There is an increase in the number of entrepreneurs globally. The basic requirement for any kind of business is space. But, rising populations have caused a scarcity of space. Humans have used their creativity to counter this problem of shortage of space.

The solution is sharing spaces. The concept of sharing office spaces by small businesses is gaining momentum.

Benefits of renting an office space:

1. The businessman does not need to invest in purchasing the office premises. He can use the money saved, on his business
2. The rental of the office space is lower than the price of real estate. So renting office space results in huge savings.
3. The businessman is able to set up an office in a location of his choice. He can locate his office in prime locations at minimal expense.
4. Many rented offices have the expenses towards utilities, maintenance, etc, included in the rent. Therefore the businessman can focus on his business instead of being concerned about trivial issues.
5. Sometimes the rented office spaces have all the furniture and facilities included in them. So, the businessman can immediately start operations. He saves time and efforts of setting up an office. He can devote this time to his business.
6. There is a wide variety of office spaces available for a businessman to choose from.
7. The businessman has the flexibility of time duration for which he occupies the space. He can move out if he wants to expand or close down his business. On the other hand, if he purchases a premise he is bound to it.
8. Finding an office space for rent is easy. This is because office spaces are listed on space listing websites. These can be accessed easily through the internet.

Types of office spaces:

1. Serviced Office Space:

This is an office space which could be a room or an entire floor. These offices are fully equipped and managed by a facilities management company. This type of an office is usually located in business district of large cities. The tenants are usually provided furniture, a shared receptionist, equipment such as photocopiers, printers, etc. This further reduces the investment of the business. Most serviced offices provide conference rooms/ meeting rooms. They also have air-conditioning/ heating facilities, full-time security,

2. Sharing Space within an Office:

Sometimes, an office owner may downsize or change the nature of the business activity. In such cases, the requirement of total office space may reduce. The owner could think of renting out this excess space to a small business enterprise.

3. Shared Desk Spaces:

This is a method of sharing unused desk space in an office. The owner of an office rents out unused desk spaces to entrepreneurs. This works out as a mutually beneficial arrangement for the owners of the space and the tenants. This is because the owner is able to generate an income out of desks that were lying idle. The businessman has an opportunity to get space in an established office to operate. Some owners provide their tenant’s facilities such as free Wi-Fi and usage of equipment such as photocopiers, printers, etc. The rental of a desk space is generally very low.

4. Co-Working:

This is a popular concept where independent business owners share space in a common area. It is beneficial for them as it helps them in networking. This is also an economical way of setting up an enterprise.

5. Hot Desking:

This is an arrangement for sharing office space, where the desk space is rented out to different tenants for different shifts. By renting out space in this manner, the owner is able to double his income.

6. Virtual Office Space:

This is another concept of working which gaining popularity. In this case, there are no physical office premises. The employees are connected in cyberspace. However, they require a professional address. Renting a virtual office space implies renting a professional address and phone number. Sometimes, a dedicated receptionist is also hired to answer phone calls on the number provided.

Most startups look for economical workspaces. Hence, renting an office space is one of the most popular ways of procuring office space for a business. However, when sharing an office space the owner of the space should be aware of the nature of business of his tenants/ tenant. Business activities of the tenant should be conducive to those of the owner. Due caution should be taken so that confidential information is not accessed by the other businesses. The businessman can select a space from the variety of spaces available. He can also establish an office in a prime location at a low cost. This helps him attract clients.

 

Article Source: The Trend of Sharing Office Space