FAQs about serviced offices

Please find following a list of frequently asked questions about serviced offices:

1) WHAT ARE SERVICED OFFICES?

2) ARE SERVICED OFFICES MORE EXPENSIVE?

3) HOW LONG DOES IT TAKE TO GET STARTED?

4) WHAT ABOUT TECHNOLOGY?

5) HOW IS TELEPHONY HANDLED?

6) WHAT IS THE MINIMUM TERM?

7) HOW MUCH NOTICE DO I HAVE TO GIVE?

8) HOW AM I CHARGED FOR TELEPHONE CALLS?

9) WHAT ABOUT DEPOSITS AND BILLING?

10) WHAT ISINCLUDED IN THE FULLY INCLUSIVE RENTAL?

11) HOW DO I FIND SERVICED OFFICE SPACE?

Q1. WHAT ARE SERVICED OFFICES?
A. A serviced office is a ‘plug and play’ real estate solution that is suitable for a small start-up right through to a multinational corporation. Most serviced office operators provide everything you will need, from furniture and telephone systems through to broadband connections, meeting rooms, secretarial, IT and other support services.

To take up occupation of serviced offices could not be simpler. In many cases, you only need to turn up, sign a simple document and you can start working immediately. Serviced office space is sold and rented out on a fully inclusive basis so that it is easy to budget for. The terms are usually from three months upwards, and some operators will consider even shorter periods.

For additional information please see Serviced Office Benefit: Flexibility

TOP

Q2. ARE SERVICED OFFICES MORE EXPENSIVE THAN TRADITIONAL LEASED SPACE?
A. Typically, a company with up to 20 people moving into serviced offices can save as much as 50% when taking into account the cost of occupying and equipping traditional office space. In addition the time saved by not having extensive re-fit or fit-out periods can be critical to a business. And, of course, the resulting cash flow advantage and lack of maintenance and ownership costs of cabling systems, fixtures and fittings is attracting increasing numbers of people to serviced offices every year.

Occupation of serviced offices by companies with over 20 people can also be cost effective. The main reason for this is because you only pay rent for the desk area that you occupy and not for corridors, meeting rooms, receptions, server rooms, kitchens and so on. By way of example, say a company takes a traditionally leased building for 10 or 15 years but miscalculates or underestimates the headcount for future growth or restructuring (and therefore the amount of space that is required), they may find that they suddenly have a lot of empty space within their offices, which they still have to pay for. Their property liabilities could take many months or even years to mitigate.

In the case of expansion, such companies are often forced to move to new premises in order to continue to accommodate all their workers, and incur double overheads until the old space is disposed of. We know this because much conventional office space business involves such lease re-negotiation, and locating 'fag-end' leases; these are tricks many enterprising companies use to acquire cheap office space.

One of the most attractive aspects of serviced offices to their users is the flexibility that they offer, the value of which is impossible to quantify. Because of a) flexible leasing and b) the modularity of serviced office space, it is easy for a good agent such as Office Planet to change your office usage and therefore your service and rental charges. In many cases this can happen instantly, or at least within a very short time period.

To understand more about the comparative costs of serviced versus. traditional office space, please see our interactive cost comparison calculator.

TOP

Q3. HOW LONG DOES IT TAKE TO GET STARTED?
A. Most business centres can have a company fully operational within a matter of hours, and this includes fully functioning telephone systems, internet/network connections, and all basic office fittings and furnishings. Essential or additional bespoke office fit-outs or, for example, unusual IT security or communications issues could take a little longer. However, this still compares extremely favourably to the many months it would normally take to find, negotiate, lease and equip your own office space.

