Tips on Office Leasing and Purchasing

With the rise in small businesses and individuals selling their services on the Internet has come an increase in the demand for office space of all shapes, sizes and prices. There are many considerations and pieces of information that future office owners and leasers should look into before making the plunge into executive realty. Perhaps the most important piece of advice that should be given to those looking into executive realty is to consult with business colleagues and associates who many have a more sophisticated knowledge of office buildings or space in buildings outside of the main business districts.

Considerations in Purchasing or Leasing an Office
There are several important considerations when deciding whether to lease or purchase an office. The first consideration before deciding to engage in executive realty is the budget range that one is willing to spend on the various costs of having office spaces, including rent and maintenance. This can weed out office spaces that are too expensive in comparison to the organization’s budget. Another consideration is location, which is especially important for a business without a significant online presence. Location can have an effect on pricing, size, and recognition, considering that holding office space among competitors in the same market can bring up the level of competition. Finally, the consideration of space issues is critical when looking at new office space. Moving to a new office typically means an effort to improve business and get ready for more growth, so getting an office of the same size as the old office space would seem to be a bad investment.

Types of Realty
Realty, or real estate, can involve any number of arrangements that transfer or hold property in the hands of one or more people. Realty can be used for office or other commercial space, public usage, or residential space. For our purposes, executive realty refers to the purchase or leasing of office space between a few hundred square feet and an entire floor for business purposes. Purchasing office space is great for bigger businesses or firms that are already seasoned, well known, and have the capital to afford not only the purchase price but maintaining the space to ensure that it always looks brand new. For smaller businesses or individuals looking to move into their first new office, renting executive realty may be the best option. While the long-run investment in purchasing office space may be less expensive, there is more flexibility in renting office space. This is particularly important for up-and-coming businesses that want to eventually move into a bigger, better office space with more traffic and more room to grow.

Space Needs for a New Office
It is important to understand not only the financial aspects of purchasing or leasing an office but what is to be done with all of the office furniture and supplies that will go in the office. One simple method of figuring out how much space will be needed in a new office is to look at the size of the old home or regular office where the materials will be moved from and increase it by 25-35%. This percentage is approximate depending on the size of growth projected over a few years, but it is good to have extra space for new employees, supplies, and furniture.

Another way to figure out how office furniture and supplies will fit into an office is the use of office design software. Two particular types of design software, 3D Spacer and SmartDraw, offer a simple approach to figuring out not only office space considerations but room and office design. 3D Spacer, available at www.3DSpacer.com, offers three-dimensional office templates for desks, chairs, and other furniture in order to get a realistic view of what the new office will look like. SmartDraw, available at www.smartdraw.com, offers a similar approach to office design that is probably simpler to use than 3D Spacer but not as sophisticated. Both can be downloaded from their particular sites and both offer free previews of the software before purchase.

Resources to help with Purchasing and Leasing Process
There are two web sites in particular that offer extensive resources to aid new office owners and renters in the process of moving up in the business world. One website is Office Finder, at www.officefinder.com, which offers links to a wide variety of web sites not only on real estate and commercial lending, but also for moving companies, office furnishings, and office software providers. Office Finder has an easy-to-use interface that allows people of any level of computer literacy to find what they need during the office upgrade process. Yahoo’s Small Business Directory also offers similar access to resources for those looking to own or lease a new office. Yahoo offers the comprehensiveness of Office Finder with the reputation it has built as a search engine, email, and news provider over the last decade.