Could Shared Office Space be Good for Your Business?
Shared office space is, as the name suggests, where two or more companies share an office. This might be as much as sharing an open-plan area, with staff from different companies occupying different pods and workspaces within the large office, as little as an individual using a spare desk in the wider office environment, or even an entire floor that is used as space for rent.
Several individuals operating in a business capacity, or smaller enterprises, may band together to find suitable office premises to share. Alternatively, a company with existing premises might sublet part of their office space to an individual, a small company, or several individuals / small companies.
A shared office space offers an alternative to using a coworking space, a business centre, a home office, or otherwise. Shared commercial space can also be great for those looking for instant offices.
There are advantages for all parties when considering sharing office space:
Benefits for the Main Tenant
The main tenant, or owner of a building, can boost their revenue by subletting any vacant office space they have. Whether the unused space is large or small, demand will still be there. A company could maybe maximise their available space further by implementing a hot desking policy for part-time members of staff, thus making more desk space available.
In addition to the financial gains from renting the shared office space, a company can minimise their outgoings by sharing bills between sub-tenants. A further consideration is to rent out meeting rooms to sub-tenants on a pay-per-use basis. You could, however, include such facilities in the overall office rental rates.
Having another company within the same building can bring new clients to the existing business, especially if the different companies are in related fields. There are opportunities for cross-promoting services or products as well.
Benefits for the Lesser Tenant
Shared office space is generally cheaper than renting an office privately, and it is much easier to find a small office space for rent. You can share the costs of utilities and maintenance, or perhaps even find somewhere where such things are included in the lease agreement and rental price.
Going into an already established office premises can increase trust and add respectability to your business, and there are, as with the main tenant, opportunities to find new customers and clients and share ideas.
The premises, when sharing with an existing office, will generally already be ready to use. Whilst you might have to provide your own furnishings and equipment, there are also places that provide all the basics that you need to get started. The property may have features that you will find beneficial, such as meeting rooms, a canteen, and a reception area.
Benefits for Joint Tenants
Where several companies decide to share office space, the biggest advantages are cost related. Building rental is shared along with utilities and fees for essential services. There is greater scope to find a well-designed building, rather than being limited to smaller work spaces. Responsibility is shared between a team.
Shared office space can be a great solution for many companies.