Modern technology has changed the way we work. Many people now prefer to ditch daily commutes and work from their home office, a neighborhood coffee shop, or a coworking space that’s conveniently close by. And while it’s clear that remote work styles are growing in popularity, we can’t underestimate the value of a physical office, either. After all, videoconferencing cannot fully replace face-to-face interactions, be they brainstorming for a new project or just socializing during breaks.
More and more enterprises are starting to opt for a hybrid work model, giving their employees the freedom to comfortably switch between a physical and a home office. However, the question arises as to how well smaller businesses can adapt to this evolving work environment, and whether it is even worthwhile for them to invest in office space. Small startups in their early stages often lack the capital to secure a physical office and most of their work can also be performed remotely. Still, finding the right office space for a startup can be conducive to its growth.
Naturally, there’s a lot to consider when you start your search for a startup office space. Some of these include location, costs, lease length, and the size of the office. Startups, in particular, need the flexibility to scale up or down as their requirements change.
So, where should you start or grow your business?
Go conventional with a standard office space
Renting a standard office is the most reasonable thing to do when privacy and security are among your biggest priorities. You avoid the distractions common to shared workspaces and you’ll also be more comfortable discussing and storing sensitive information. Not to mention that most startups stem from an innovative idea, so the last thing you’d want is for that idea to leak before it’s ready to see the light of day.
Pros
- Meeting up with clients or new hires becomes easier in a space that is distinctly yours.
- It helps build a strong brand identity – you can furnish and design the space in a way that best aligns with your brand.
- It allows for more interactions within your team which can boost both creativity and productivity.
Cons
- The expenses may become overwhelming as you grow.
- It’s harder to scale up or down as your needs change.
- For the duration of your lease, you’re in charge of maintaining the space.
Considerations
- Get a report on all hidden costs before jumping in – knowing the full range of expenses will give you a clearer idea of how much office space you can afford.
Go fully remote or work from home
Building a business from home is an attractive and inexpensive option. It allows you to dedicate your entire budget to business growth, without spending much on the maintenance of a physical office. And with so many communication tools at your disposal, you can also easily stay in touch with your team no matter where you are. Some of these include Zoom, Skype, Google Hangout, Microsoft Teams, and Slack.
Pros
- A great way to save both time and money – no commutes and no overhead costs.
- You can work from the most comfortable spot in your home and personalize your workspace as you see fit.
Cons
- Social interactions are reduced to the online realm (no colleagues, only virtual ones).
- Distractions can occur, especially if you have roommates.
- It becomes hard to build good work/life balance.
Considerations
- It helps to have a distraction-free place to work from, ideally a separate room.
Work with other entrepreneurs in a coworking space
If working from home doesn’t cut it for you but you also don’t want to spend too much on conventional office space, then coworking spaces are a gamechanger. These shared offices offer something for everyone, from solo professionals to bigger teams. WeWork locations, for instance, provide hot desks for the occasional office goers, dedicated desks for teams of up to 4, as well as turnkey private offices that can accommodate 100+ people, with flexible monthly or annual memberships. You’ll also have the chance to work alongside other entrepreneurs and small business owners, making coworking spaces a networking goldmine. Plus, you can book meeting rooms by the hour whenever you’d like to switch from the vibrant communal areas to something more private.
Besides these, they usually boast inspiring designs and come packed with amenities that include everything from coffee and snacks to various business supplies.
Despite their attractive urban locations, coworking spaces are affordable options with flexible plans and no lengthy contracts.
Pros
- You’ll work surrounded by like-minded small business owners and entrepreneurs.
- Affordable but still makes you feel like you have a prestigious office.
- Usually in a convenient and attractive location.
- They offer some of the most flexible plans with no long-term commitments.
Cons
- Must pay extra for a private office if you want to work completely distraction-free.
Considerations
- Take advantage of coworking day passes to see if these collaborative environments are what your business needs.
Work from anywhere you like with a virtual office
Virtual offices are emerging as yet another attractive solution for budding startups. It’s no wonder: they offer a middle ground between working remotely and having a conventional office. In essence, virtual offices are a service that allows businesses to enjoy some of the perks of a traditional office without the overhead costs. This means that you can register your company at a prestigious downtown address, while you continue to work from an inexpensive suburban location. With a WeWork Business Address, you’ll even enjoy mail and package handling services as well as access to meeting rooms.
Pros
- You can have a strong commercial presence in a sought-after location.
- You can benefit from mail-receiving/forwarding services.
- It goes easy on the pocket.
- It requires minimum commitment.
Cons
- Fewer in-person interactions
- Limited services
Considerations
- Think about how often you’ll need to meet with clients and coworkers in person, then find a virtual office that also offers access to meeting rooms.
What’s right for your startup?
Before you get a business loan to lease out an office space, make sure it ticks off all the items on your wish list. Ask yourself if the space you’re looking at:
- Fits your budget;
- Is in the right location for your current and future employees;
- Is available when you need it;
- Helps you look professional and credible;
- Has the amenities and facilities you need.
There are many options available for a new startup, but it’s important to consider what will be best for you, as there’s no one-size-fits-all. Your workspace is where you will build and grow your company, so taking the time to research the market and find the right fit for you will be worth your while.