When clients are searching for office space, one of the most often-asked questions is whether they should pick a serviced office or a leased office. While each has its own advantages and disadvantages, they are fundamentally diverse products that are best suited for different sorts of businesses depending on their size, stage of development, and future ambitions.
Here is a quick look at the difference between the two types of offices.
Serviced Office Space
Small to medium firms and organisations with an unknown development strategy and the potential to change size fast will most likely benefit from the serviced office market.
The flexibility you have with a serviced office is unrivalled since you may upgrade to a larger place if necessary, and if you need to downsize, your term will be shorter than a lease, making it less intimidating if the worst happens.
The cost of serviced offices is more, but it is worth it for the convenience. The offices in this market are very much a whole package, with IT and furniture included, so a company can be up and running right away. You’re also paying for flexibility: some contracts are only three months longer to allow for unexpected events and a trial period.
Serviced space also allows you to change your mind because the contract is so short, so if you determine that you no longer require an office, you can leave with no fuss and no actual paperwork.
Leased Office Space
In terms of contract duration and lifespan, a leased facility is a considerably more reliable structure. The space is generally rented from a landlord or building owner, and you will be left to your own devices as the tenant.
The stability factor works both ways: on the one hand, you have security for a certain amount of time without the possibility of being relocated, but on the other hand, there isn’t always room for mobility if you need to expand or downsize during the lease period.
A leased option is an excellent solution for larger firms that wish to have a level of exclusivity and privacy within the premises and/or have a long-term strategy with a steady income. A leased office allows firms complete control over the layout, design, and décor of the space, but this must be handled by the tenant. In terms of day-to-day operations, leased offices are more self-sufficient, but they normally require a member of staff to oversee the upkeep of the organisation.