Relocating your business can be either exciting or stressful for you and your employee, depending on how well you prepare for the move. From transportation, rental agreements, interior design, equipment setup, and revenue losses, moving your business can have significant financial implications.
While some of these relocation expenses are unavoidable, it is possible to keep money in your pocket. Follow these tips to help save on costs during your move.
1. Select the Right Moving Date
Plan your move well in advance. The date of your move can easily cost you or save you money. The months between April and August are peak season for most moving companies, and the rates are typically higher. If possible, plan to move between September and March and preferably mid-month when demand is lowest.
2. Move Over the Holidays or Weekend
Office relocation can disrupt key business functions and result in revenue losses that could significantly hurt your bottom line. To minimize costly interruptions to your business, move over the weekend or plan to during the holidays.
Additionally, avoid moving in the middle of a big project, as this could cost you customers, put a dent in your business reputation if the project fails, and hurt employee morale.
3. Make Arrangements for Remote Work
In addition to potentially losing customers and revenue, relocation can lose you key employees and put a dump on employee productivity.
When planning a move, factor in the cost of taking or leaving some employees, as well as the cost of recruiting, training, and onboarding new workers.
Develop a plan for remote working. This will allow you to retain some of your most talented employees, minimize disruption to your human resources, and save you money on hiring and training new workers.
Remote working arrangements can also provide your employees with a sense of continuity during a move and can decrease downtime.
4. Avoid Penalties for Breach of Contract
Sometimes, a long-distance move may require you to terminate existing contracts. However, getting out of a lease before it expires or exiting from large contracts for things such as janitorial, telecommunications, or technology-related services can cost you heftily.
Contract breaches may result in penalty fees or, in the worst scenario, tort litigations against your company. Plan your move early to avoid such liabilities.
Also, keep your service providers informed about your upcoming move — you may be able to negotiate an amicable way to exit contracts with minimal financial or legal consequences.
5. Take Advantage of Tax Deductions
The Internal Revenue Service (IRS) allows you to deduct several expenses incurred during a move. These include the cost of moving business inventory, equipment, and supplies; the cost of packing, shipping, and setting up items; and the costs related to leasing or buying a new business premise. To benefit from tax deductions, be sure to retain all your moving-related receipts.
6. Insure Valuable Items
Purchase extra insurance if you are moving high-value items. Ask your moving company how much coverage they provide for damaged or lost property, determine the estimated value of your items, and find out whether the mover's coverage will be enough for your valuable items. This will help you to assess whether you need extra insurance and, if so, the type of insurance you will need.
A do-it-yourself move may seem like a smart way to save on relocation costs. However, the stakes are high when it comes to moving your business, and you should leave the process to a professional moving company.
At Azalea City Moving Co., we take pride in making your move as easy as possible. We will pack, move, drive, and unpack your items with utmost care. Call us today to plan your next move.