You are right to show concern. Finding a good location is elemental to your business’s success.
Tips for Franchisees: In order to ensure that you’re getting the best deal and won’t find too many skeletons in the store room, find out the following:
- Find out about failed tenants – yes, stores do fail, but not everyone is wrong all the time. If stores keep failing in the same location, there’s probably a reason why. It may be crime, poor foot traffic, or an unreasonable landlord. Find out the reason for the tenant turnover, because unless you know the reason why, you cannot be certain that your business won’t meet the same fate.
- Look at the number of vacancies – if you’re looking at a shopping mall, a shopping complex, or even a high street, don’t sign a lease if there is a high number of vacancies, and don’t be tempted by the low rentals. There is a reason why other tenants are leaving or failing. Rather pay a higher rent for a busier location.