Here at YourOffice-Ballantyne, we have customers in all types of industries and in all sizes-from start-ups leaving their home based offices to multi-national corporations looking to open a satellite office in Charlotte. No matter the size, there are 5 critical questions you need to ask before securing space in an Executive Suite facility.
1. What is my monthly fixed fee and what does it include?
This is the amount of money you will be legally required to pay every month through the term of the agreement. The monthly fixed fee will include different services at different providers but for the most part make sure you understand how you’re paying for: the office, telephone phone & internet fees, kitchen amenities fees and meeting room use. Be sure to read your contract carefully as sometimes promotions or offers sound good but they do not lower your legal obligation.
2. What are my one-time set up fees?
Almost every small office provider will have some sort of set up fees in order to get you into your new office space. One time fees can include an office set up fee, telephone and internet set up fees, etc. While these fees are usually relatively nominal, make sure you understand these one-time fees.
3. What is my refundable retainer/deposit fee?
A retainer requirement is a service deposit that you will typically have to pay at the start of an office space contract. Each provider is different but typically this is 2x your monthly fixed fees. This retainer is held until the end of your contract and returned once all monies owed to the provided have been paid.
4. What is my office refurbishment fee?
An office refurbishment fee is a fee paid at the end of a contract that covers the cost of getting the office back to a rentable condition. Almost all office space providers will have an office refurbishment fee but some will be more transparent than others. Watch out for providers that may use a large office refurbishment fee to “subtly” increase your overall contract value.
5. What is my business continuity fee?
Nobody wants to think about leaving their new executive office space at the beginning of their contract but the fact remains that at some point you will probably leave the facility. Hopefully it is because of your tremendous business growth but there are lots of reason you may move. When you do move, you will need to make sure all of your business mail and phone calls are forwarded to your new location so as to limit any disruptions from the move. This is the purpose of the business continuity fee.
Total Contract Value is YOUR real bottom line!
Once you have a firm understanding of items 1 thru 5, you can determine the Total Contract Value of your agreement. This is the sum total of all fees you will be legally required to pay by the end of the contract term. Once the Total Contract Value has been determined, it will make it much easier to make sure you have properly budgeted for this obligation and will also help you price compare other Executive Suite Providers “apples to apples”.
In our industry different providers use different pricing models so it can easily become confusing when you are trying to compare service providers before you make a decision. Find out the answers to the 5 questions above and you will have a clear understanding of how the providers compare against each other.
With this detailed office space comparison information, you can make an informed decision.
If you need help with the process and some assistance making sure you are comparing apples-to-apples when you are looking at 2 or more facilities you can always stop by our offices or contact me, Dave Taylor, the owner of YourOffice-Ballantyne or Ellen Spellman, our General Manager.
Both of us would be happy to help!