Many freelancers and business owners start out by working from home, which can be a great option with a lot of benefits. But it also has downsides if you need employees on site, use large and noisy equipment, or just prefer an office environment. The good news is there are plenty of options available for you to find the right office, workplace, or co-working space.
The first step in securing your ideal work space is to list out the essentials for any location, as well as those things that would be nice to have. Along with your budget, this will help you filter out anywhere that isn’t suitable. It’s important to be honest about your requirements, especially if you might be locked into an expensive and long-term lease.
You also need to consider your potential clients and customers. A retail business might need a popular city centre location with plenty of footfall, but that’s probably not the case for most small web design or marketing companies. Especially if most meetings are held at client locations.
If you’re a solo business owner and prefer working around other people, then a shared office or co-working space will give you a more social environment with potential networking benefits. And when you’re an IPSE member, you already have access to hundreds of co-working locations through our partnership with AndCo.
Things to consider for your business location
There are lots of things which might factor into your choice of location, but some of the common considerations will be:
- Budget: Include rent and any additional costs for utilities, cleaning services, repair and maintenance, or other charges.
- Location: Don’t overlook your commuting time and cost, and the availability of local amenities.
- Size and layout: Consider your immediate needs, but also any short or medium-term plans to expand.
- Lease terms: Check the duration of any potential lease, renewal options, and any restrictions on the type of business allowed etc.
- Potential clients and customers: Expectations will be different depending on your business and your target clientele.
- Staff: With more people working hybrid or remotely, if you start to take on staff will you need space for all of them each day?
- Neighbouring businesses: You’ll often see similar companies all located in one area, because they offer complimentary services. It also avoids potential conflicts over noise levels and other potential disruption.
Renting or leasing office space
If you want a dedicated space for your business, you can look at renting or leasing office space, with the difference being the length of the agreement. If you choose to rent on a monthly basis or take on a lease covering multiple years, you need to be clear about the rights, responsibilities and costs that are involved.
This is particularly important for new businesses, as there may be issues if you want to terminate a lease earlier than planned. It’s worth checking if you can transfer the lease to another tenant or sublet any space if your circumstances change, along with any break clause which can allow either party to end things without prior notice.
It’s always worth getting specialist advice before making a large business commitment, and IPSE members can get help from a dedicated legal helpline along with discounted support from our partners.
Especially when you need to consider business rates, dilapidations (any damages or disrepair), and potentially Stamp Duty Land Tax (SDLT) in the future. Along with making sure you claim all available legitimate business expenses, and any grants or incentives that could be available.
Serviced offices
Instead of taking on a lease, you could consider a serviced office, provided by companies renting out desks or private areas to multiple businesses within the same building. This means that they’re comparatively low-cost and flexible, especially as they can normally be found in prime locations.
Other advantages to a serviced office include that they’re generally fully-furnished with plenty of shared amenities to attract potential businesses as tenants. They’re also generally offered with all-inclusive billing. Most will also offer networking events and opportunities.
The downside is that you’re limited in the space available, the opportunity to add your branding, and ability to make changes. And you can find meeting rooms are fully-booked or shared kitchens and spaces can be busy during peak times. If you’re scaling up staff levels, you may also find yourself limited by the room available if everyone turns up at the same time.
It’s important to check if utilities and meeting room usage are included in the rental price, or involve an additional cost. While many shared office buildings offer incentives like onsite gyms, roof bars and terraces and other attractions, if you’re not going to be using them then you could save money by looking at more functional spaces.
Co-working spaces
Co-working has become a hugely popular option for solo freelancers and self-employed business owners. And if you’re already an IPSE member, you already have access to it, across more than 400 locations.
You get the same benefits of a shared office, in that you’re provided with furniture, utilities, and communal amenities including kitchens, meeting rooms and more. The difference is that you’re based in an open-plan office beside other people, which means a much lower cost.
It can also be much more flexible. IPSE membership includes access to any AndCo location, so you can book a desk near to wherever you are on a particular day rather than being tied to one space.
Sharing an open-plan office space gives a lot more opportunities for informal networking and chatting throughout the day, which can be a big benefit if you miss interacting with colleagues or want to grow your network. As with shared offices, co-working spaces will often organise social events and opportunities, but it can be easier to introduce yourself to someone on the desk beside you.
It's also easier to scale up quickly for extra people, whereas you might find a small serviced office becomes cramped as you take on more staff. The flexibility also helps to accommodate hybrid and remote working more easily than leasing a big office that could often be half empty.
If you prefer a quieter working environment, noise-cancelling headphones can help. You can also check whether private spaces are available to protect client confidentiality, especially during meetings and phone calls. As with a serviced office, one downside is that you’ll be limited in terms of branding and being able to customise your workspace, particularly when it comes to chairs and furniture. If secure on-site storage is available, you can at least keep some things at the co-working space to improve comfort and avoid packing up your entire set-up at the start and end of each day.
Virtual offices
If you need a business address and a space purely for occasional client meetings, a virtual office could be the lowest cost option. Many providers will also offer phone and voicemail services, printing, or a shared receptionist, which can give a professional appearance while letting you work from home without clients turning up on your doorstep.
One issue is that Google’s guidelines for Google Maps and Google My Business is that you can’t use a virtual office for your listing, which means you may not appear or have your profile removed. It’s also worth checking the latest requirements for businesses listed on Companies House as the option to use a PO Box has now been removed, and a registered address must be deemed ‘appropriate’ or you can be struck off.
Find what works for you and your business
There’s a lot of overlap between virtual offices, co-working spaces, and serviced offices, so it’s worth checking all three options to decide what’s most suitable and cost-effective for your personal circumstances. It may be possible to find trial offers to see what you prefer, and if you’re an IPSE member you can try out co-working right now.
When you’re just starting out, it’s a good idea to keep costs low and avoid tying yourself into long-term leases and contracts unless absolutely necessary. It’s a lot cheaper to reprint any business cards with a new address as you grow, compared with the potential cost of terminating a lease early if things don’t take off as quickly as you expected.
There’s also a much wider acceptance of serviced offices and co-working spaces, with many large multinational companies also using them. You might be surprised at who your neighbours work for, especially with remote and hybrid working being more normal.
How IPSE can help you find the right office, workplace, or co-working space
Did you know that with any IPSE membership, you can access over 400 flexible workspaces across the UK and get a useful discount on meeting rooms?
Through our partnership with AndCo, we offer members an easy way to find co-working spots in cafés, hotels, and other welcoming venues - ideal if you're self-employed and looking for a change of scenery from your home office.
It's a simple, cost-effective option that helps you stay productive, whether you're between meetings or just need a reliable place to work for the day.
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