Technology has enabled a lot of office employees to work from home. Although the epidemic necessitated remote work, some companies recognized its advantages before Covid-19 laws went into effect, and many more are rethinking adopting this structure long-term.
While an office used to be necessary to run a business, our conceptions of what is required have evolved, and now, many wonder if conducting a business entirely online is the best fit. Our workplace attorneys are here with legal advice to help you weigh the pros and cons.
Since every organization has various demands and objectives, there isn’t a single response to this topic. While every firm is different, there are a few questions any corporation should ask itself before opting to maintain or eliminate a physical office.
In This Article
Alternative Locations to Run a Business
Home Office
Virtual Office
Physical Office
What Effect Does Remote Work Have on Your Staff?
Is a Physical Office Financially Worth It?
Can You Operate a Business From a Coworking Space Instead of a Physical Office?
What to Consider When Getting a Physical Office?
Can a Business Be Successful if It Is Ran Online Instead of in a Physical Office?
Alternative Locations to Run a Business
The primary goal of any workspace is to provide a unique, work-focused atmosphere that makes it simple for its users to do their tasks. As the culture of remote work grows, many business owners find themselves considering alternative choices, here are alternatives:
Home Office
Various small company operators, sole proprietors, independent contractors, solopreneurs, and digital nomads that operate from home offices utilize their home addresses for business purposes. Although using your home address could be the greatest option for you, it might not be the best option for everyone.
Virtual Office
Obtaining a virtual business address might occasionally be the best choice. A physical street address at a mail facility or in an office complex serves as a virtual business address. It’s not a PO Box, but it is a location where you receive parcels and business mail.
For workers to stay in touch, regardless of where they are situated, a virtual business address relies on the Internet for meetings, document sharing, phone answering, and video conferencing.
Physical Office
Offices can follow the corporate or contemporary layout. For higher-level employees, corporate offices still have distinct office spaces while regular employees often work in an open area with desks or cubicles, and they have specific conference rooms where meetings are held.
Contemporary offices provide employees with more freedom and creative room and often include coffee bars, gaming tables, and non-traditional structural design.
What Effect does Remote Work Have on Your Staff?
You know your team, their responsibilities, and their working style. Your staff may be negatively impacted by moving into their first physical office or making the switch to entirely remote work. While you want everyone to be pleased, it’s not always feasible to accommodate everyone’s preferences, and you have to consider if your business allows flexibility.
Conducting an online business might not be an option if you have staff whose responsibilities require them to engage with others in person. Think about how your team’s atmosphere affects the work they do, and assess if your present structure is beneficial or detrimental to them.
Is a Physical Office Financially Worth It?
Many people will initially question if the expense of a physical workplace still makes sense. Owning and operating an office comes with a high price, so if you don’t genuinely need one, you could be squandering money.
If your company is new or tiny, you might want an office in the future but not be able to afford one today. Some businesses benefit greatly from having an office and some firms look less credible if they operate entirely without an office.
Take into account how your clients might see this. Sometimes opening a physical office may increase revenue, due to the need for storage, meeting space, and product display. Consider all the costs associated with maintaining a physical office and decide whether the advantages are worthwhile.
Can You Operate a Business from a Coworking Space Instead of a Physical Office?
There has been a huge increase in the popularity of coworking spaces. If you need office space while maintaining an online business, a coworking space could work. This workspace is comparable to an office but is shared with others, using separate or communal spaces.
Coworking spaces are an alternative for businesses as well as freelancers and remote employees. A coworking space might provide you with the finest solution if you don’t want to bother with renting an office but are unsure if being completely remote is possible.
What to Consider When Getting a Physical Office?
Determining when it is appropriate to invest money in a physical workplace can be difficult. Consider the following when weighing the pros and cons of getting a physical office:
- Overhead Costs: Assigning a specific number of square feet to each employee is one of the general guidelines to follow when determining the size of the office you will be renting. You should also account for the expense of renting furniture, utilities, relocation, and maintenance that the landlord does not pay for.
- Client Portfolio: Having a consistent clientele and a cash stream that would pay the expenditures of an office is one of the first indications that you should think about acquiring one.
- Brand Image: Instead of you needing to reach out to clients and visit them at their workplaces, which is what happens in the early phases of your business, clients may want to see you at the office as your firm grows and your brand becomes more known.
- Employees: You will also be employing additional personnel as your customer list expands. It is not realistic to demand the same degree of dedication and work ethic from every employee as you can from the founding members of your company. So, you may need a collaborative workspace for your entire staff.
- Location: When renting office space, the office’s location is crucial. Daily commutes for employees should be convenient, and clients should have no trouble getting there.
Can a Business Be Successful if It Is Ran Online Instead of in a Physical Office?
Having a real office space is not always necessary for success. While having a dedicated office space has several advantages, including improved cooperation and efficient communication, many companies have created this dynamic running entirely online. It all comes down to having a staff with a strong work ethic and degree of professionalism.
Need Legal Counsel for Your Business?
To discover more about your business legal options when considering a remote workspace versus a physical office, call us immediately to arrange a free consultation. If you allow us to partner with you, we can implement a payment arrangement that conveniences you.
