Expand to new locations

Expand to new locations

Once you’re ready to expand, update the marketing plan and confirm that your business is financially prepared. Then, make sure to comply with all laws, rules, and regulations in the new business locations.

Prepare for a new market

First, update your marketing plan with your new location in mind. Think about your target customer, sales plan, and competitive advantage. Add up any additional marketing and sales costs. Make sure your updated marketing plan is just as thorough as your initial plan.

Compare your business to the competition, learn about the local market, and get a sense of the advertising market.

Next, review your business finances. Build a forecast that projects estimated costs and estimated revenue for your new location. Take a close look at your balance sheet to make sure you can cover the costs of expanding. If you don’t have enough capital, you can try to get more funding.

Legal steps to expand your business

Expanding your business isn’t very different from opening a new business. You’ll want to make sure you license your business with the Department of Commerce and Investment.

Franchising

There are two primary ways you could expand your business with franchising.

The first way is to buy an existing business or franchise. This option tends to cost more upfront, but can be less risky than trying to start from scratch.

The second way is to build your own franchise. Businesses that are good candidates for franchising have a few traits in common.

• Product or service is superior and appeals to potential business owners
• Concept and operations are easy to teach
• Business is easy to duplicate in new markets

Franchising has more costs than many other types of businesses. You’ll probably need to pay lawyers, accountants, and advertising staff. Don't forget about training the employees and building systems you'll need to run the franchise.