TOP

Q4. WHAT ABOUT TECHNOLOGY? HOW WILL MY COMPUTER NETWORK AND INTERNET ACCESS WORK?
A. Serviced offices are typically hardwired with, as a minimum, a CAT5 structured cabling system, with RJ45 sockets for each desk and ISDN or broadband internet connections throughout. This means you simply have to plug in your PCs, and you have an instant Local Area Network, as well as 'always-on' internet to every desk. Bandwidths will vary from centre to centre, but generally start from 512k or 1Mb. Most importantly, all this comes without the usual 12-month commitment or confusing ISP contracts and options.

Serviced offices offer truly 'plug and play' IT and network facilities, and we have seen that this on its own can be enough justification for a company to move into such premises. This is not only a cost issue. It is simply the most convenient way, given that nearly every company requires such connectivity, to occupy new premises and start working immediately.

TOP

Q5. HOW IS TELEPHONY HANDLED?
A. As well as fully installed telephone and extension systems, business centres usually provide a personalised phone answering service, providing an instant professional interface to your customers.

Telephone numbering is usually comprehensive these days, and either the operator or ourselves will supply a company telephone number as well as direct line numbers for all or most of your extensions. Some business centres can even offer numbers that you can take with you when you leave.

Many companies offer 0870 and 0845 numbers at competitive rates.Click here for details.

TOP

Q6. WHAT IS THE MINIMUM TERM?
A. The minimum term is usually three months. Some business centres can offer office space for even shorter periods. However, many new occupiers will take a longer term and secure an option to break after 3 - 6 months to give themselves as much flexibility as possible.

Rent reductions are not uncommon for companies who commit to a minimum of 12 months or longer, so unless it is a truly short-term operation you are seeking office premises for, it is usually best to take yearly terms.

TOP

Q7. HOW MUCH NOTICE DO I HAVE TO GIVE TO MOVE?
A. Some business centre operators will have a fixed term agreement so you simply move out when the contract ends, whereas others will require three months' notice, or the contract will roll on.

Office Planet offers a unique exit programme, a special service to assist companies wishing to move out of serviced offices. Please call 020 7290 1770 to find out more.

TOP

Q8. HOW AM I CHARGED FOR TELEPHONE CALLS?
A. Most operators charge standard BT business rates; nowadays only a few will charge any sort of mark-up. However, most operators provide some sort of discount or special rates for high usage or overseas calls. You may be required to pay line rental fees and/or a handset charge. Overall, telephony services are very cost-effective as there is no upfront capital outlay, maintenance or equipment cost that you would normally expect to pay in more conventional vacant office space.

TOP

Q9. WHAT ABOUT DEPOSITS AND BILLING?
A. Deposits — When taking up occupation of your chosen serviced offices, you will typically pay a service deposit equivalent to twice the monthly rent. This is considerably less than you would be required to pay in a traditional leased office building.

Monthly Billing — Most business centres will invoice you monthly (in advance) for the agreed, inclusive rental charge and service cost. Additional services used will be billed monthly in arrears. All bills and invoices are produced by the business centre provider or landlord; there is no third party involved.

Remember, WE will not charge you a thing to find offices for you and negotiate all the flexible lease and service requirements.

TOP

Q10. WHAT IS INCLUDED IN THE FULLY INCLUSIVE RENTAL?
A. The monthly fee usually includes rent, rates, building insurance, electricity, air-conditioning, cleaning and maintenance, furniture, telephone answering, cabling and internet connectivity. Generally however, it is always best to get confirmation of the inclusive and service charges from the operator before entering into a formal contract with them.

If you use Office Planet search and occupation services, we will of course clarify all this for you.

TOP

Q11. HOW DO I FIND AND SECURE SERVICED OFFICE SPACE?
A. First of all, fill in our brief registration form to inform us of your basic requirements. You can also search our on-line selections, to see if any properties there match your needs. If you do not see what you are looking for, we have many more vacant offices, both serviced and otherwise, available off-line.

We will offer you a FREE consultation to properly identify your service and location requirements, and once we have located suitable premises, according to your service needs and budget, we will then assist you in negotiating terms, signing contracts and moving into and occupying your new offices.

TOP