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There comes a time when every business considers relocating. Modern businesses need the ability to respond to change and move quickly to stay ahead of the competition. There comes a time when every business considers relocating. Whether it is to accommodate an expanding workforce, to move closer to your market or simply because your existing workspace can no longer keep pace with your technology requirements, modern businesses need the ability to respond to change and move quickly to stay ahead of the competition. They appreciate the flexibility provided by the serviced office and managed workspace operators belonging to the Business Centre Association (BCA). Established in 1989, the BCA has more than 600 member locations and is the only UK trade association representing serviced offices and the managed workspace industry.
The BCA specialises in providing support and guidance to owners and operators of centres, while setting industry standards and encouraging a network of excellence. It also provides an invaluable advice and location finder service for potential users of flexible business space.
The business centre concept was originally conceived in the US in the 1960s and was introduced on this side of the Atlantic in the mid-1980s. While it got off to a slow start in the UK, it has been continually gaining momentum and has grown to the point where it is estimated that 0.8% of all commercial property in the UK is now available as flexible workspace. In addition, business centres across the UK operated more than 150,000 workstations by the end of 2006.
Business centres provide infinite flexibility. The length of tenure, size and style of workspace is totally flexible, so SMEs locating to business centres do not have to make long-term financial commitments other than three months’ rent. SMEs can also enjoy the freedom to resize their space requirements at short notice to accommodate changes in their business, so they never have to pay for unoccupied workspace.
This new-found flexibility is being grasped energetically by the majority of SMEs and start-ups to reduce their financial risk and allow them to change the size, style and specification of their workspace almost as often as they change their business plans. This ultimately makes business centres highly responsive and very competitive, giving them an edge over larger corporate competitors, which are tied into inflexible conventional property acquisition methods.
Much of the growth of the industry during the past 20 years has been innovation-led, as centre operators have continually introduced new products and services that enable businesses to work smarter and concentrate their resources on their core business, while leaving workspace management to the operators.
Fully equipped and furnished offices are now set up with the latest telephony systems and handsets, IT networks and, in many cases, plasma TV screens. In addition, boardrooms, meeting rooms and training rooms are usually equipped with AV equipment and videoconferencing facilities, while reception staff are on hand to take care of visitors, arrange couriers, take messages and ensure that any customer issues or requests are dealt with quickly and efficiently. Many centres also have support staff available to cover for a customer’s own shortages or to handle heavy workloads.
Recent innovations have included the introduction of cyber café areas, where centre clients and visitors can purchase food and refreshments, watch TV, surf the internet and network with other occupiers over a relaxing cup of coffee. In fact, the ability to network with other businesses is proving to be a big attraction for business centre customers.
Another area where business centres have led the way has been the introduction and provision of cutting-edge technology. Most locations can provide a wide range of IT services and support, and these, coupled with underfloor cabling, allow customers to literally sit down, plug in and start work. In fact, many technology-led SMEs are now finding that the level of technology available at business centres far exceeds that in traditional leased space without incurring significant start-up costs to equip for business requirements.
The costs for taking space at a business centre vary considerably, depending on the location, the size of the space or office required and the building’s level of fit out and décor. It is estimated that there are approximately 900 business centres in the UK, which range from small owner-managed environments to large international chains. Whatever your requirements, there is almost certainly a business centre package available to meet your needs.
Budget control is easy as all costs are transparent and inclusive of all building, heating and lighting, reception, security, maintenance, redecoration, refurbishment and cleaning charges. You get a single monthly invoice for a fixed amount, so there are no unexpected charges. Some centre operators also now offer an inclusive package with free broadband connection, unlimited telephone calls and refreshments, giving occupiers the ultimate in budget control.
In addition to controlling day-to-day costs, SMEs that take space in a business centre sidestep all of the liabilities normally associated with traditional workspace acquisition methods. Your rent is fixed for the life of the contract, be it three months or three years, and there are no hidden building refurbishment or dilapidation clauses usually associated with long-term leases.
For SMEs considering moving to flexible workspace, they should be sure to compare “like with like” when analysing the costs of prospective venues. To make a real comparison, rental costs must include service charges, utilities, business rates, building insurance, cleaning and maintenance, receptionist, furniture and, most significantly, telecoms, to generate a genuine comparison.
SMEs that are tired of the time, money and resources that they have wasted on the search for new workspace, combined with the length of time spent on lease negotiation, will appreciate the speed with which they can view and move into a managed space location. Many businesses have literally moved in the same day they viewed the space and most operators have the resources to reconfigure the workspace and handle requests for any special technical requirements within a matter of days.
However, one of the lesser-known advantages of flexible workspace is the ease with which customers can relocate or vacate with the minimum of fuss and liabilities. The need to open a regional office, test new markets, launch a new product, conduct an audit or even accommodate a team handling a company takeover can require the swift movement of staff to a new location. Most larger operators can easily facilitate the movement of customer teams between their centres, while some are also available to offer practical advice when a business wishes to relocate to an area where their present centre operator does not have a facility.
Companies that have tried to extricate themselves from a building on which the lease has many months or years to run will know what a costly and time-consuming process this can be, often incurring huge financial penalties. Occupants of flexible space rarely have to give more than three months’ notice and in this current climate of change, this benefit substantially reduces the risk to a company’s bottom line.
Searching for the right workspace – be it for relocating from existing accommodation or expanding into a new market – can be very exhausting and time-consuming, even for an experienced facilities manager or property director. It can also prove costly if the wrong building, location and terms of tenor are chosen.
The BCA web site, www.bca.uk.com, gives a free and impartial service that enables users to check out which business centre facilities are available across the UK. It also allows for sophisticated searches for specific business functions, such as videoconferencing, meeting rooms or virtual office facilities, to mention a few.
By selecting a BCA member centre, you have the assurance of knowing that the provider is a member of the only trade association representing the industry. The business centre industry is thriving and will continue to expand and develop as operators create new ways of meeting client needs.
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