4 Tips to Expand Your Small Business to Multiple Locations

As a small business leader, you might be considering opening another location if you consistently reach maximum capacity, profits are steady, and customers mention wanting another location. This is an exciting decision for your business, but it also comes with risk.

Fortunately, there are steps you can take to ensure you provide a smooth transition for your staff and customers. In this guide, we’ll explore four tips to help you manage this next phase in your journey, whether you run a dog grooming business, flower shop, or cafe.

1. Choose locations based on data.

Identify the best location for your new storefront by thinking beyond just finding an available building within your budget. Consider factors like:

• Proximity to your other location(s). Aim for a balanced, “Goldilocks” zone. Your new store should be close enough to manage, but not so close that you split your existing customer base between two locations.

• Nearby competitors. Assess who (and where) potential competitors are, analyze their approach, and make an informed decision based on your findings.

• Accessibility and visibility. Foot traffic, accessible parking, and visible signage are crucial to attracting customers. Compromising to save money upfront can hurt long-term profits.

• Your existing and potential customer base. Look at the demographics (age, income, lifestyle, etc.) of your top spenders and see if they are present in your new location.

Take the time to visit potential locations in person, viewing it through the eyes of a customer. After all, visiting your business should be easy and convenient for customers.

2. Leverage cloud-based technology.

Obviously, you can’t be in multiple places at once, so your other locations will have to run without you. But with cloud-based technology, you can keep tabs on the ins and outs of each location’s daily activities. 

Cloud-based systems centralize data from every location, allowing you to run various aspects of the business no matter where you are and keep all of your data organized. Remotely monitor and manage everything from staff schedules and client bookings to sales numbers to inventory. Additionally, using the same software at all of your locations will reduce training time and make it easier for staff to float between stores to meet demand.

3. Create standardized practices and procedures.

Develop standard operating procedures across all locations. This gives staff a streamlined work experience, making it easier for them to hop between locations, subsequently reducing burnout and boosting retention. You’ll also ensure customers get a consistent experience at all of your locations.

Include the following in your standard operating procedures:

• Staff onboarding and training: Gingr recommends creating an onboarding process that reviews key tasks and responsibilities, emergency response plans, and demos any technology needed for their role.

• Opening and closing checklist: Create a sequential list of tasks designed to ensure each facility is secure and ready to receive customers.

• Customer interaction scripts: List out your preferred greetings, phone etiquette, and conflict resolution steps.

• Presentation standards: Outline guidelines for employee uniforms, merchandise displays, store cleanliness, etc.

• Inventory management: Break down rules for receiving shipments, conducting stock counts, and recording waste to maintain accurate inventory records.

This documentation should live in a digital, cloud-based system (e.g., your business software, Google Drive, etc.) so employees can easily reference it from any location.

4. Empower your team.

You’ve given employees a standardized set of rules and guidelines to work with, but you can’t be there every time they have a customer conflict or encounter a problem during closing time. Ensure they feel empowered to independently make decisions that fall within the bounds of your standardized procedures.

Start by delegating certain tasks and authority to your facility managers, such as approving refunds or ordering stock. This accelerates career pathing by helping them learn new skills and shoulder additional responsibilities.

Additionally, accept that your team might do things differently from how you would. Resist the temptation to micromanage, instead looking at the outcomes of their efforts rather than how they arrived at them. As long as customers are happy and operations run smoothly, it’s best to let go of complete control to allow your business to grow.

Opening a new location can be a long, daunting process, but detailed planning can help. Because it can be hard work, remember to recognize your team’s efforts and flexibility during this time. This will boost morale and engagement, priming your new location for success.