Statistics show that 80 percent of warehouse activities are outsourced by companies. The statistics also show that 12 percent of companies aren’t using cost-effective distribution options.
If you want to build a warehouse for your business, there are a few steps to take. This is a big leap, and you will want to understand the process beforehand.
Building a warehouse isn’t always as straightforward as you may think. It often depends on your goals, budget, and your priorities for that warehouse.
Keep reading to find out how to build a warehouse for your business.
Have Project Goals
The first thing you need to do is evaluate your project goals. This will be important before you learn how to build a warehouse.
Why do you want this warehouse? How will it be used for your business? These are questions that you want to ask yourself to better understand your goals.
It is important to do this because this will directly impact the warehouse structure. For instance, you need to decide if you need a large or a relatively small warehouse.
You may need it in a specific location or with specific features. These are all things that should go into your project goals.
Another thing to consider is when you want the warehouse completed. Sometimes you can speed this process up if you find the right contractors and have the budget for it.
Create a Budget
Speaking of budget, you need to figure out the cost to build a warehouse. This is no small expense, as you are literally building a large structure.
There are several ways you can do this, including hiring a warehousing business. No matter what option you choose, you will want to figure out the expenses.
On average, warehouses cost over $100 per square foot depending on the project. This could come to a total cost of $24,000 to $800,000.
This will depend on the different factors that go into this building, like the size and labor. You should meet with your business team to evaluate what your budget can be.
It is a good idea to create a realistic budget as well as the highest you can go. This will help to give you direction if things end up being a little more costly.
Find the Location
Before building a warehouse, you need to find a location. This is one of the harder steps since you need to assess the location and look at the legalities.
Some people choose to hire a commercial realtor to help them do this. This can significantly cut down on your research time and help you to find the perfect location.
You will also have to negotiate your lease for the property. Make sure you check with your state requirements for any other documents you need.
Depending on the location, the property may need to be cleaned up. This could include tearing structures down or removing foliage like trees and grass.
These are all sneaky costs that you may not have thought about in your budget. This is why it is usually more affordable to buy a property that is already prepared.
Plan the Building
Now that you have your property ready to go, what are the details of the warehouse? You need to take a step back and evaluate the overall structure.
What kind of doors does the warehouse need? Will large pieces of machinery be stored there or just excess products?
You will need to look at the different storage options to pick the most efficient one. It is also important to consider the health and safety aspects of the building.
this would include reducing hazards, having fire protection, and providing ventilation. You may also want to have temperature control in the building.
It may help you to look at other warehouses that are local. This can give you an idea of what other business owners are doing in their warehouses.
Find Contractors
You will need to set aside time to look through your contractor options. This is a huge decision since the contractor will handle all the building aspects.
You want to choose someone that you trust and communicate well with. After all, you will be working closely with them for many months.
It is a good idea to vet at least five or six different contractors before making a decision. Meet up with them or ask for quotes to get a better idea of how they work.
Look at the projects they have done in the past and read reviews from other clients. These are all things that will help you to make the right decision.
One great option for business owners is to go with butler buildings. Butler building offers all kinds of building parts as well as professional advice.
Create a Team
You should pick several people from your business team and create a warehouse team. These will be people who will help you along the process with decisions.
These will also be the people that you can hand over tasks to. You may have them inspect the building throughout the process or communicate with the contractor.
This can also be the team that will ultimately control the warehouse. This is a great way to take some of the stress off of your plate so you can focus on the rest of your business.
Build a Warehouse: Warehouses for Businesses
If you have a business, chances are you may need a warehouse as well. If you want to build a warehouse, you will need to plan your project, create a budget, and hire contractors.
Did you enjoy reading this article about businesses? Keep reading for more business product and real estate-related content.
