5 Mistakes to Avoid When Relocating Your Company

  • By Susan Burns
  • 17 May, 2016

Moving your company abroad, or even to another state, can be a daunting task. It’s not just a matter of moving a few computers, desks, and chairs. There are so many aspects involved in a company move, some very evident--and others not so much, that it’s easy to just forget about the whole idea, even when you know it’s the right move for your company.

Avoiding these five frequently-made mistakes will help you make your company move a success.

1. Not addressing legalities and tax implications before you decide to move

You may have several good reasons to relocate your business. Before you start signing on the bottom line of a new lease, first and foremost consider the legal and tax issues. It is imperative that you review these issues ahead of time. Failure to do so may lead to many costly mistakes.

For example, if you move to another state, what are the requirements for registering as a foreign entity? Also consider the tax implications of maintaining your current business and registering as a foreign entity. Maybe it is better to dissolve your current entity and reincorporate in the new state. Or, perhaps there is another approach.

The same considerations should be examined with respect to relocating to another country. You will need to either establish a stand-alone business or   form a subsidiary . Decide which is the best way to go – legally and for tax reasons … and in both states or countries.

Review your current contracts to make sure you aren’t breaching any clause with your move. Also, what are the legal requirements in your new location? And, make sure you have all the permits and licenses required to do business in the new venue.

Review these things ahead of time to make sure the otherwise-attractive relocation makes sense from a legal and tax perspective.   Work with seasoned professionals   in assessing the move and formulating your plan.

Finalize paperwork ahead of time so your business does not miss a beat.

2. Forgetting your online presence and business materials

This is an aspect that could be easily forgotten in the excitement of relocating. Make sure to update your website with the address and phone numbers of your new location, or even better, announce it on your page ahead of time. Also, change your company address and phone numbers in your business documents, such as brochures, business cards, merchandise, banners, billboards, press artwork, or any other marketing material.

Additionally, if you’re   relocating to Mexico , for example, or to any other country where English is not the main language, and you want to target the local market, have a professional translation company translate your website. Also, make sure it’s properly   localized , with the mannerisms, expressions, and idiosyncrasy of the new country. A bad translation is spotted at a mile’s distance.

If you’re moving overseas, make sure there are no issues with your logo, or with the translation of your business name or tagline. Big corporations like Pepsi, Gap, and American Airlines have their place in the   Hall of Shame of bad translation   and localization. Don’t let that happen to you.

3. Not centralizing responsibility in one person

There’s a saying that goes, if a lot of people are in charge, nobody is in charge. When you’re relocating your company, every department is affected. All of their actions should be centralized and orchestrated by one single person; otherwise, things can go really wrong, there may be serious delays that may cost you thousands of dollars.

There should be one person in charge of the entire move, someone who is responsible for coordinating everyone’s schedules and actions. This person could be someone within the firm, or an external project manager hired specifically to work on your relocation.

The person in charge should be knowledgeable about every step of the process, from the beginning to the end – up to and including being fully operational in your new location.

4. Failing to create a detailed relocation plan

There are multiple opportunities for things to go wrong when you are relocating. The best defense is a good offense: be prepared. Outline each step of the move and what is needed from each department and when. Think through various scenarios, and have backup plans.

Allow plenty of time to move. Don’t leave everything to the last minute. Some buildings or warehouses have specific schedules to make a move, find out about those ahead of time. Also, there may be obstacles, or you might have to make adjustments to your furniture or to the existing cubicle walls. Also, the IT department needs to install the computers, telephone lines, and other equipment, and run tests.

Depending on the size of your company, at least a week must be allotted for the move. Obviously, you’ll need more time if you have to move manufacturing machinery, instead of just office equipment.

Also, take into account that something (a machine, a computer, paper files, and so on) could be damaged or lost in the move. Have a backup plan in case that happens, and don’t forget to get insurance for your valuables.

5. Not choosing the right moving company

Last and not least, a company move is a huge expense whether it is international or domestic. The right moving company can make or break the logistics, and you don’t want to incur unnecessary expenses because equipment, a machine, or your servers, were not properly handled.

Contact several moving companies, conduct thorough research, read reviews by previous customers, and keep in mind that, as in many other things in life, “cheaper” does not usually mean “better.” It’s safest to invest a little more in a reputable moving company, than having to spend lots of money in equipment repairs or replacements.

As you can imagine, these aspects are vital for a company move, and they cannot be ignored. Surprisingly, though, they’re often overlooked, and the consequences can be devastating.

Have a seasoned   business strategist and attorney   work with you on your company relocation plan. That way, your move will be as smooth and efficient as you imagine, you’ll minimize costs, delays, and most importantly, keep your mind at ease, knowing your company relocation is in good hands.


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By Susan Burns 26 Oct, 2017
P.S. There has been a lot of discussion on social media about my post on reading fine print  when installing apps, specifically focused on the Grammarly app. Some people have responded with the interpretation that Grammarly can only use your content to correct your grammar and not for anything else.

