In those lean startup years, it can be hard to justify forking out for an office. That’s why so many entrepreneurs set up shop at home. But if turnover rises, staff come on board, and clients become more numerous, then taking on a business premises becomes a logical and necessary next step.
Many businesses choose to transition because “they need to present a professional image” both to clients and to future staff, says Richard Morris, UK CEO of Regus, one of the country’s largest workspace providers. “It’s also about productivity. A lot of startups says that working from home is full of distractions; they want a place to focus on what they want to achieve.”
The sheer variety of spaces available can make finding the most “productive” and “professional” environment daunting. So if you’re new to the game of office hunting, what are the essentials to tick off your list? We sought insight from business owners who had made the move, and three key themes emerged:
Place
Where you base your business should be a strategic decision not just about where you want to be, but who you want to be near. “Think about what area is right for your customers” advises Morris, “but also for your employees. You might not have hired them yet, but if you’re looking to tap into a labour market then you need to think about the best place to locate yourself in order to do that.”
For Chris Hannaway, co-founder of natural sports-drink brand Overly, location was a major decider in his choice of office. Hannaway and his business partner had been working effectively from their respective homes, keeping in touch via Skype, but the “lack of divide between life and work” began to wear. Last year they moved into an office close to their homes in the Olympic Village, East London.
Hannaway says that for “small man bands” of one or two people, making sure your first office isn’t too far away from home will make the transition more successful. “Otherwise there will be a disincentive to go to it,” he explains. “I’ve know a lot of people that have taken an office and then not used it much because it was miles away.”
From a client-facing perspective, Hannaway says the importance of location varies based on how your business operates. Are they coming to you, or are you going to them? “It really depends on the industry you are in,” he explains. “Some want the cache of a particular area if clients are coming to visit, but for us that wasn’t so important because the nature of our business is that we go out and pitch.”
Space
Assessing your space requirements is essential to picking the right office, but this process isn’t always straightforward. A common mistake is choosing a space that suits your businesses’ needs at the time, and forgetting to consider the future.
This was the case for Chloé Nelkin, who launched her eponymous arts PR consultancy in 2010. After working from her kitchen table for four years Nelkin decided it was time to bring her small team together, and took a space in London’s Soho. She says that while choosing the area was simple – Soho is where her clients are – choosing the right size of office proved a stumbling block. “We made the mistake of moving into an office that fit the company as it was,” she says. “At the time it felt like such a big step that I didn’t look forward. We ended up outgrowing the office within four months.”
Nelkin advises other businesses to “always rent a space that is one or two desks too big” so that you don’t end up tied to a space that’s too small. Morris agrees that room to grow should always be factored into your choice of office. If you don’t have the funds to invest in a bigger office upfront, then try finding a building where it is easy to relocate to a larger room when you’re ready. “Businesses often misjudge their future requirements; it is a manifestation of uncertainty,” he says. “Then they find they cannot expand when they want to.”
People
Many homeworkers report feeling isolated, so moving to a workspace can be a meaningful route into professional communities. “Being part of a mini business-ecosystem can have a lot of value,” says Morris.
Jewellery designer Sian Bostwick went from soldering in the spare room of her Kent home to being named New Designer of the Year at the UK Watch & Jewellery Awards in 2014. She says none of this would have been possible if she hadn’t found the right workspace three years ago.
This turned out to be the Nucleus Art Centre in Chatham, comprising more than two dozen studios and facilities for artists. “I didn’t want to be isolated as an individual designer, and the centre is a very supportive environment,” she explains. “A shared office gave me space to host clients, hold open studios, have journalists visit, and to engage with other artists’ work. It had a huge impact on my business.”
She counsels others to be patient and wait until they find a place where they feel “at home” and that has a strong sense of community (she signed up to a six-month waiting list in order to secure her space). “Don’t just search on property websites,” she adds. “I was doing that without much luck. I found out about the centre by going to networking events, and through that I met the people that run it. It isn’t just about Googling, it’s about going out and meeting the right people who can give you the right advice about where to be.”
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