Business professionals who are actively looking for office space typically fall into two categories: a newly established company that’s ready to expand into an office space that can support business growth, or an established company that now needs a better solution for their office space needs.
Whether you identify with one situation or the other, you should always approach the process of finding office space with patience, an open mind and a positive outlook, since your decision will have a lasting impact on your business for years to come.
Here are three important questions when finding office space:
1. How much space do you really need?
Did you utilize all of the space in your previous office space? Do you expect your employees benefit from added communal space and amenities? It’s crucial that you think realistically about the space you actually need because rental rates for commercial properties are typically calculated per square foot and every extra square foot that you don’t use = money you’re wasting.
2. Are you willing to sign a long-term lease?
This is an important question to know the answer to because although you will typically get a better rate from commercial landlords for longer lease terms, this will prevent you from the flexibility needed to grow your business in different ways in the short-term. So when finding office space, you should decide what’s more important to your business, long-term cost-efficiency or flexibility.
3. Do you have specific layout needs and do you expect them to require TI (tenant improvements)?
Also known as Leasehold improvements, tenant improvements are “the customized alterations a building owner makes to rental space as part of a lease agreement, in order to configure the space for the needs of that particular tenant”. If you have a specific vision for your company, TI is a great opportunity to build your company brand and create a custom space in which your employees can thrive. But keep in mind that landlords are more willing to contribute to the costs of your TI if you agree to a longer lease term (typically more than 2 years), so you should give this plenty of thought before finding office space.
If you’re thinking about finding office space for your business or have any questions about leasing office space, contact us.