Your business has finally outgrown your current office capacity. Maybe you were working out of your home or your team rented a studio, but now you have to figure out a long-term solution to allow your company to scale.
Finding the perfect office space is a major step for your business that can be risky. Real estate is an investment that can either pay off or cost thousands over time. We recommend paying attention to three factors that can make a difference for your company both financially and legally.
Of course, your office will be more than an asset; it’s a tool your employees and clients will have to interact with each day. Consider commutes, public transportation, amenities and your target demographics. How can you best reach your customers and skilled workers? You might either seek or avoid heavily urban areas.
#2: Repair and liability expenses
Older properties often have more personality, but can rack up expenses over time. You may end up paying for energy inefficiency, foundational repairs and upgrades.
Suspiciously cheap office spaces might tempt business owners on a tight budget. However, developers may have cut corners on things like electrical wiring or structure, which sacrifice the safety of everyone inside. You could be liable for injuries or fires caused by the building itself, so be skeptical of below-market prices and hire a good inspector prior to placing an offer.
Before you buy a commercial property, you should always check zoning requirements and local policies. Some cities might offer perks if you choose to set up shop, while others could discourage it. This can make a huge difference in tax payments and flexibility.
Along the way, business owners might also run into real-estate disputes with sellers or government entities. Although it can cast a shadow on this exciting process, you can fight to protect your business and secure an office space that will help your company grow.