Space Pace

Entrepreneur, March, 2001 by Pamela Rohland, Babs S. Harrison

Robert McGarvey

Is your start-up set to rocket into an office of its own?

WANT TO START your business in a hip, new office space? Although it may sound more appealing than meeting customers and investors in your home's dining room, renting office space is one of the more tricky steps a young company can take. Sign the wrong lease--on space that proves too small, is too expensive or is in the wrong part of town--and you may doom your business to an early demise.

Knowledge is key, so we provide you with resources here to help you lease the perfect office--or help you realize that this is a move worth putting off

OFFICE SPACE 101

To develop some knowledge before touring your first empty box, read up on the basics.

* The Commercial Lease Guidebook: Learn How to Win the Leasing Game! (MacOre International) by Thomas G. Mitchell and Warren Jessop. This book offers a walk-through of the leasing maze.

* "Searching for Office Space" (www.njbmagazine.com/sep99/office_space.html). Written for New Jersey but helpful anywhere, this is a top-notch guide.

* "From Home Office to Real Office" (www.cybergrrl.com/fs.jhtml?/tech/ttips/art6141). Lively advice from editor Lisa Gill, this write-up adds more considerations to your list. Is the area safe? Can you get high-speed Net access? You need to know!

BARGAIN BASEMENT

Repeat after us: Leases are supposed to be negotiated. Every detail is up for grabs, from price per square foot to tenant improvements.

* Negotiate Your Commercial Lease (Self-Counsel Press) by Dale R. Willerton is a how-to manual with plenty of information on getting yourself a good deal on the right office space.

* "How To Negotiate A Lease" (www.entrepreneur.com/Magazines/MA_SegArticle/0,1539,228220,00.html) by Jan Norman from March 1998 Business Start-Ups.

THE PRICE YOU'LL PAY

After payroll, office rent may be your biggest budget item. Can you afford it?

* "12 Money-Saving Tips for Finding an Affordable Office" (www.bankrate.com/brm/news/biz/Cashflow_banking/20000818.asp) by Jenny C. McCune for Bankrate.com.

THE INCUBATOR APPROACH

The best deals on space are often through business incubators, which make space available to early-stage companies.

* www.nbia.org is home to the National Business Incubation Association.

Pamela Rohland writes about the joys and tribulations of entrepreneurship for a variety of regional and national business publications.