Prime office space

[emg35]

I was searching around Craigslist today and started looking at office spaces. I notices a few spaces that had great locations and were inexpensive. The town I live in puts on around 3 or 4 huge events that draw out most of the locals and hundreds of thousands of tourist. Plus they put on a lot of smaller events that draw crowds of 3,000 to 30,000. My thinking is that If I can get I prime location and come up with an eye catching sign that the exposure alone would pay for the space. Anyone have any thoughts or experience with this type of advertising/office space marketing?

 

[LGilmore]

Re: Prime office space?

I paid for an office for 19 years. Averaged 2 office visitors a year. The rest of the time, I went to them or was on the phone/email. Things are evolving in such a way that an office presence may not be necessary. It's your money.

 

[The New Guy]

Re: Prime office space?

Just curious, what would you expect to be paying for your office?

Then I can give you a better answer.

 

[emg35]

Re: Prime office space?

The inexpensive spaces would be $300 to $700 everything but phone paid for. I looked at one today for $650.

 

[The New Guy]

Re: Prime office space?

Would that include all the utilities? Gas, electric, water, sewer, taxes and trash?


Is the inexpensive space in the same traffic location?

 

[emg35]

Re: Prime office space?

Everything is paid except phone. The only ones I'm considering would be very high traffic locations.

 

[The New Guy]

Re: Prime office space?

Here is a short list of some things you need to consider.

What are you using now that you don't like?

Will you have any employees? Whose going to answer the phone? What will you do when you have to go to a clients location?

How far from your home is this location. You will have to drive there and back at least once a day, and many times multiple times a day. What about lunch, bring it with you, or eat out everyday?

You will have to pay for phone, internet, insurance, office supplies, and furnish this location. Computer, Fax, Phone, Desk, Chair, File Cabinet, frig, etc.. New service for a business phone line usually means a security deposit. Not to mention a rent deposit.

A sign will run you from $450 to $3000 or more, depending on the size, one sided sign or two sided sign, and the location.

What is the term of the lease? What happens if the location doesn't provide the traffic you need? A month to month lease would work, but a 1 to 5 year lease could spell trouble.

How well disciplined are you to go to work every day? At the beginning it will be all fun and games, but sitting there day after day, hour after hour gets old quick. Especially, if your phones not ringing.

I would say a good rule of thumb is figure your location will cost you 2 to 3 times the cost of your rent per month to operate. That's without employees.

 

[Mr. Bill]

Re: Prime office space?

I would say be careful of the phone - many office buildings have setups where you have phone restrictions, especially executive suites.

I have noticed more and more and MORE people working out of starbucks or home. How badly do you really need an office? Even Vicki Gunvalson (Real Housewives of Orange County) works out of her house.

 

[xrac]

Re: Prime office space?

When I started in business (non insurance) I was convinced I needed an office. My advisors persuaded me to start from home. I worked from home for 9 months. The reason I got an office was that I out grew home. I had two employees and too much paper. Three desks in my family room. It was disrupting home life and I had too many cars in the driveway but it was effective for me and saved me a ton of money. If I were starting today unless I was doing P&C I would operate from home until I outgrew it.

 

[norcalinsurance]

Re: Prime office space?

I have an office & my home office as well. I feel that having an office location is valuable to give your business a more established and successful presence to your customers. I and many of my friends & co-workers that feel that telling a customer to meet at an office is much more professional than saying let's meet at a Starbucks.

But I do a lot of work from my home office as well, so it's really a toss-up. Whatever works for you!

Good luck.