If you have a retail-oriented business, and you need to move products from one location to another, you will need a sizeable warehouse facility where the items for sale should be stored. Now, finding a warehouse is also as difficult as deciding where your main business should be located. You need to find a balance between convenience and labour force availability. Since you also have to invest in other warehouse equipment and organization assets such as IBC containment pallets, label devices, racks, shelves, and docks, a reasonable rent price is also a consideration that has to be taken into account.
While most warehouses are located in far-flung areas outside the city, this does not always mean a practical business solution. The labour workforce will be smaller outside the city, which means that you may have to provide a staff house for your warehouse workers. It will also be far away from your business’ main branches, which means that hauling the products from the warehouse to the store will require a more complex logistical system. How about the available courier services? Which courier companies are servicing that part of the city or town? Sure, you may be saving in rental fees, but you might be paying the difference in courier fees.
Build or Lease
Is the warehouse you’re renting already equipped with the assets you need? Does it have racks, shelves, and pallets? Or do you have to build the system yourself? You might want to look for a warehouse that’s already built so that you won’t have to invest in organizational assets. Consider what kind of rental contract you need. Lease always requires a longer contract term and might not be the one suited for your business if most of your items are seasonal.
What is the volume of the items you are going to store in the warehouse? Larger items, of course, will require a larger warehouse space. No matter how good the location and how fair the rental fee is if the size of the warehouse cannot accommodate the volume of items you need to store, forget about considering it. Items need proper storage space so that they will still be in good condition even if they are left in the warehouse for a long time.
Is the warehouse available for expansion? If your business grows in the future, is there an available space for you to expand on? This is important for the future of your business and the potential growth that you are looking for. If your products are seasonal, you can find warehouses that offer seasonal leases or companies that offer flexible storage solutions.
Who owns the warehouse company? It is also important to determine who you are dealing with since these plays into the contract terms. If the warehouse owner has a reputation for being difficult, you might want to skip doing business with them.
Choosing a warehouse must be done after extensive research and planning. The location of your warehouse will not only benefit your business but your customers as well. It will make the overall experience and management of the business better.