Leased office space is really only suitable for a larger business. Apart from the fact that a new business will probably have to lodge a rent deposit, the signing of a lease will normally involve a commitment for a number of years, a liability which could be difficult to escape if things don’t work out well.
There will also be legal costs involved, as with leased office space, it is essential that a solicitor reviews the lease documentation.
Most leased office space is let unfurnished so it will be necessary for you to invest in office furniture, telephone equipment and IT infrastructure – so your capital expenditure could be significant.
This is rarely an option for the new start up business unless there are special circumstances.
This post was brought to you by Mathew Aitken at Companies Made Simple
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