Why You Need a London Serviced Office
Many companies appreciate the breadth of choice when it comes to renting out a serviced office in London.
London is still the most prestigious place from which to run a business in the UK and there is a wide choice of premises available from which to operate your company. There are two main types of office space: the traditional rented office space and the serviced office space.
Traditional leased offices have been slow to respond to the quick movement of business economics. Companies are tied in to long leases and rather than incur extra costs, they have preferred to stay with that lease. The bigger the office space, the longer the lease. Office space above 5000 square foot could still incur a ten year lease. Rent terms shorter than five years tend to be attached to smaller offices. Although the situation is gradually changing, it is still not very flexible if the business is a start-up or fast-moving company.
Serviced offices tend to share services and office equipment such as photocopiers with other businesses in the building which can help to save costs. There are services included in the payment which will vary according to the building the office is situated in. This facility is very helpful to a smaller or one person company. The offices are furnished and decorated to a high standard and ready to move in and use.
Why Use Serviced Offices in London?
London serviced office space offers flexibility in both the size of the space and the length of the lease. Typically the length of a serviced office lease term can begin from three months, but shorter leases can be bought at a premium price. Because the offices come ready furnished it is easier to visualise your company fitting into the space. They can be hired to accommodate 1-100 people or more and the shared services help to reduce costs.
Apart from the flexibility offered by serviced offices in London, they can prove a more cost-effective way to do business in the short-term. A business can hire exactly the space it requires, at terms that will suit. If there is a pressing short-term need for extra space, then extra offices can be easily rented to fulfil that need and will equally be easy to vacate once the project is over.
Serviced offices are set up to make relocating simple. The management company staff are accustomed to a high turnover of companies and you will be settled and set up much more quickly than in an office where you will have to source the utilities, the telecoms and the computer points. You will gain more productive days from having everything there ready just to plug in and use.
Most management companies of serviced offices use standard licence agreements to avoid time-wasting licence negotiations. A company is less likely to have to pay towards building refurbishments and dilapidations claims at the end of the lease because the lease is so short.
What Do You Get with a London Serviced Office?
The benefits of a serviced office vary according to the building and location of the office, but here are some of the things that you can expect to be included in the lease of your office space:
Utility bills – gas, electricity, water and local authority rates
Telecoms – telephone system, broadband, ISDN, computer points and electric points already fitted and ready to use
Manned Reception area
Meeting and Conference rooms
Phone answering service
Air conditioning system
Car Parking – this is at a premium in London and may come at a higher price
Some of the offices may offer period features if they are in a converted older building. You may also be looking for access to natural light and that the office is situated close to local amenities. In London, it is easy to find serviced offices that are close to small town centres. This also provides rail and bus links for easy commuting.
Costs of a Serviced Office Compared to a Traditional Rented Office in London
A traditionally rented office will seem cheaper on paper per month, but there are associated costs that will not show up straight away. To the initial price, you will have to add either moving costs of your current office furniture, or the buying costs of fitting out the office. You may have to redecorate your space and you are responsible for the upkeep of the building. It is a good idea to commission a survey before signing the lease so that you know the condition of the building. At the end of the lease, the 'Dilapidations' clause ensures that you must leave the building in the condition it was when you first took it over. This can be costly depending on the work that will need to be done.
On average a serviced office will cost around 6-8% more than a rented office depending on the services included in the package. The cost is measured by the square foot (psf = per square foot) or by the desk (i.e. how many people are going to be in the office). The services offered will differ according to the building where it is situated. When comparing prices, it is best to compare like for like or keep a calculator handy. Although it may seem more costly in the short term, the flexibility of the lease and the ability to expand when necessary may make renting a London serviced office the right option for your company.
Finding the right serviced offices in London to suit your company can be time-consuming. It is worth taking advice, making a list of your requirements before you start and researching the areas that you would like to explore. You should also have an idea of how long you need the lease to be and what action you will take, should the unexpected happen and you need to expand. You can expect a lead time of about four to six weeks in order to secure the property, in order to ensure that you have checked everything out thoroughly. A lease once signed is legally binding and you will need to be sure that the office is set up correctly for you and your business.
Start your search for the perfect London serviced office today to find the perfect space to enable your business to operate smoothly, more efficiently and more profitably.