How do I approach potential landlords?
I would like to open a children's clothing shop in a new shopping center in Perth, Australia. I have a great supplier for my stock and most everything else except finance and premises sorted. But before I make contact with the leasing agent, how should I approach them? Will they require a business plan? How can I compete with other big name retailers? I have never owned a shop before but have plenty of retail experience.
Leasing agents will typically want to see a business plan, but in this economy, you may be better off going directly to the landlord at a great retail location. What is a great retail location? A place with a lot of foot traffic.
Remember, in retail, your rent is part of your marketing. Without good foot traffic, it is very difficult to make retail work, especially when you are competing against bigger retailers in the same or similar categories with huge advertising budgets.
Bottom line? Spend a little extra for foot traffic -- and find a landlord you can negotiate with directly.
Brad Sugars is the founder and chairman of ActionCOACH. As an entrepreneur, author and business coach, he has owned and operated more than two dozen companies including his main company, ActionCOACH, which has more than 1,000 offices in 34 countries.