as business prospectus and the required business permits.
Depending on the business concept you propose – specifically, whether similar businesses already exist in the mall – your proposal may be approved or not.
3. Setting up in a Condo?
Phinma Property Holdings Corp., which specializes in mid-rise condominium buildings, says that condo projects typically allot five percent of their total floor area for businesses and commercial establishments. [See 10 steps to a smooth business operation here]
Phinma Property vice president Grant Orbeta says that these units can be either sold or rented. The common practice, though, is to rent them out. Compared to other locations, locating in residential building is cheap – a 30 sq meter space often gets rented out for around P8,000.
Orbeta says that on average, a residential condominium building will have a population size of around 1,000, representing a sizable captive market for any business. Suitable businesses for residential buildings are laundromats, water stations, Internet cafes and coffee shops.
Most of the businesses located in residential developments are usually not allowed to become too noisy or sell liquor. [See 10 businesses in new markets and opportunities here]
Robinsons Land Corp.
Commercial Centers Division
Level 2, Galleria Corporate Center
EDSA corner Ortigas Avenue, Quezon City
Phinma Property Holdings Corp.
Phinma Properties Center
29 EDSA, Mandaluyong City