Being a new business owner can be overwhelming, but it is not true that there is a strict timeline to follow when growing.
Knowing when to get your first office can be a scary thought. Should I rent or should I buy? This article can help you understand when timing is right for you and the different options when doing so.
When is it time to get your first office?
As the owner of a fledgling business, it’s difficult to know when to take the leap and move to an office. In a crowded market where every business is fighting for its own slice of the pie, running a business from home makes a great deal of sense when first starting out. When you decide you’re ready, renting or buying an office space can help your business grow.
If your finances are healthy it could be the perfect time to take the plunge. However, there are some other indicators that may give you the incentive you need.
If your business requires meeting clients in person, it looks far more professional to do this in an office setting, rather than in your own home or having to suggest external venues such as cafés. You can look at hiring individual meeting rooms on an ad hoc basis, which won’t impact your finances as much in the short term.
With an increasing workload, you may be contemplating hiring staff. This is a great indicator of the progress your business is making, but hiring staff to work in your home is not an ideal solution. There will be less space for employees than in a traditional office and you are unlikely to have enough sockets for all the necessary equipment.
Working from home may sound appealing but sometimes the line between work and leisure time can become blurred. Leaving work behind after office hours means that it’s much easier to switch off and enjoy your evenings and weekends.
Should I rent or buy an office space?
There are many benefits to renting an office space before committing to buy. Renting a space is generally cheaper, with monthly payments that can be factored into your outgoings. Buying an office requires more significant upfront investment and as a start-up business owner, that may be beyond reach at the moment. In addition, you can agree to a lease where your landlord remains responsible for maintenance, meaning that any unpleasant surprises will be handled by your landlord and not yourself.
With much more of a range in the types of office you can choose from, there is something to suit everyone. Coworking spaces are perfect for start-ups, small businesses, and entrepreneurs who need a flexible work environment but don’t want to pay the high price of renting a private office. You can even go for a convenience of a serviced office, which comes fully furnished with office equipment and furniture, or a managed office, where you have a hand in designing your workspace.
If you are unsure whether to remain in the same area long term or you feel that your needs may change over time, a rental agreement means that you are tied in only for the length of the lease.
Where do I start?
It’s important to know exactly what you require from an office space before you look for it. How many employees do you need to provide space for? Would you consider hotdesking, which may require various adjustments, or does everybody need to have their own dedicated workspace? Where would the ideal location be?
Once you have your priorities in order, it is always best to go through a third party such as a workspace marketplace. This ensures that both you as the tenant and the host are protected.
Before signing on the dotted line, make sure you have read through the lease carefully. Don’t take a verbal agreement as legally binding; it’s crucial that everything is clearly articulated in the lease.
Taking the decision to move into an office space is unquestionably a risk, but doing it at the right time can propel your business to the next level. Make sure that you take your time over the decision to find the perfect workspace for your needs.