Which Office Option to Select?
Which Office option is best for you? When setting up a new Office one has several options to choose from, ranging from moving into a rented office, owning an office, taking space in a Business Centre, sharing space with a friend or taking up a virtual office.
The options are quite a few, and each option comes with several choices, their own unique costs, advantages and disadvantages. So how does one go about figuring out what is best suited for ones needs?
Follow the simple steps below to to calculate the cost
Cost Comparison Table.
When comparing office options it is important to factor in the total cost as well as look at the total lifetime cost of the option that you are selecting.
Costs to include would be:
|Cost||Rented Office||Business Centre Dedicated office||Virtual Office|
|Building Maintenance||Add||Included in Rent||Included in Rent|
|Electricity||Add||Included in Rent||Included in Rent|
|Generator||Add||Included in Rent||Included in Rent|
|House Keeping||Add||Included in Rent||Included In Rent|
|Deposit for Office||Typically 10 months of Office Rent||4 Months of Cabin Charge||A small deposit.|
|Furniture||Add (unless included in Furnished office rent)||Included in Rent||Included in Rent|
|Telephone Lines and Equipment||Add||As per use, no fixed cost. (some business centres charge a set up cost)||As per use.|
|Internet, LAN, Wi-Fi||Add||As per use, no fixed cost. (some business centres charge a set up cost)||As per use.|
|Photocopier, Fax Machines,||Add||As per use.||As per use.|
|Coffee Vending Machines, Pantry Equipment||Add||As per use||As per use.|
|Conference Room Equipment||Add||As per use||As per use.|
|Office Assistants||Add||As per Use||As per use|
|Office Administration||Add or apportion cost||Included||Included|
|IT Infrastructure support||Add||Included for typical requirements||Included for typical requirements|
For Capital Expenses take an interest rate suitable to your business to make it a monthly expense.
Add depreciation cost / loss on sale in case you need to move office after 2-3 years.