My Business is Growing…My Office Space Isn’t

A great problem to have and a challenging one to have is a successful business that is growing but out-growing your office space.  A little planning when selecting your office space to rent will save you a lot of time and reduce any potential business interruption.

When considering your next office space, plan for your future growth.  You may want to contemplate an expansion option in your lease.  You must make certain the building you are considering can accommodate your future needs.  Ideally you may be able to have an “option” to expand into immediately adjacent space.  Options for this purpose are convenient but usually come with a requirement to act on the option in a limited amount of time if the landlord has other interested parties.  This means you may have to take possession of the office space sooner than you would have otherwise or waive your option and allow the landlord to lease it to someone else.

Absent the “option” mentioned above, you should make sure the landlord has enough potentially available space in the future to handle your growth needs.  Your expectation for growth and potential size requirements should be addressed in your initial lease.  Although exact lease rate and tenant improvement costs can be virtually impossible to predict, you can at least protect your growing business with the ability to terminate and move to a larger office space that will better suit your business needs.

The building’s capacity and the landlord’s willingness to help your future growth needs can and should be a factor in choosing your next office space to rent.  Having the discussions and negotiations today will save you a lot of down time in the future.

Advertisements

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

%d bloggers like this: