Let’s say you are a small-to-medium sized business owner, looking at leasing office space, but you don’t really know what to expect regarding monthly costs of renting.
In this article, we will shed some real-world light on this question and, at the end of our fact-telling mission, we will give you a suggestion, or two, in how to beat the rising costs of office space for lease.
We are RDS Real Estate, leading the way in the Greater Fort Worth area with over two-million square feet of industrial and commercial property for rent. Call us at 817-439-3224 for more information and to speak to a leasing agent to arrange for a tour.
Now, though, let’s talk about the real world of leasing office space.
Leasing office space location rental cost
Commercial property for rent is priced per square foot, but for the purposes of this article, we are simply going to round-off the costs so we can have an easy-to-understand example to work with.
In most major cities, a stand-alone office in a strip mall, or an office space to rent in an office building, is going to cost you in the $1500-$2500 per month range, depending upon the size of the office suite. Yes, it is possible to find them for less, but more than likely those properties will either be in a poor, rundown area of the city, or it will be in disrepair and not worth the money you would pay in rent.
Now, to rent office space, those rental fees are high, but you must also consider the secondary costs of opening an office.
Secondary costs associated with leasing office space
Add to that rental fee utilities. Add to it the cost of signage. Add to it the cost of WiFi and insurance and furniture. It is no exaggeration to say that it is quite likely that you will pay $10,000 in start-up costs, and another $5000+ in monthly costs, simply to keep the doors of your agency/business open.
This explains why you see so many “for rent” signs in offices around this country, and it explains why so many small business owners are looking for an alternative.
A few alternative ideas to consider
The first alternative to consider is to run your business from your home. This will greatly cut your monthly costs, and provide you with income tax deductions based on your living expenses, since your home will immediately become a place of business. However, this option has its own set of problems, chief of which is the lack of privacy at your home.
The second option is to take advantage of coworking space, whereby you rent shared office space month-by-month. In this option, like property we own at Paddock Place Office Suites, in Fort Worth, you simply ren one month, two, for a flat fee, and utilities and Wifi are included in that rental fee, as is furniture. This is a perfect option for a small business which does not need a permanent address on a yearly basis.
The third option is to co-rent with another small company, this splitting your monthly overhead costs in half.
And, the fourth option, is to rent small. There is a growing number of commercial parks, like our own Box Office Warehouse Suites, which are targeting small businesses by offering small commercial properties, say properties under 1,000 square feet, which rent for around $1000 per month.
The point is this: you do have options, and they are viable options, and we strongly encourage you to check out some of these options in your city.
A final word about RDS Real Estate
RDS Real Estate is locally owned and operated, and we rock Fort Worth with high-quality commercial and industrial properties for rent. Call us and ask us about the Fort Worth Design District, and our newest business park, 917 Industrial Park. No matter what you need, you will find it with RDS Real Estate.