ALTERNATE OFFICE SOLUTIONS

ALTERNATE OFFICE SOLUTIONS

A. SERVICED OFFICE

1. What is it?

·         A serviced office is a plug-and-work option for any type of business, providing both space and services, for a flat monthly fee.

·         You can move into a fully furnished office suite of a service provider within 24 hours.

·         It provides an immediate solution to your office requirements like workspace, private cabins, meeting and conference rooms, video conferencing, business lounges, pantry, café and staff.

·         These include secretarial support, a reception team, infotech support like phone, photocopier, fax machine, internet access, furniture, air conditioning, maintenance, housekeeping and security service.

2. Its benefits

·         There is no upfront cost for setting up the business or fee for estate agent/solicitor.

·         It gives the flexibility to expand or contract office space as business grows or reduces.

·         You only need to pay a fixed fee, depending on the number of days you use the space.

·         The entire outgoing amount is tax-deductible and treated as standard operating expense.

·         You don’t need to sign a long-term commitment for lease agreement.

·         It is cost-effective for companies that are just setting up business, or for established firms that want to cautiously expand to new territories.

·         It is an excellent way of managing investment risk, while offering a cost-effective and flexible solution to start-ups and firms that require off-site office space.

·         The shared and centrally managed facilities can reduce overheads significantly due to its flexibility and ease of use.

·         It also saves significantly from not having to hire a large, permanent staff, recruitment and retention issues.

·         It also saves the bother about salaries, electricity, telephone bills, etc.

3. Its drawbacks

·         A serviced office does not offer any scope for customization or visible company branding, as is provided by leased or owned offices.

·         There is less business visibility as the name may not appear in the building’s main lobby.

·         It is not a company asset as you do not actually own it, although you are spending for it.

·         It may be a good solution for a short duration, but not a cost-effective option in the long run.

B. VIRTUAL OFFICE

·         A virtual office provides only services and does not offer any exclusive physical space.

·         It offers the benefits of administrative support and pay-per-use access to common facilities such as meeting rooms, IT services, etc.

·         It is ideal for industries that employ consultants, or for small home-run businesses, which want a professional address and access to top-class facilities, but do not need full-time workspace.

·         As there is no office rent, a virtual office is even more cost-effective than a service office.

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