Companies and their workers are more mobile and disparate than ever before. Couple that with so many new coworking options offering temporary office space, it’s no wonder many small businesses and business units and/or remote teams of larger companies are rethinking their physical office spaces, shedding the permanent overhead that comes with it.
Maintaining a permanent office space also means:
- Equipment lease and maintenance costs
- Less flexibility for employees with required traveling/commuting
- Higher payroll due to the need to hire a front-office receptionist/office manager
- Increased marketing costs as a result of required signage
- Smaller hiring pool due to location requirements
Here’s another compelling fact: nearly 10 percent of a small business’ expenditures are on office space and related expenses – ranking behind only employee wages and inventories (Priceonomics).
Of course generally speaking for small and large businesses alike it’s pretty expensive to rent office space in a prime location in a major downtown. In Seattle, rental prices for commercial have risen to $36.76 a square foot, 7.5% higher than a year ago (The Seattle Times). Those are hard numbers to keep up with and another compelling reason to consider temporary office space.
Shared office spaces all deliver the basics needs of a fully-functional work space. But instead of locking into leases with long term rental fees, shared spaces offer hourly, daily, weekly or monthly rates. Flexibility is the key attraction.
Before committing to space, consider things such as what kind of space will be most beneficial for your business. What is the atmosphere? What types of companies, small businesses and consultants share that space? Is there parking? Does it provide early morning or late night access? Can I use it to book an event or meeting? And so on.
One final point: a temporary solution makes it easy to accommodate the needs of the business as they develop. Some companies may require additional office space during peak periods. Another firm may need to vacate its current premises while looking for a better permanent space. Start-ups in particular opt for a temporary space until they gain a critical mass, then go to a permanent space; though many start-ups use a virtual office model in tandem with a temporary space.
There are so many more reasons why the temporary office space is a modern solution you must consider closely. You can start by checking out ATLAS Workbase.