A huge range of organisations are electing to use serviced offices today. Don’t fall into the trap of thinking that these are only small businesses, or that the space being offered is "back-street" stock – this could not be further from the truth in today’s market.
Flexibility is one of the key drivers that persuades an organisation to use serviced offices. Many new, but not necessarily small, businesses cannot accurately predict their headcount figures over a two or three year time span. These companies take flexible leases in serviced office buildings where they will be able to take additional space when it is needed. A traditional office may feature in the next stage of their property strategy, but for the time being they don’t want large overheads with high set up costs.
Existing businesses are beginning to make use of serviced offices as a part of their property strategy. Short term project work may call for short term offices, or some times the traditional property market is so overheated that many companies cannot find the offices that they need. In these cases the serviced office market comes to the fore – flexible solutions at fixed prices.
In addition there are many companies who have decided that they want to reduce their exposure to property. Real estate often consumes capital and time that could be better invested in a company’s core business. Serviced offices virtually eliminate real estate capital expenditure and leave property management headaches to the property owners.