How To Pick The Right External Warehouse Location

You may think that it won’t matter too much where your external warehouse is located. However, some locations will be better for your business than others. Where you choose to have your external warehouse will affect more than just convenience. 

How should you decide on the best storage and warehousing services for you? Effectivity, efficiency, and profitability are all factors to consider when selecting your space. In this article, we discuss the importance of transportation, workforce, utilities, and costs like rent and taxes.


Take your time

Choosing an external warehouse location is a big decision. Take your time weighing up the pros and cons of each space. Ask questions, remember your important criteria, and discuss the decision with your business partners. It’s best to get it right the first time round.


Proximity to transportation

Will you need your warehouse to be near a transport link like an airport, railway station, or port? If you receive or ship goods by one particular method of transportation, it makes sense to make a convenient location a priority. This will help with your business costs and make your warehouse all the more useful to you.

If a location near transport links isn’t so important to you, then you might be able to save on rent by choosing a location farther out.



What will your workforce requirements be with your external warehouse? You’ll need to make sure that your warehouse will be a commutable destination for workers, and that it will be easy to find workers in the area with the right skills for your needs.

If you’re going to be needing a larger workforce, then this factor will be particularly important. On the other hand, if you’ll only be needing a very small number of employees, then this will be less of a concern.

Rent and taxes

How much are you willing to spend on your external warehouse space? There are lots of costs involved in having warehouse space — from rent and taxes to utilities and fulfilment services. You’ll need to work out your budget, priorities, and how you want to allocate your funds.

For most businesses looking to maximise their profits, overall cost is the most important factor. However, it’s crucial to understand that a cheap rental rate isn’t the be-all and end-all to a cost-effective space. Hidden costs and fees can easily offset any savings you thought you had achieved by cost-cutting in other areas, so gain a clear picture of all the costs you can expect from your new warehouse space.



Consider what utilities you will need from your space. Is it crucial that you have access to power, water, or that your space is climate-controlled? What are you storing, and will you need to adhere to strict hygiene requirements? This will be a key determining factor as to the suitability of a space.


Titan Solutions storage, warehousing and distrbution services

At Titan Solutions, we offer extensive storage and warehousing services. Whether you need to store raw materials, consumables, spare parts, or finished goods, we can find the perfect solution for your business.

Through our global network, we offer unlimited, climate-controlled spaces in strategic locations across the globe. From temporary solutions to long-term storage, as well as fulfilment and distribution programs, we’ll work with you to keep your items safe and secure.

We connect warehouse providers who have excess capacity and services with retailers and brands who need flexible solutions. We help retailers and brands secure warehousing and fulfillment solutions quickly and with no long-term commitments or costly setup fees.