One of the most important factors in determining whether a restaurant will be a success is made many months before it even opens its doors. Selecting the right location is essential to attracting customers and driving consistent revenue. There are several critical factors franchisees need to consider when conducting due diligence in what may be the primary differentiator in their restaurant’s success or failure.

Bob Anderson of The Great Greek Mediterranean Grill shared his thoughts in a QSR article about what restaurant operators need to know when selecting a location for their business.

Location, location, location

It goes without saying that the most important part of real estate is location. Site selection should be a thorough process to find a location that is easy to attract customers and grow the brand. A good location should be in a visible, high-traffic area with easy access from major roadways. It should have plenty of parking or near public transportation. Customers are the primary source of revenue, so operators need to make it easy for them to access the restaurant.

It is also important that the restaurant location fits the brand. The size should not be too big or too small for the expected customer base. Many franchises have a site selection team to provide resources and information to help new franchisees choose the best location within their market.

Stay ahead of the game

Restaurant operators should be constantly searching for new or upcoming real estate opportunities. With recent bankruptcies and closings, more inventory is becoming available on the market, presenting additional property options for a business owner. Establishing relationships with developers, brokers, and landlords who know the local landscape of new and upcoming market opportunities can be advantageous. Just like many top jobs are not advertised, some excellent real estate opportunities never hit the street because they are relationship based. Another benefit to franchising is that many systems already have established relationships in place with these local groups, giving a new franchisee a leg up from the start.

Leveraging technology

Commercial real estate prices are higher in more well-populated urban and metropolitan areas, which can necessitate restaurant operators to use technological advancements to increase operational efficiency. Some examples of how brands can do this are through pop-up restaurants or digital kitchens to reach additional customers. They can also use automated systems such as self-ordering kiosks or mobile ordering to reduce wait times in smaller spaces.

Strategic growth

In addition to the importance of making an informed and correct decision on site selection to drive sustained profitability a restaurant, it can also set the foundation for long-term growth. Franchise restaurants may be able to benefit even more by operating an established model for scaling and growing the business. Franchises have partnerships with local real estate groups and can help operators identify new and existing areas that are ripe for business opportunities. Franchisees who conduct the proper research and due diligence when selecting a location or expanding their portfolio will take a big first step toward achieving profitability and success.

This article was originally published by Franchising.com.