What To Consider When Renting Office Space For A Small Business
Are you looking to rent out an office space for your small business, but feeling a bit overwhelmed with all of the options available to you? If so, it will help to consider the following things to ensure it goes smoothly.
Get A Feel For A Fair Cost
While there are not any definitive resources that will tell you how much an office space should cost, it will help to take a look at similar locations that appeal to you and get a feel for how much those office spaces cost. After viewing several spaces, you will eventually learn how much an average office space costs per square foot, and you'll determine what is a fair price for each space that you see.
Location, floor placement, and even the age of the building can play a big factor in the cost. That said, all landlords are looking to get your business, and there is always room to negotiate.
Consider The Lease Terms
Some motivating factors that can determine what kind of office space you will lease are the terms of the lease itself. How many years do you need to commit to the office space? What happens if you need to break the lease because your business fails? Is there a discount for picking a longer lease?
For example, some landlords will cover rent abatement periods for a longer lease. You may get an offer for one month of free rent for each year you agree to in a lease. Starting a 5-year lease with 5 months of rent abatement can be incredibly helpful to start off your business and put the money into other important company resources.
Consider The Foot Traffic
Do you have a type of business that requires foot traffic of people walking by, or is it a private office for you and your employees alone? This is definitely something to consider because your location is going to play a big factor in how much you pay per month in rent. If you do not have customers walking in the door, then you can afford to move further away from a city hot-spot where rent will be a bit cheaper. However, the location shouldn't be too hard to get to, since you still need to attract employees to your business to work for you, and the length of a commute to a remote area may be a dealbreaker for potential employees.
For more information on office space rental, contact a real estate professional.