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More SMEs moving into serviced offices

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An increasing number of small and medium-sized enterprises (SMEs) are seeking to take advantage of serviced offices, it has been claimed.

Victor Asuncion, executive director of CB Richard Ellis, noted that such companies can run up large overhead costs at the premises if they are not careful.

But they have options to reduce their office expenditure, he told GMA News.

Ms Asuncion explained that serviced offices – which come fully furnished – represent an alternative to setting up a business workplace from scratch.

For companies which do not necessarily need a permanent base, they may well be the ideal choice, he said.

SMEs are able to operate from a prime business location that otherwise would have been out of their financial reach, Mr Asuncion said.

Renting a serviced office in such areas – for instance, central London – helps give the SME a higher reputation in business, he noted.

It also has the potential to build market confidence in the company, Mr Asuncion added.

When considering the merits of a serviced office, SME bosses may wish to consider the alternatives.

With limited budgets, many entrepreneurs are forced to create home-based offices, and as they grow, look for cheap commercial premises in low-profile locations.

By using a serviced office, such companies are able to move right to the heart of the action – into the city centre.

This brings them closer to their customers, suppliers and partners, and gives small businesses the best possible chance of operating profitably and growing in the future.