Two Important Advantages of Serviced Offices

Two Important Advantages of Serviced Offices

Despite the industry it is operating within, a company is always on the lookout for new strategies to reduce their overheads, and general operational expenditure. Larger companies, naturally have bigger budgets, and as such, do not need to place particular emphasis on cost-reduction techniques, as they focus more on increasing revenue.

Such companies can afford to rent out offices in the finest locations within thriving business districts and take advantage of a prestigious business address. Moreover, they do not have to worry about lease periods, particularly because their stature within the market, will ensure that they have enough reserve capital to sustain them, even when times are tough.

This, however, is not the case when it comes to smaller businesses. Businesses that are in their infant stages, and are looking to gain a foothold in the market, have to pay close attention to where their budgets are allocated. Moreover, unlike larger businesses, they need to source office space, and other materials with greater research, to truly find the most cost-effective solutions. Serviced offices represent one of the smartest ways in which these small businesses can reduce costs, while benefiting from the same advantages that larger businesses do. Let us take a brief look at the advantages these serviced offices provide.

Flexible lease lengths

When a business initially kicks off, it will be more concerned with building its brand image, and network, rather than actual sales. Developing a reputation within the market, will allow a business to sustain itself, even when markets are down, simply by relying on consumer loyalty. However, at the start, businesses might face cash flow problems, and will therefore need to protect themselves from all possibilities.
Most serviced office options come with flexible leases. Companies who do not currently have steady income flows, can reduce their risk by leasing serviced office spaces on month-to-month lease contracts. As such, businesses need to rent office space only for periods that they require the space, and will not be burdened with high rent costs, especially when struggling with cash flow problems.

Shift in immediately

Small businesses that are looking to quickly take advantage of new opportunities in the market, do not have the time to wait until an office location is ready. They will need to have functional office spaces immediately, so that they can stay ahead of the curve at all times. Serviced offices come fully integrated with a number of business services including secretarial support, high-speed internet connectivity, meeting and conference rooms, a business address, and many others. Moreover, companies will only be required to pay a fixed maintenance cost to the issuer of the serviced office, and not have to worry about maintenance.

Posted by Melanie Mendoza on Saturday August 30 2014, 6:19 AM EST. All trademarks acknowledged. Filed under Finance. Comments and Trackbacks closed. Follow responses: RSS 2.0