A news release by CBI, the premier lobbying organisation for UK business on national and international issues, has revealed the results of their 6 monthly, GVA Grimley-sponsored survey. Focusing on the effects of the credit crunch on commercial and retail property, the results indicated that not only have fewer businesses expanded their property portfolios over the last six months but furthermore that businesses are actually planning to reduce their property holdings in the coming half year.
The surplus property issue is becoming common place in the UK where, against a tough economy, businesses are looking to scale down operations and pay only for space which is absolutely necessary. Luckily there is an easy solution for those companies who need to reduce their office space for whom the Serviced Office is proving to be an ideal solution to downsize for the downturn!
Cited in our recent article “Serviced Office Industry Success, Regus Defies Downturn and Avanta Office Enquiries Up” the serviced office allows companies to sign up to short-term leases rather than obligating themselves to a long-term, 3 or 5 year conventional lease. The issue of surplus space is another major factor now motivating companies towards serviced office accommodation. Paying on a per workstation, rather than per square foot, basis there is a direct correlation in serviced offices between the number of employees that a business houses and the amount of space that they pay for. This means that companies pay only for essential, used space rather than “dead” conventional space that allows for communal areas like corridors, toilets and etc.
Additionally serviced office business centres allow clients to both reduce and expand the space that they are using as and when they need to with minimal fuss and effort on the client’s behalf. The result is a flexible business base on bespoke terms, ideal for companies to keep a tight control on their finances amidst the credit crunch!
TO FIND OUT MORE ABOUT HOW A SERVICED OFFICE CAN BENEFIT YOUR COMPANY DURING THE DOWNTURN CALL 01932 834 720.
Sources: CBI Press Release 31/10/2008
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