Serviced Office vs Leased Office: What's Best for Your Company
It may be difficult to decide between the two options. To help you make an informed decision, let’s check the differences between serviced offices and leased offices.
Table of contents
- What is Serviced Office?
- What is a Leased Office?
- Serviced Office vs. Leased Office: Pros and Cons
- The Verdict
- How Office Hub Can Help?
What is Serviced Office?
A serviced office is a fully furnished and equipped workspace managed by another company. It offers ready-to-use office spaces with shared amenities like reception services, meeting rooms, and IT infrastructure. These spaces are typically flexible, allowing businesses to lease them on shorter terms.
With their capability of eliminating the hassle of setting up an office from scratch, serviced offices are undoubtedly gaining popularity in the UK. According to a report the number of serviced offices in the UK is forecasted to reach over 5,000 by 2026.
What is a Leased Office?
A leased office is a workspace rented under a longer-term agreement directly from a landlord or property owner. Unlike serviced offices, leased offices typically involve a more extended commitment, often several years.
Businesses leasing such spaces have greater autonomy in customising the office layout, design, and infrastructure according to their needs. Leased offices offer stability and allow companies to establish a more permanent presence. However, the businesses would eventually be responsible for the maintenance and administrative tasks.
Serviced Office vs. Leased Office: Pros and Cons
To make an informed decision, it's essential to weigh the pros and cons of a serviced office vs. leased office. Let's check them out below!
Convenience
Serviced offices are a much more convenient option compared to leased offices. The design, layout, and furniture are all provided when you move your office into the building, eliminating the need for setup. They are also usually equipped with high-quality amenities and services perfect to streamline workflows.
On the other hand, leased offices demand significant time, effort, and finances to establish from scratch. You are the one responsible for the workspace maintenance. This proves that leased offices are quite inconvenient, especially for startups and freelancers seeking a ready-to-use workspace.
Winner: Serviced Offices
Cost-effectiveness
Serviced office vs. leased office: which do you think is more cost-effective? It is essential to note that serviced offices only charge for the utilised space, eliminating the need for investments in empty spaces common in leased offices.
On the other hand, leased spaces demand a substantial capital outlay upfront. They require considerable financial commitment for setup and ongoing maintenance costs. Plus, using all the desk spaces within the leased spaces isn’t always guaranteed.
This higher initial investment makes serviced offices a more financially viable choice for businesses seeking to optimise costs and resources.
Winner: Serviced Offices
Authority
One significant difference between serviced and leased offices is the control and authority over the workspace. Leased offices typically offer more control and authority compared to serviced offices. This control extends to customisation, layout, and operations, giving businesses greater autonomy.
In contrast, serviced offices may offer many amenities but you have limited authority overall. You cannot personalise the space too much, which could affect your branding within the workspace.
Keep in mind that it depends entirely on you to decide whether this is a deal breaker for your business. While some businesses require authority on the planning and interiors of the space, others do not. Moreover, you can also opt for a lockable private space with company branding even if you are choosing serviced spaces.
However, when it comes to authority, leased offices are sure winners.
Winner: Leased Offices
Keep reading to discover the perfect pick when comparing between serviced and leased offices!
Flexibility
When it comes to flexibility, serviced offices outshine leased offices in the serviced office vs. leased office comparison. The scalability of serviced offices allows businesses to easily adjust their space requirements, scaling up or down, as per business needs. They also offer flexible hours, accessibility to multiple locations, and shared amenities.
On the flip side, leased offices tend to provide limited space for scalability. They often require long-term commitments, hindering the flexibility needed for scaling your business. Additionally, not all leased offices are situated in accessible or prime locations.
Winner: Serviced Offices
Community
Another significant difference between serviced and leased office is the kind of community they provide. Serviced offices thrive in vibrant, diverse communities, fostering collaboration and networking among like-minded professionals. The community is dynamic and expansive in these spaces, especially within coworking environments.
Conversely, leased offices, being more isolated, lack the broader community feel and often miss out on the networking and collaborative opportunities included in serviced spaces. The vibrant, diverse community within serviced offices adds immense value to professional growth and collaboration, setting it apart from others in business networking.
Winner: Serviced Offices
The Verdict
The verdict is clear in the battle of serviced office vs. leased space: serviced offices emerge as the superior choice. Offering unmatched convenience, serviced offices eliminate setup hassles by providing fully equipped, ready-to-use spaces with top-notch amenities. They prove cost-effective by charging solely for utilised space, sparing businesses from hefty upfront investments typical in leased spaces.
While leased offices grant more authority in customisation, businesses have begun to favour serviced offices due to their flexibility. Serviced spaces easily accommodate scaling up or down, adapting to changing work dynamics, and offering short-term commitments, which enhances agility.
Moreover, the vibrant, diverse communities within serviced offices provide extensive networking and collaboration opportunities, setting them apart. Ultimately, serviced offices stand out in convenience, cost-effectiveness, flexibility, and community, making them the winning choice for evolving business needs.
How Office Hub Can Help?
Now that you know which is better between serviced office vs. leased office, it’s time to find your ideal workspace in the UK. With numerous options available, the search might seem daunting. Fear not! Office Hub is here to help!
Our dedicated team is just a few clicks away, ready to provide expert, personalised advice for your desired workspace. We'll handle everything from shortlisting offices to booking tours and negotiating on your behalf! The best part? Our bespoke services are 100% FREE!
Amazing, isn’t it? So, hurry up and send us a message today! Your dream workspace awaits!
