Editor’s Note: This post was originally published on Seattle 2.0, and imported to GeekWire as part of our acquisition of Seattle 2.0 and its archival content. For more background, see this post.
By Kristina Hudson
Okay, so you think you’re ready for prime time i.e. your company is gaining traction, you need to start hiring additional talent and finding a space in which to collaborate becomes critical to the success of your project.
Here are 5 things to remember when moving from your garage to your new office space:
1) Start the process early…If you are under 25 people, start the search at least 6 months prior to commencement of operations. If you are 25-50 people start the search 9 months prior and if larger, start working the problem at least a year prior to move in.
Why so much time?…In lease negotiations time is your friend if you have enough of it. You want to be able to shop around and compare your options before making a decision. If you leave it until too late you will normally pay more and be less satisfied with the results. The fact is that finding space that meets your needs, negotiating a lease, building out the space or at the very least providing new paint/carpet, lining up all the other vendors (Phone and cabling, furniture, movers, etc) to get the space up and running always takes more time than you think.
2) Know what you want before your start the search…the rule of thumb is that you’ll need approximately 180 square feet per person (which includes support areas and some circulation) when planning for space needs, always budget in some space to accommodate your growth. Let’s face it, moving is a pain and it’s expensive, so planning up front will save you time and money.
3) Use your space and location as a tool to attract and retain top talent. Decide what’s important to you and your employees…easy access to amenities, bus lines, free parking, access to a building that provides heating and air conditioning 24/7?
4) Keep in mind that the least expensive space for you to occupy is one that only needs minor work (paint & carpet). If the landlord has to sink thousands of dollars into the space, they will be more mindful of your financial statement and more likely to ask you for the dreaded “Personal Guarantee”.
5) Not sure how much space you will need in a year or two and the landlord wants a 5 year commitment…think about subleasing space as a great shorter term solution. Normally the rent is less than the going market rate; furniture is sometimes in place and your start up costs are less.
Given current vacancy rates the next couple of years will be a great time to lease office space and the costs for everything you need to outfit your office should remain low. Beyond 2 years who the heck knows…!
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