Is your business planning on expanding? Do you have a growing need to develop your presence in another region? Are you concerned about the risks and costs of setting up a second (or third or fourth) office? Alleviate your fears and keep costs down by using a shared office space first.
A shared office space allows you to access all of the important office related expenditures, such as the physical space, telephone usage, copier usage, office staff, Internet access and more without needing a large budget or being tied into long term lease agreements. Shared office spaces make it possible for you to test out a new location without all of the hassles of traditional expansion. Once you’ve experimented with the new location you can either stick with the shared office space for additional cost savings or look for your own space.
Here are four reasons why you should consider shared office space as an alternative to traditional expansion.
- Gives you the presence that you need: The biggest benefit of working with a shared office space in a new location is that you can be in the new location as a serious business. You can’t test out a market if you aren’t really part of the market to begin with. Shared office space allows low risk entry into the market. Getting business center space will allow you to establish your business in the new location, hold meetings, get calls, etc, just like a local business would.
- Low cost: We’ve mentioned it before, but cost is a huge factor in expanding a business, and a shared office space significantly cuts costs. Although there is a higher rental amount for a shared office space versus your own lease agreement, shared office space rental prices include much more than just the physical space. The cost includes telephone lines, repairs, maintenance, coffee and beverage service and other necessities that you’d have to pay out of pocket with a traditional office.
- Flexible to your needs: Once you have traditional office space, you’re stuck for the long term. With shared office space, you can try out new locations and different infrastructure arrangements to figure out what works best. For example, you may find that you need a partial office staff three days a week and full time for two days, you can adjust your needs with the shared office space staff and get exactly what you need.
- Serves as a transition point for your business: As your business expands, you may find that you need your own space, or you may feel that your shared office space more than meets your physical and business needs. No matter what the case is, shared office space is terrific as a transition point for your business. It allows you to expand without fully committing to expand. If everything goes well, you can make a decision to stay in the market for the long term. If the region wasn’t right for your company, you can just pack up shop and move on.
Rather than expanding traditionally, look into shared office space as a solution for your growing business needs.
Managing Partner, Silicon Valley & Marketing
Keith has over 15 years experience as President and co-owner of American Executive Center prior to joining PBC, and is a highly regarded figure in the OBC industry. He holds a B.S. in Finance from Santa Clara University.