How much can you expect to pay for an executive suite? One that includes your own office, furnished and equipped with phone lines and internet connection? One that includes a receptionist who meet and greet your clients, and answer the phone in your company name? One with a fully furnished conference rooms at your disposal? How about beverage service, light secretary duties, carwash and parking? If you lease a conventional office space and add all the amenities above, you may end up paying much more than you would like.
In Southern California, the average cost for a one or two-man office is $1000. Of course, there are fully serviced space for less, and if you work with a good consultant, he/she will do all the homework for you. This will get you the best space for the lowest price. The range for a 1-2 man executive office is $500-$2500.
Office consultants, aka brokers, work with at least a dozen office providers in any given area. A great consultant knows his office provider and has good working relationship with the office providers. A great consultant also knows the availabilities and prices of different offices in the area. More importantly, a great consultant follow up with his clients with price quotes, appointments, and contract negotiations for his clients.
For more information, click here to go to our website. www.officeblvd.com
Saturday, March 29, 2008
Friday, March 28, 2008
Executive Suites vs Virtual Office vs.Conventional Office Space
It's that time of the year. Your lease is up for renewal and you have to make a decision to renew your lease or look for new office space. You want to stay in your current office, but your landlord has doubled the rent, giving you no alternatives but to find another comparable office at the same rent that that you have been paying. Or even better, your business has outgrown the space you are in, so it's time to move to a larger office space to suit your needs. What about if you are working out of your house and has finally decided to maintain a professional corporate appearance because you ran out of excuses to have your client meet you at your office? In each cases, you will need to find new office space. But what type of office space will meet your needs and fit in your budget? You have heard the terms executive suites, shared office space, business centers, managed offices, fully furnished offices, virtual offices, conventional office space, traditional office space, and serviced offices. So which is which?
As a consultant for a premier office search firm in California, http://www.officeblvd.com, my focus is to listen to my clients and find out exactly what they are looking for, how big their company is, and what kind of budget do they have. I usually tell my clients that there are basically three types of offices: executive suites, virtual offices, and conventional offices. If you hear any other terms used, it's usually a variation of an executive suite. If my client is a new company, has no sales and no budget, but needs to establish physical presence for credibility purposes, then I would recommend a virtual office.
A virtual office package usually include a mailing address for clients to send you mail, a receptionist who answers your incoming calls in your corporate name, and a small block of conference room usage that you can use to meet clients once or twice per month. This package is not designed for you to go to your office on a daily basis, rather it gives you a corporate identity. Prices are normally $99 to $299, more or less, depending on the package you choose, and the location of the office. Some of my offices have locations all over the city and state, so if you need to meet a client in Beverly Hills, and your home office is in Irvine, you can set up a meeting in the Beverly Hills office if you are already a tenant. Lease terms are usually one year. Some office providers allow you to fill out online applications and pay with a credit card to secure your virtual office within hours. There is usually a setup charge and a deposit. A good office broker can negotiate the setup charges. This is where it benefits you to work with me.
An executive suite is a fully managed office with reception, fully furnished office, and fully furnished conference rooms and amenities. Your personal office is a small room, anywhere from 100 sq ft to 300 sq ft. You have full control of this office and can come an go as you please. You will have a telephone line set up for you as well as high speed internet connection. The key to the office belongs to you. At the same time, there will be other offices on the same floor with other businesses just like yourself. Everyone share the common areas such as the reception area, the conference rooms, and the kitchen/breakroom. The conference rooms are available on a reserved basis, usually with 12-24 hours notice, sometimes less. You will have a block of hours that you can use the conference room, if you go above your allotted time, there will be a premium charge, around $25 per hour. The biggest advantage for an executive suite is the receptionist. You will have a receptionist who will take inbound calls for you in your company name and tranfer the calls to you. For a small upcharge, she will screen the calls for you. There are miscellaneous fees for other services as you need them, but in most case, you will know what exactly what your monthly rent will be, which includes everything stated above. Flexibility also allows to have shorter lease, from month to month to 24 month leases. A typical lease is 6 to 12 months. Another huge benefit is that as your company grow and you add staff to your company, you can take additional offices on the same floor without changing your physical address or phone.
When I work with a client to find an executive suite, one of my key question is, "What is your maximum monthly budget?" If you are used to renting an office for $500, and paying $100 for phone, $100 for internet, and $100 for miscellaneous, then you should have an $800 budget for an executive suite. This is because one price will cover everything in an executive suite.