I disagree. This is not a correct interpretation, in my opinion.

Even though that interpretation may be based on a provision in the TOS that states you keep ownership of
your content, they still have an unlimited, perpetual, royalty-free right to use it. I won’t repeat the prior
post, but do urge you to read it .

Others have suggested that Grammarly’s TOS are typical of SaaS (software as a service) agreements and,
somehow, that makes it okay. The TOS may be similar, but the products aren’t. Grammarly, in my
experience, crawls through everything you type. Everything.

The other argument proposed by someone is that because this is typical SaaS language, they don’t really
mean that they are going to use your content. Really? Then say so in a clearly-drafted, user-friendly
contract a/k/a TOS.

I have not heard of someone successfully arguing in court that even though they agreed to a license of
their product, they didn’t think the person was really going to use it … and therefore, they shouldn’t be
allowed to use it. If you know of such a case, send it my way.

Again, legal ethics prohibit me from using the service. That aside, I don’t choose to give Grammarly
access to everything I type.

As one person put it, “everything ever typed on the computer, so while it runs in the background, it
gathers password, credit card data, shopping habits, text conversations from Facebook, messenger
services, anything you do... recorded and stored.”

Finally, my posts are my opinion and my legal analysis. I am not your lawyer. And, I am not telling you
what to do.

One of my major focus points with clients is clarity. Fabulous decisions come from clarity. Make a
decision that’s right for you.

I love a great discussion! Keep the comments coming.

By Susan Burns 24 Oct, 2017

Recently I was engaged in a Facebook exchange among a group of successful business women. Someone asked for opinions on using Grammarly—an app that is marketed as “A FREE, ACCURATE GRAMMAR CHECKER BUILT FOR EVERYONE.”  

The comments started rolling in: “love it!” “best thing I have used in a long time.” “Cuts my writing time significantly.” And more like that.

I actually had installed the free app a few weeks before to give it a test run. I found it to be a nuisance because that little app was popping up and sticking its grammar-nose in every single thing I wrote. My emails. My blog posts. My word documents. That spelled danger to me, and I immediately deleted it.

My curiosity piqued, I checked the Terms of Service (which, admittedly, I should have done first). Here is what I found:

By uploading or entering any User Content, you give Grammarly (and those it works with) a nonexclusive, worldwide, royalty-free and fully-paid, transferable and sublicensable, perpetual, and irrevocable license to copy, store and use your User Content (and, if you are an Authorized User, your Enterprise Subscriber’s User Content) in connection with the provision of the Software and the Services and to improve the algorithms underlying the Software and the Services. (emphasis added)

Here's what you need to know:

  • Grammarly, Inc. is a Delaware corporation. They include in the definition of “Grammarly” not only the corporation, but also all of its subsidiaries AND other affiliates.
  • The definition of “Software” is “the software.
  • The definition of “Services” is … wait for it … “services.” 
  • And, although it is poorly drafted, it seems to be attempting to include any future Software and Services provided by Grammarly, which you recall also means any subsidiary or affiliate.

What does this mean for you?

It means that if you install Grammarly, whether it’s a free service or a paid service, you are specifically giving an unlimited perpetual license to your content to Grammarly and any company they affiliate with and any of their subsidiaries basically for any service they provide now and decide to use in the future.

That means that if you use Grammarly, instead of your own brain or a copy editor, you are no longer the exclusive owner of your content. That means they can republish, provide to third party affiliates, and use your data and materials any way they see fit.

The bottom line is that Grammarly has access to—and the unlimited, forever—right to use your content. Period.

And, once you install Grammarly, it is everywhere . It pops up in every document you create. Every. Single. One. If you don’t believe me, try it yourself.

Of course, lawyers and other professionals with a confidentiality responsibility to their clients are ethically prohibited from using Grammarly. (And, I hope they read the fine print.) But even if you don’t have an ethical responsibility to keep information confidential, do you really want to give up the right to your content?

Think about it! And next time, read the fine print. … or call me, and I’ll read it for you.

‚Äč*This post has been updated here .

By Susan Burns 28 Feb, 2017

The driverless car industry is hot and super-competitive. That’s a given. Here’s what’s not hot if you are Waymo, the self-driving car business that was spun out of Google’s parent company:

By Susan Burns 19 Feb, 2017

Recently, there was a trademark spat between Adidas and Tesla. The story piqued my interest because   the big players make mistakes that are instructive for small businesses (only on a grander scale)—and because it illustrates the importance of brand identity and underscores why it’s smart to register your mark.

In a nutshell, here’s what happened: Tesla filed with the US Patent and Trademark Office (USPTO) to register its Model 3, three-bar logo as a trademark. If the registration had been for the purpose of using the mark on a car, there would not have been a problem. BUT, Tesla registered to use its three-bar “E” on clothing. Adidas, a company known for rigorous policing of its brand identity, challenged Tesla’s right to register the mark as confusingly similar to the Adidas three-bar logo. Tesla withdrew its application. Adidas protected its three-bar brand identity.
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