Here's how to choose affordable space for your business that suits your company's needs.

Because there's no universal rule for choosing a good business location, it's important for every business owner to figure out how location will (or won't) contribute to the success of the business -- and to choose a spot accordingly. While there are many issues to consider when you're looking for space to house your business, make sure you ask yourself these four important questions:

• Is location important for the success of your business?
• What type of location is best for your business?
• How much rent can you afford?
• Is your proposed location appropriate for what you plan to do there?

Is Location Important for the Success of Your Business?

For some businesses, the classic advice "location, location, location" is right on the mark -- location can mean the difference between feast or famine. But for other enterprises, location may be much less important than finding affordable rental space. In fact, location is almost irrelevant for some businesses: service businesses that do all their work at their customers' locations (such as roofers and plumbers) and businesses that have little contact with the public (such as mail-order companies, Internet-based businesses and wholesalers). If these types of companies can pass on rent savings to their customers, picking a low-cost spot in an out-of-the-way area might be an advantage.

What Type of Location Is Best for Your Business?

The key to picking a profitable location is determining the factors that will increase customer volume for your business. Ask yourself questions such as:

• Will customers come on foot?
• Will customers drive and, if so, where will they park?
• Will more customers come if you locate near other similar businesses?
• Will the reputation of the neighborhood or even of a particular building help draw customers?

Keep in mind that different types of businesses attract customers in different ways. One key distinction is foot traffic versus automobile traffic. For example, if you're opening an urban coffee shop, you may assume your customer volume will be highest if there's lots of pedestrian traffic nearby during the hours you plan to be open. On the other hand, for an auto repair shop, the choicest locale is a well-traveled street where the shop will be seen by many drivers who can easily pull into the lot.