Most entrepreneurs would consider cashflow as being one of their biggest challenges. It is therefore perhaps not surprising that the move to commercial premises from the comfort of a home-based office is a daunting one. If the entrepreneur's ambition is to have a growing business where ideas turn to a profitable reality, then the next step of signing a property lease is unavoidable.
As an entrepreneur, the idea of committing to a five year property lease when the company is still at the fledgling stage can not only be nerve racking but also rarely makes financial sense. One of the keys to survival, in the early years, is being able to expand and contract a business when necessary. Property is the second largest fixed overhead of most organisations so it makes sense for SME's to be able to reduce their office space when they need to.
In response to this demand for greater flexibility a new generation of managed office space has been created over the past decade in the UK. It is now possible for small businesses to lease empty offices, studios or light industrial space on a three month basis - often being able to rent high quality space which offers value for money and in good locations. However, this shouldn't be confused with serviced office space where business owners pay per work station, an approach which often comes with a higher price tag. Managed space allows SME's the luxury of stamping their own mark on empty commercial space without the financial commitment of a five year lease.
The next step for an entrepreneur is to source this property from the myriad of office rental companies. Most operators deal direct with the customer, so there will be no agents to deal with. The big three managed business space operators in the UK, Workspace, Evans Easyspace and Bizspace have seen such a surge in demand for this type of space that they've recently teamed up to create anyspacedirect.co.uk.
The website provides entrepreneurs with a huge range of business space to choose from, including light-industrial, storage, workshop, studio and office space - all available to let on flexible terms. The service has recently been launched as a phone application so that SME owners can pinpoint their exact location - via their mobile phone - and the property options in the vicinity will come up. Perfect if the SME owner doesn't know the area and needs a starting point.
Leases aside, one of the most interesting aspects of this new approach to office space is the sense of community SME owners realise when they locate to managed offices - an added advantage of moving from the home office to rented office space. Networking events are often on the doorstep along with communal meeting areas. In a large organisation, these things are taken for granted but as a start up business, the opportunity to easily network and be surrounded by other dynamic and innovative organisations reduces the feeling of isolation.
However, if the idea of leaving the kitchen table behind is still too big a move it might be an idea to test the water by renting a virtual office. This allows you to be part of an innovative business community, where you can make use of meeting rooms and communal areas, as well as having your phones answered and mail forwarded.
As an entrepreneur, gut instinct and financial acumen will ensure that the right decisions are made about property choices. What's new is that now the choices and flexibility are available.
For more information please visit www.workspacegroup.co.uk or www.anyspacedirect.co.uk
