How to Lease a Private Office
In the modern-day business world, co-working offices have gained traction due to their flexible workspaces and affordable leases. But compared to private office space, this type of office comes with major trade-offs on the part of tenants. As a matter of fact, businesses that offer professional services and whose clients prefer the conventional office setting, such as accounting, legal counsel, business consulting, or financial advisory, might not find co-working spaces ideal.
For such businesses, and those that require thoughtful concentration, a private office is more ideal. Private offices provide businesses with flexible working spaces that can be leased per day or on an hourly basis. For businesses that are just starting off, leasing a private office provides amenities in corporate settings without having to buy equipment.
If you’re looking to lease a private office, here are important factors you’ll need to bear in mind:
- Clarify Why You Need a Private Office
Leasing a private office requires business owners to evaluate their reasons for getting such an office more deeply. Whether you are starting a new business or want to shift your office to a new location, knowing the motivation behind your decision to get such an office will have a significant impact on the office you choose and its location. You should consider the amount of space you need, which will depend on the kind of business you run and how many employees you have.
The main reason why people lease private offices is to meet customer needs for privacy. But you may also be moving from one private office to another. This shift may be motivated by the need for additional space as your business expands or the need to reduce rental or overhead costs. All these factors will determine the kind of private office you lease.
- Consider Your Rental Budget
Whether your business is just starting out or it has been in existence for several years, having an idea of how much you wish to spend paying for the space is critical. Before you go out looking for a private office to lease, have a price range in mind. Ideally, your office rent budget should be an amount that you can afford and sustain with ease without worrying that you might not have sufficient funds to pay for it if you have a bad month.
In addition to rent, pay attention to other expenses that you’ll need to cater for under the lease. Private offices are often located in shared buildings. While they are among high end office lease options available in the market, some expenses like reception and cleaning are shared. Include those in your rent budget price range as well, and be sure to compare those costs with what the costs of having your own reception and cleaning services on your payroll would be in an office space without those shared amenities. Talking to a private office service provider like Office Evolution can help you get clarity on which services are included in the rental cost and which ones are not.
- Pay Attention to Supporting Facilities
Before you commit to a lease for a private office, you need to evaluate the office space itself and its supporting facilities. For instance, if you’re looking to lease an office in a business center or a commercial complex, find out whether they experience frequent interruptions of major amenities like power outages that can interfere with your business. If you can afford it, opt for private offices that come with a range of value-added services such as conference capabilities, furniture, reception, refreshments, printing, and phone services.
- Ensure the Office is Easily Accessible
Another important factor to consider when choosing a private office to lease is the location. Depending on the kind of business you run, ensure that the office is easily accessible to your clients and staff before you sign the lease.
- Choose a Long-Term Lease Over a Short-Term One
When leasing a private office, you’ll need to decide whether the lease should be long-term, or short-term. Often, long-term leases are better because they are cheaper in the long run. However, this contract is ideal for businesses that are fairly established and have a consistent flow of cash. As such, choose this kind of lease if you have sufficient funds to pay for it or you’re confident that your business will be successful.
If you’re just starting off, consider getting a short-term lease. Though this type of lease has a higher initial outlay, it’s easier to terminate it in case you run into cash flow problems. Even so, you’ll need to renew the lease agreement every time it falls due. If you decide to take a short-term lease, ensure it has renewal conditions and discuss termination conditions in advance.
There are many decisions you’ll need to make for your business—leasing an office is one of them. If you’re running a business that requires you to lease a private office, considering the five points discussed above will help you find an office that meets your needs best.