7 Tips for Finding the Right Business Space for Your Startup
So, you’re looking for a place to call home for your startup?
Congratulations! This is certainly an occasion to celebrate as it means that your small business is growing. Whether you’re looking for a small space, a large space or a co-working space, it’s safe to say that this is going to help legitimize your business.
If you’re looking for a home for your startup, this one’s for you. We’re sharing seven tips on how to find the right business space for you to grow your business.
1. Find a Commercial Agent
First things first, it’s time to contact a real estate agent!
If you’re serious about finding a great spot, you’re going to want to work alongside a trusted local buyers agent to help you with your search. This agent will take your criteria and arrange a number of showings that suit your criteria. They will also handle your offer paperwork and provide you with advice along the way.
Rather than a residential agent, be sure to work with an agent that specializes in commercial spaces. Commercial real estate is an entirely different breed of animal than residential. This is why working with an agent that exclusively works with commercial spaces such as offices and restaurants is so essential.
2. Determine Your Necessary Square Footage
First things first, how much space do you need?
Let’s be honest, renting commercial space can be incredibly expensive. First, you’re having to pay a monthly rent. Second, you might be responsible for paying for certain utilities such as heat, hydro and water. It’s safe to say that these charges can add up pretty quickly.
If your business doesn’t require all that much space, you’re going to want to opt for something smaller in size. Not only is this going to save you money on rent, but it’s also going to save you from having to furnish such a large, unused space. In general, the “rule of thumb” is to have 125 to 225 of usable square feet per person.
If you plan to have a lot of employees, you’re naturally going to require a larger space. Remember, you want your employees to feel comfortable and relaxed in the office rather than cramped or uncomfortable.
3. Determine Your Aesthetic
What kind of space suits your branding and the overall feel of your business?
For example, are you looking for a space that’s more creative and original? These days, there are plenty of options when it comes to original office spaces. In urban environments, many businesses used new and used shipping containers to function as their office space.
On the other hand, you might require a space that’s more straightforward and accommodating to more employees. In this case, a more simple design with larger square footage may be necessary.
4. Find a Convenient Location
So, which location is going to benefit your startup the most?
When it comes to choosing your location, you want to find somewhere that’s convenient for your employees. You’re also going to want to consider what’s convenient for clients visiting your office.
In this sense, it’s always helpful to choose a location that’s close to public transit. This is why many startups aim to reside in a downtown location. Not only does this make it easy for your employees, but it also targets a young and thriving demographic of consumers.
5. Outline Necessary Services
The services that your company requires will determine the space that you need.
For example, do you simply require an office space with access to the internet? Or, more specifically, do you require an office space with certain services such as outdoor space or access to a kitchen?
If you require minimal services, you’re best to stick with a generic office space. Short and simple, more services are going to cost you more money. Although your business might not be using these additional services, they’re going to be costing you an arm and a leg.
On a startup budget, it’s safe to say that you’re likely looking to cut costs in any way that you can.
6. Consider Subleasing
Here in the commercial world, some landlords require lease terms that are longer than one year. In fact, it’s not uncommon for a commercial space to require a three, five or ten-year lease. With this, prospective tenants often need to showcase proof of revenue in order to qualify for such a long-term lease.
One issue that many startups face is convincing potential landlords that they can afford to lease the space. Without the proper credentials, it’s unlikely that you’re going to have the necessary documentation to successfully lease the space.
This is why many startups find success in subleasing office space. This allows you to rent a designated space for your business without having to produce the typical documentation.
7. Check Out Co-Working Spaces
Similarly, you can always consider renting space or even a dedicated room within a co-working space.
In this day and age, co-working spaces have become incredibly popular with startup businesses. In fact, the number of co-working spaces rose by 18 percent in 2018 alone. As more and more startups begin to require office space, this number is only expected to rise.
Not only is this a more affordable option, but it offers a space that is aesthetically pleasing to yourself, your employees and your clients. This type of space also offers services such as food, beverages and sometimes even gym.
Co-working spaces also allow businesses to rent space on a month-to-month basis. This means that you can avoid the need to commit to a year-long lease and avoid the need for significant documentation.
For startups looking for a trendy, affordable space, it’s safe to say that co-working is a win-win.
Finding Your Next Business Space
Is your living room no longer fitting the bill as your business space?
For any startup, it’s only natural for your headquarters to start somewhere small. After all, affording office space is a luxury that not every startup can afford. But, as you continue to grow your business and gain more employees, it’s likely you’ll feel the need to find an office to call home.
It’s safe to say that it’s time to upgrade!
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