The Hidden Costs of Office Moves and How To Avoid Them

Imagine the potential issues that could arise for your business if you don’t properly manage your finances. Not only could you find it difficult to invest in certain areas of your company, but you also might have trouble paying your employees. Issues like these are one of the many reasons why approximately 20% of small businesses fail within the United States each year.

Relocating your office is full of hidden costs that many people overlook, and it’s essential to keep these in mind so you can budget accurately. Let’s explore the unconventional expenses associated with office moves.

Supplies

Many people overlook how quickly the cost of supplies can add up. Common moving supplies include dollies, boxes, and bubble wrap. You might also need specialized moving equipment to relocate certain assets. Large companies tend to budget more for moving supplies than small businesses, but this doesn’t mean that small companies can’t have substantial supply costs.

Breakdown/ Setup

Certain equipment and assets may need to be broken down and set up in a new location after a move. This could require expensive tools or hiring a specialized professional.

A common example is breaking down large machinery before transporting them to your new office space. While it’s possible to handle obligations like these on your own, it’s never recommended.

You risk damaging your property and causing unnecessary injury. This isn’t limited to large equipment, either. Certain small devices may need to be reconfigured by professionals once you arrive at your new location.

Lost Employee Productivity

Depending on how long moving an office takes, you could miss out on a substantial amount of productivity. This will also be influenced by the amount of revenue you generate per day.

To clarify, imagine your business makes $5,000 per day. If you can’t complete transactions for over a week, this could easily amount to $40,000+ in lost revenue.

Issues like these are often impossible for small businesses to accommodate. They often don’t have the capital to stay afloat. There’s something to be said about the impact this can have on your company’s reputation, as well.

If people can’t get what they need from your business when they expect to, they might explore their options. In situations like these, they’ll be unlikely to return to your business in the future. Keep this in mind when moving forward.

Termination and Rental Fees

If you need to terminate a lease, you should integrate expense this into your moving costs. Depending on your lease terms, this can be thousands of dollars.

Some lease agreements require tenants to pay three times the normal rent to get out of the contract. You’ll also need to consider the amount of money you pay for renting your new facility.

Many landlords require you to put down a deposit. Some require you to pay multiple months of rent upfront. This can add tens of thousands of dollars to your overall moving expenses.

Storage Space

Your new facility might not have space for all of your equipment and assets. Items like furniture and machinery may have to go to a storage unit while you figure out what to do with them. Depending on how many items you need to store, it could cost you hundreds per month.

Marketing Expenses

After you move, it’s imperative to create a comprehensive marketing strategy. Otherwise, your customers might not know where to find your business.

Imagine a scenario where they visit your previous location and discover your company is no longer there. They might assume you went out of business and choose a competitor instead.

Depending on where you relocate to, you might have to budget a substantial amount for marketing. This is most common when entering a saturated market.

To clarify, consider what it would be like to relocate from a rural midwest town to a city like Los Angeles or Atlanta. The level of competition your brand experiences would escalate overnight.

Finding Professional Movers

Finding the right moving service is imperative for getting the right results. They will have the tools and resources required to help you achieve your goals and minimize your costs. Not all are created equal, though. You’ll need to do your due diligence when searching for potential options. One of the best ways to get started is by checking online to see what other people have to say. There should be no shortage of positive feedback. It’s important to pay attention to how they respond to criticism. If they get defensive or aggressive, you should continue your search elsewhere. Keep an eye out for fake reviews, as well. These are often posted in large batches and contain many identical keywords. Ignore them when making your assessment. What is their pricing structure like? You often get what you pay for, so you should avoid cheap options. However, you don’t need to choose the most expensive providers. There’s a point of diminishing returns regarding what you budget. Somewhere in the middle of the price range can help you meet your needs without stretching your budget. Do they offer robust customer support? The last thing you want is to encounter issues you can’t resolve on your own. These can be frustrating to deal with, and they’re sometimes even impossible to overcome. Never work with a company that doesn’t have the proper insurance. Otherwise, you may be held financially liable if something breaks during transit. With enough due diligence, you shouldn’t encounter issues when finding the best choice.

Streamline Your Office Moves

The information in this guide will help ensure you make the right choice for your office moves and save extra cash during the process. From here, you’ll have no trouble reaching your goals and avoiding issues you may have otherwise encountered. Gorilla Movers is a high-end residential and commercial moving company. We pride ourselves on delivering excellent results for our customers in the San Diego Area. We offer a large range of services, such as packing, loading, unloading, and storage. You’ll learn more about the many benefits we offer when you get in touch with us today.