What if your requirements are larger? If you requirements are 1000-10000 sq ft or bigger, then an executive suite will not work for you. In this case, you will need a qualified real estate agent in the area that knows the area and can work for you to find the best space for your needs. This agent will meet with you, have you sign some type of buyer agreement so they can work for you. The minimum requirement for a conventional space is usually 1000 sq ft, $3k-$5k monthly budget minimum, and 3-5 year lease. There will be exceptions, of course, however, most agents doesn't like to work under those requirements. officeblvd.com has excellent relationships with a major real estate firm in Beverly Hills and Orange, and we know the real estate market in California better than any other brokers in the market. This is where it pays to work with us.
What is Office Blvd all about?
Office Blvd is established to help businesses, especially small and startup companies find office space. We assist in finding alternatives to long-term leases and large capital outlay that it takes to open a “conventional” or “traditional” office space. Our services include free search for executive suites, also known as serviced offices, professionally managed offices, office business centers, and furnished office space. We also assist in subleased offices, also known as shared office space, and virtual offices. If you have larger requirements, we will refer you to our partner in Beverly Hills who can help you with any size requirements. All of our services are completely free to you.
As a consultant for a premier office search firm in California, http://www.officeblvd.com, my focus is to listen to my clients and find out exactly what they are looking for, how big their company is, and what kind of budget do they have. I usually tell my clients that there are basically three types of offices: executive suites, virtual offices, and conventional offices. If you hear any other terms used, it's usually a variation of an executive suite. If my client is a new company, has no sales and no budget, but needs to establish physical presence for credibility purposes, then I would recommend a virtual office.
A virtual office package usually include a mailing address for clients to send you mail, a receptionist who answers your incoming calls in your corporate name, and a small block of conference room usage that you can use to meet clients once or twice per month. This package is not designed for you to go to your office on a daily basis, rather it gives you a corporate identity. Prices are normally $99 to $299, more or less, depending on the package you choose, and the location of the office. Some of my offices have locations all over the city and state, so if you need to meet a client in Beverly Hills, and your home office is in Irvine, you can set up a meeting in the Beverly Hills office if you are already a tenant. Lease terms are usually one year. Some office providers allow you to fill out online applications and pay with a credit card to secure your virtual office within hours. There is usually a setup charge and a deposit. A good office broker can negotiate the setup charges. This is where it benefits you to work with me.
An executive suite is a fully managed office with reception, fully furnished office, and fully furnished conference rooms and amenities. Your personal office is a small room, anywhere from 100 sq ft to 300 sq ft. You have full control of this office and can come an go as you please. You will have a telephone line set up for you as well as high speed internet connection. The key to the office belongs to you. At the same time, there will be other offices on the same floor with other businesses just like yourself. Everyone share the common areas such as the reception area, the conference rooms, and the kitchen/breakroom. The conference rooms are available on a reserved basis, usually with 12-24 hours notice, sometimes less. You will have a block of hours that you can use the conference room, if you go above your allotted time, there will be a premium charge, around $25 per hour. The biggest advantage for an executive suite is the receptionist. You will have a receptionist who will take inbound calls for you in your company name and tranfer the calls to you. For a small upcharge, she will screen the calls for you. There are miscellaneous fees for other services as you need them, but in most case, you will know what exactly what your monthly rent will be, which includes everything stated above. Flexibility also allows to have shorter lease, from month to month to 24 month leases. A typical lease is 6 to 12 months. Another huge benefit is that as your company grow and you add staff to your company, you can take additional offices on the same floor without changing your physical address or phone.
When I work with a client to find an executive suite, one of my key question is, "What is your maximum monthly budget?" If you are used to renting an office for $500, and paying $100 for phone, $100 for internet, and $100 for miscellaneous, then you should have an $800 budget for an executive suite. This is because one price will cover everything in an executive suite.
What if your requirements are larger? If you requirements are 1000-10000 sq ft or bigger, then an executive suite will not work for you. In this case, you will need a qualified real estate agent in the area that knows the area and can work for you to find the best space for your needs. This agent will meet with you, have you sign some type of buyer agreement so they can work for you. The minimum requirement for a conventional space is usually 1000 sq ft, $3k-$5k monthly budget minimum, and 3-5 year lease. There will be exceptions, of course, however, most agents doesn't like to work under those requirements. officeblvd.com has excellent relationships with a major real estate firm in Beverly Hills and Orange, and we know the real estate market in California better than any other brokers in the market. This is where it pays to work with us.
What is Office Blvd all about?
Office Blvd is established to help businesses, especially small and startup companies find office space. We assist in finding alternatives to long-term leases and large capital outlay that it takes to open a “conventional” or “traditional” office space. Our services include free search for executive suites, also known as serviced offices, professionally managed offices, office business centers, and furnished office space. We also assist in subleased offices, also known as shared office space, and virtual offices. If you have larger requirements, we will refer you to our partner in Beverly Hills who can help you with any size requirements. All of our services are completely free to you.
