What is a Serviced Office?
Explore the benefits of a Serviced Office through our Serviced Office guide. Get in touch to discuss how Noble Harris can assist you in finding your next workspace – using our services at zero cost.
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What is a Serviced Office? Our Guide
Serviced offices are primarily designed to provide convenience and flexibility for tenants. Most serviced offices come fully equipped with everything businesses need to plug and play from day one - typically equipped with desks, chairs, WiFi, as well as professional cleaning services and utility bills generally being included in your monthly cost.
Serviced offices generally offer more flexibility in terms of length of leases, understanding that businesses often don’t want to commit to long leases as their requirements may change quickly.
Additionally, a dedicated property management company will often be appointed to handle the ongoing maintenance and management of your workspace, as well as assist with your company’s lease negotiations.
What is the difference between a Serviced Office and a Private Office?
Whilst there are many differences between serviced offices and private offices, the majority of these differences are related to convenience and flexibility. These differences are highlighted below, which generally apply to most serviced and private offices but make sure to check with the office provider before:
Lease Terms
Serviced offices typically offer flexible, short-term leases, making it ideal for businesses that anticipate changes in their business requirements or for those that only need temporary space. Short-term leases can sometimes even be provided on a rolling month-to-month basis, allowing businesses to adjust the size of their office or to cancel completely, depending on their changing requirements. The lease flexibility of serviced offices is particularly appealing to start-ups and scale-ups where teams grow quickly and requirements are difficult to forecast.
Most private offices require longer-term commitments, typically with a minimum of twelve months but often a multi-year agreement is required. Long-term commitments can prove to be cost-effective and also provide more stability for businesses, but these spaces are suitable for established businesses with predictable space requirements.
Convenience
Serviced offices generally come fully furnished with desks, chairs and other essential furnishings that are required for businesses to get operations going quickly. Serviced offices also typically provide high-speed internet, utilities and professional cleaning as part of the monthly cost, making them a convenient and hassle-free option. Again, the simplicity and convenience of serviced offices make them much more appealing to start-ups and scale-ups.
Private offices generally come unfurnished and require tenants to arrange for all of the necessary furnishings and equipment to be purchased and delivered. Additionally, tenants of private offices will generally be required to set up their own utilities and arrange professional cleaning services.
Costs
Contracts for serviced offices are typically all-inclusive, providing a single monthly fee for the office space, utilities and cleaning. This makes financial forecasting easier for businesses and more predictable for tenants of serviced offices, but this may come at an additional cost per square foot versus a private office.
Conversely, renting a private office generally only covers the cost of the office space itself. Tenants will then need to arrange for utilities and professional services, which may be time-consuming and will increase the total price of renting the space, which is important to bear in mind when you are viewing the base price.
Flexibility
One of the key advantages of a serviced office is its high degree of flexibility. Businesses can scale up or down quickly, adapting to changing needs without the constraints of a long-term lease. This makes serviced offices particularly suitable for growing companies, seasonal businesses, or those with fluctuating space requirements.
A traditional private office offers less flexibility due to longer lease commitments and the need for more extensive setup and exit procedures. Businesses that opt for this type of office must be prepared for a longer-term arrangement and the associated responsibilities of managing utilities and professional services. While this option provides longer-term stability, businesses are less able to adapt to sudden changes in their business needs or size.
What is included in a Serviced Office?
Furniture
Serviced offices typically come fully furnished with essential items such as desks, chairs and storage units. This enables businesses to move in and start working immediately, without the need to purchase or transport furniture. Most serviced office providers will ensure offices contain ergonomic furniture, designed to support productivity and comfort.
Utilities
All necessary utilities, including electricity, water, heating and internet are typically included in the monthly fee of serviced offices. This means that businesses do not need to worry about setting up or managing utility accounts, which simplifies the move-in process. The inclusion of utilities also aids in predictable monthly budgeting, as there are no additional costs beyond the agreed-upon rent.
Cleaning
Regular cleaning and maintenance are included in the serviced office package, keeping the workspace clean and hygienic. Professional cleaning staff take care of daily chores such as vacuuming, dusting, and trash removal, which allows employees to focus on their work. This service contributes to a pleasant and productive work environment.
Front Desk
Many serviced offices offer front desk support, which includes handling mail, greeting visitors, and performing administrative tasks. Receptionists may be able to manage phone calls, schedule appointments, and provide assistance to both employees and guests.
Meeting Rooms
Access to meeting rooms or conference facilities is typically included, providing spaces for client meetings, team discussions, and presentations. These rooms are often equipped with modern audiovisual equipment and comfortable seating arrangements. However, meeting rooms are often shared with other businesses in the premises so you may need to book them well in advance.
Shared Amenities
Serviced offices often feature shared amenities such as kitchens, break areas, and sometimes gym facilities. These amenities provide convenience and comfort to employees, offering places to relax and recharge during the workday. Access to showers, gym facilities, and break areas can be helpful to improve employee satisfaction and wellbeing.
IT Support
Technical support for IT-related issues is usually included, ensuring that any problems with computers, networks, or other technology are promptly addressed. On-site IT support can help troubleshoot issues, maintain equipment, and ensure that all systems run smoothly. This service is vital for minimising downtime and maintaining productivity.
What are the benefits of a Serviced Office?
Space Flexibility
Many serviced office providers offer businesses the ability to easily adjust the size of their workspace on an ongoing basis, as the size of their team grows or decreases. This means that businesses can quickly adapt to changing needs without the constraints of a long-term lease. This flexibility is especially beneficial for startups and scale-ups that experience rapid fluctuations in their team’s size requirements.
Convenience
These offices are ready-to-use with no downtime for setup, allowing businesses to move in and start operations immediately. Everything from furniture to internet access is already in place, allowing businesses to plug-and-play from day one. This convenience eliminates the hassle involved in setting up a new private office.
Simplicity
All-inclusive pricing simplifies budgeting, as rent typically covers utilities, cleaning, and support services. This model can be particularly advantageous for small to medium-sized businesses that need to manage cashflow carefully.
Location
Serviced offices are often located in prime city areas, providing your business with an address that can enhance your reputation and credibility. This can be a significant advantage for businesses looking to attract clients and employees.
Networking
The proximity to other businesses within the same building can lead to valuable networking and collaboration opportunities. Sharing common areas with other companies can foster relationships and partnerships that might not have been possible otherwise. This environment can be particularly beneficial for businesses looking to expand their professional network and engage with like-minded professionals.
What are the disadvantages of a Serviced Office?
Costs
Serviced offices are generally more expensive per square foot than traditional office spaces. The higher cost is due to the added convenience from all utilities and professional services being provided. Businesses need to consider their need for these benefits and determine whether the flexibility and higher rate per square foot is advantageous versus a private office or remote set up.
Design
There is limited ability to customise the space to fit specific branding or functional needs. Unlike traditional offices, where businesses can design the layout and interior to match their brand identity, serviced offices often come with pre-set furnishings and designs.
Shared Facilities
Common areas such as meeting rooms, kitchens, and lounges are shared with other companies, which might lead to scheduling conflicts or lack of privacy. This shared usage can sometimes result in competition for space and resources, potentially disrupting business activities. Businesses that require frequent use of common facilities might find this aspect of serviced offices challenging.
Quality
The quality of facilities and services can vary significantly between different serviced office providers. It’s important for businesses to thoroughly research and visit potential serviced offices to ensure they meet their standards and requirements.
