2016-12-15 00:00:00OperationsEnglishExplore how to thrive in a cloud-based office location. You save money on real estate costs, which you can reinvest in your products and...https://quickbooks.intuit.com/ca/resources/ca_qrc/uploads/2017/03/Man-Operates-Business-Without-An-Office-Space.jpghttps://quickbooks.intuit.com/ca/resources/operations/can-your-business-operate-effectively-without-an-office-space/Can Your Business Operate Effectively Without an Office Space?

Can Your Business Operate Effectively Without an Office Space?

2 min read

The idea of renting an office space for your small business or startup might be exciting, but a commercial lease may be out of reach financially if you’re just starting out. Gauge whether you need physical location by the number of employees you have, how they work — online or offline — and how you sell your products and services. In some cases you might need a small office, and in other cases, an office may be an unnecessary expense. Consider the pros and cons of setting up a virtual business instead.

Business Type Dictates Office Space Needs

In the digital age, software applications drive commerce. Running your business out of a virtual office — where you and your employees work in disparate locations across Canada and worldwide — can save you thousands of dollars annually if you run a website or build apps, for example. You can even run a robust retail empire from a virtual office, such as a drop shipping or subscription box business, because another business handle fulfillment. You might also consider how you interact with your clients and customers and understand what impresses them, as well. If you interact with your clients and customers solely online and an aesthetically-pleasing website is what impresses them the most, you can forego renting a brick and mortar office space and concentrate your resources on perfecting your products and services.

Attracting Talent

You need top talent to grow your enterprise quickly and efficiently, but you don’t always get the best if you require new hires to relocate, as they may not want to move. Contrarily, running a virtual office opens up the pool of applicants you can attract because they can work for you from their preferred location. You also save money by offering a remote work option. Should you hire workers who live in areas where the cost of living is low, you can pay them salaries that are appropriate for their regions, which can be a significant cost savings.

Tools Can Simulate Workplace Environment

You can run small and large teams of workers with the help of cloud-based tools such as Evernote, DropBox, and Slack. A tool like Evernote lets you create and share assignment details. DropBox provides centralized location for teams to share project documents, and Slack provides a virtual workroom where workers can chat about everything from projects to pets. A tool like GitHub allows teams of software developers to work on a single project from any location. You can also run your accounting department seamlessly with cloud-based bookkeeping and accounting software.

When Meetings Are Necessary

There may be times when face-to-face meetings are a must, and this is can be a challenge of not having a brick and mortar business location. You can, however, rent a private meeting room in a coworking space or an executive office suite to meet with clients as needed. You might also consider renting an inexpensive office space to accommodate any employees who get more out of working in a business location than at home.

References & Resources

Information may be abridged and therefore incomplete. This document/information does not constitute, and should not be considered a substitute for, legal or financial advice. Each financial situation is different, the advice provided is intended to be general. Please contact your financial or legal advisors for information specific to your situation.

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