Tips on Leasing the Best Executive Office Space in Los Angeles
If you are considering moving out of that home office to get away from the family, or want to build a professional image for your company without all the capital outlay to start your office or multi-year lease commitments, then an executive office may be right for you. Executive suites are professional business centers that have all the amenities built in. One of the most beneficial elements of an executive suite is the reception services. Consider the fact that if you had to hire a secretary for your business how much you would have to pay weekly or monthly. The receptionist in a business center has the ability to answer calls for you in your business name using a sophisticated PBX system. For a small monthly up charge, she can screen the calls before transferring the call to your office, cell phone, or voice mail. In addition to the reception services, most of the executive suites are furnished offices, with an unfurnished option as well. Your private office will have a nice desk, chair, credenza, guest chair, and minor storage. It will have phone lines and internet connection hooked up and ready to go for you. The internet connection is usually a T-1 line, which is fast enough for most businesses. Some even have T-2 and T-3 lines installed. You will have a key to your office that you can come and go as you please. However, before signing the lease, make sure that the center has 24/7 access. If this is an important part of your business, you can’t afford to be locked out of your own office. The other amenities that are included in the executive suites are shared conference rooms, shared reception lounges, and shared kitchen/break rooms. The conference rooms are furnished with nice furniture, some with video conference and other multimedia devices. Check with your executive suite to see if they have the proper equipment that your business need when you use the conference room. Conference rooms are used on a reserved basis; usually you can let the reception know in the morning that you need the conference room for 8 at 3pm for 2 hours. Then at three, it is set and ready to go. Depending on the office providers, some offices have 2 or more conference rooms, so reserving a conference room at a time you need the most shouldn’t be very challenging. Here’s a friendly advice. Before you sign the lease, calculate how many hours of conference time you will need per month. Then ask the office provider how many hours of conference time they allow your business to have a month. A typical answer is 8-20 hours. If you go beyond those hours given to you, you will be charged extra. By knowing how many hours you will need to use, you can negotiate those hours into the lease before signing the lease. This way you assure yourself of not getting charged more than what your monthly rate is. If you don’t use the hours, they do not accumulate (in most cases). This is not a cell phone plan.
Beside the base rent, you will have several miscellaneous charges. The base rent usually covers your office, basic reception services, and conference usage. You will also have to pay for telecommunication charges. This is your phone and internet. A typical charge is $50-$100 each, which is fair, considering you don’t have to worry about setting it up or if it goes down. However, you will have a setup charge before move-in. Setup charges include setting up your office with furniture, phone, internet, and janitorial services. Most office providers charge anywhere from $250-$500 to set up your office. If you haggle with them or use a professional broker like officeblvd.com, you will get the setup charges waived in most cases. There are other minor charges, like fax services and beverage services, but the minor charges won’t break you.
Leases for executive suites are very flexible, anywhere from a month-to-month, to 3 months, 6 months, 9 months, and 12 months up to a 24 months lease. If you sign for a 12 months lease, the office providers will be very flexible in waiving the setup charges and also will give you a free month of rent. Again, if you use a professional broker like officeblvd.com, we can usually get you the best deal anywhere.
Also, consider the fact that you are signing a lease, and there will be a deposit. The deposit is usually one or two months of total rent (base + telecommunication + misc). Most will try to get you to pay two months deposit. If you have good credit, some will run your credit application and if it comes back favorable, the deposit will be reduced to one. Again, here’s where your broker works for you to get the lowest deposits.
End of month specials. This is the best time to get office space. Office providers have goals and deadlines to meet, and the last week of the month is the time that they are most flexible. Don’t wait until the end of the month to lease space; we can get you a fantastic deal anytime.
To sum up, let’s say your base rent is $850. The total communication charge is $200, and the deposit is $1050. Your initial check to the office provider will be $2100 or $3150, depending on the deposit. Your monthly payment to the office provider will be $1050, and that will cover everything. Before speaking with us, think about how much you can afford to spend monthly, a range. Give us that range, and we will find you an office space in that budget.
What is Office Blvd all about?
Office Blvd is established to help businesses, especially small and startup companies find office space. We assist in finding alternatives to long-term leases and large capital outlay that it takes to open a “conventional” or “traditional” office space. Our services include free search for executive suites, also known as serviced offices, professionally managed offices, office business centers, and furnished office space. We also assist in subleased offices, also known as shared office space, and virtual offices. If you have larger requirements, we will refer you to our partner in Beverly Hills who can help you with any size requirements. All of our services are completely free to you.
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