Types of Office Space: Which One Is For You?
Choosing an office space shouldn’t be hard for an upstart business owner. However, if you are tasked to find an office that will fit your business or your organization’s requirements, the pressure is inevitable. Why? Because your decision will have repercussions to your business. The wrong location, for example, can cost your business potential clients.
Given that landlords prefer a minimum of a 5-year lease, office space hunters should consider the following:
- Is there room for my business to grow?
- Is it the right location for my key employees?
- Is the location convenient for clients?
- Does this office send the right message?
- Are there hidden costs that I need to consider?
- What is the parking situation?
- Is the office ADA compliant?
- Would I consider sharing an office?
- What if I sell the company during the course of the lease?
- How secure are the lease and rental rates?
By asking yourself these questions, you will be able to narrow down the office you need by location, size, costs, business compliance, and flexibility in terms of lease agreements. The next step is to look for the type of space you need. This is probably the most exciting part of office space hunting. The list below describes the main differences of a coworking space, serviced office, shared office space, sublet office, and a virtual office.
1. Coworking Space
Maybe you don’t need a full office at this point in your business. For example, if you are a work-from-home independent consultant, or employed on a telecommuting basis, a change of environment from time to time is all you need.
A coworking space is where people can rent a cube, desk, or a room per day, multiple days or per month. Membership usually includes rights to the kitchen, copier room, and a mail room. There are coworking spaces that offer cool perks like access to a nap room.
The main benefit of a coworking space is cost-effectiveness. It gives you the personal space you need to be more productive without the expensive rent. Plus, you’ll be rubbing elbows with like-minded people.
2. Serviced Office
A serviced office is a level up from a coworking space. It’s an office that is managed and supported by an onsite service team. You have a dedicated receptionist with mail-handling, phone-answering and PA and secretary services.
Your office space and the common areas are looked after you. Flexible leasing and easy leases take the hassle out of renting, that’s why this type of office is popular for budding businesses that need admin support and reception support that a coworking space doesn’t offer.
3. Shared Office Space
A shared office is created when the lead tenant of an office rents desks or office space out to a different business. Here you will have access to shared amenities, facilities, and costs while creating an open and uniformed atmosphere. You will experience a great community vibe without feeling overmanaged. Plus, everything is already set up for you – desk, internet, phone, etc. It’s a great substitute for a more expensive corporate office.
4. Sublet Office
Imagine renting a conventional office space half the cost? A sublet office is a great way to rent a traditional office space without taking on the big responsibilities that come with the contract. The lead tenant will have permission in their contract stating they are allowed to sublet their office to a new business. A sublet office gives you the independent feel of your own commercial lease without locking you into a long-term agreement and large deposits.
5. Virtual Office
A virtual office (VO) is perfect for independent service providers or a digital business that can be run from anywhere. A VO provides you all the services of a managed office without the physical space. You’ll be entitled to call-handline and reception services and an address to deliver your mail. Typically, a discounted desk hire or a meeting room hire is also accessible. VO is the most affordable type of office because you’re not renting an actual desk space.
6. Leased Office Space
There comes a point in your business where you’ll need a dedicated office space that can accommodate your growing team. This stable place that you can count on could be a leased office space. A leased office space is a customizable space you can rent to set up your own equipment and accomplish important work. The contract may range from 1 year to 5 years minimum, and typically requires a deposit.
Still thinking of the type of office space you need at this point of your business? Contact us today and talk to one of our office space experts for free.