First of all what is a serviced office?
- The official definition is office space that is ‘ready to go’. So that means its furnished and fully fitted out to either a single company or multiple organizations. The building is ran and maintained for you as you do not get involved.
- They also provide you with a Reception, Internet, Telephones, Administrative support, IT infrastructure, Cleaning, Parking.
- They are really appealing to start ups and small companies that are making the jump from being home based to becoming more professional and established.
They are cost effective especially in the short term mainly because of all the facility benefits that are included as mentioned above, which you would otherwise have to pay for separately yourself.
Just think about all the infrastructure that is required to run an office, printers, routers, telephones, shredders, desks, chairs, etc.
That all adds up to al lot of outlay just to open up an office.
Serviced offices cover all of this.
Short Term leases:
When you sign a traditional office lease they will lock you in for years, 3-4 on average. If your business fails in that time you are liable for the full amount of the lease. A serviced office however will offer an agreement with a 3 month revolving contract which gives you a lot more flexibility.
This allows young companies the opportunity to test their business model with out taking on the risk and liability that otherwise you would face.
Start ups and new companies can change and adapt very quickly and they need to have flexibility on their size as they can grow and contract depending on the market. Serviced offices give you the ability to increase or decrease the amount of space you are using very easily. With term leases on traditional office space this would be more difficult or maybe even not possible.
All the trimmings:
By being fully furnished, serviced offices also give you all the shared amenities that you need, a reception with a receptionist which saves you on staff, meeting and conference rooms and even a kitchen and a lounge area. If you had to set this up individually this would be a significant cost.
Sharing serviced office space with other like minded companies can give that meeting potential that can lead to cross selling, networking and other benefits just by being in the same melting pot.
So to answer the question posited at the start of this article, then yes, Serviced Offices would save certain companies a lot of money, especially start ups, companies in transition and companies moving from a home base to something more substantial.
Please Contact Us or call right now on 916-677-4200 to find out more.