1. There will be no proper transport and communication.

2. Electricity will not be available.

3. There will not be any facilities for repairs and maintenance.

4. Skilled laborers will not be available.

ADVERTISEMENTS:

5. There will be delay in getting the essential materials, because shops may not be there.

6. Specialized agencies-banking, engineering, insurance, etc. will not be available.

7. Important government offices may be situated in cities, as such regular contact is impossible.

8. Odd sales or purchases are not possible.

ADVERTISEMENTS:

9. Staff may not be willing to serve in the rural area.

10. There will be no scope for the expansion of business, because of the low sales.

After having decided the area-rural or urban for office purpose-the next step should be, to decide whether to rent or own premises. Both have merits and demerits, which are discussed next in detail.