Few passers-by: This location is often cheap because few people are in the sparsely populated area. Few customers visit, meaning that sales performance decreased, the fact that your store must be closed is sooner or later.
Or some places only crowded in the daytime but at night it was very deserted (for example, the administrative area, the gathering area of companies, offices, so few houses). You need to consider this before deciding to rent premises to open a restaurant here. Because then, the pressure of sales will accumulate during the day, you have to race against time because you can not rely on the evening business
2 ways street
Located on the intersection
All are the positions that should not be hired.
Many people believe that renting business space in a place with many passersby will bring a large number of customers to the store. However, this is not entirely true. Where many people pass by but they are not your target customers, the business efficiency is also zero.
So, before renting anywhere, you need to find out if your customers are there? Are people in that area using products like your business? What price are they willing to pay? How often do they use the product?
The inconvenience of sending the car even a small mistake can cause your store to lose customers. Because no one wants to park in a shop adjacent to the road (causing traffic jams), or the shop has too narrow parking (inconvenient access). Therefore, when renting a business premises, you should prioritize the location with parking and open front. This not only makes a good impression on the guests, but also helps you save unnecessary expenses such as renting parking lots, paying fines for cars that encroach on the roadways, sidewalks, etc
Do not scrutinize the lease
The lease contract must ensure complete information such as: location, area, deposit, rental period, rental price, cycle, term of annual rent increase or price increase after increase. term, date of handing over the leased ground, current situation of the house and land at handover, the time of rent calculation. You should also pay attention to the right to renovate and limit repairs, premises, business shops and disclaimer of changing the premises after returning. Avoid the case of not carefully considering the terms of money down quickly, later prone to disputes and lawsuits
Do not consider rental rates
Calculating your budget to find the right business space, the best solution is to make the location rental cost only account for no more than 15% of the total revenue. If the financial potential is not stable, you should not try to rent premises in “hot” locations, where there are many customers but also many big brands with strong capital that you have to compete. Business pressure accordingly increases, while you still have to pay an expensive rental fee every month.