If you own a cellphone, you know all about the long three-year agreements that most cellphone companies try to have you sign. Just a little while after the CRTC unveiled its new wireless code of conduct for cellphone companies, two of Canada’s three major telecom companies are planning to scrap three-year cellphone contracts. If you are a small business, you may also want to scrap multi-year leases just like three-year wireless plans. The idea of scrapping long-term deals is not a new strategy in the office-space landscape. For many years, office business centres have offered office space for rent as well as office space for lease Toronto on short-term contracts.
Businesses, especially small businesses and growing start-ups, are very reluctant to sign a long-term lease on Toronto office space that they may outgrow before the term of the lease is over. When a business rents or leases office space in an office business centre, that business is able to increase or decrease the amount of space they rent without being on the hook for a space they have either outgrown or no longer require. The company can move into different accommodations within the business centre without having to change its address or phone number. Taking advantage of short-term leases also means lower monthly operational costs and other services which provide you with more time to focus on actually building your business.
One of the questions that is frequently asked about office business centres that offer office space for rent is “who are the typical tenants in these places?”
Business Centre Tenant Profile
- Start up and entrepreneurial companies: Office space for rent business centres are most suitable for start-ups and SMEs (small and medium-sized businesses) who are new to the market and do not want to make a long-term financial commitment with a traditional office space lease.
- Service-based companies: Service-based companies that are in client interfacing roles such as outside sales, training and development, advertisement agencies, business coaches and consultants, will often rent office space within an office business centre to benefit from the prestigious business address such as The Toronto Star Building at 1 Yonge Street.
- Branches offices: Many companies who wish to have a regional presence in various cities or countries will set up an office to explore business opportunities. For the most part they are looking to open their branch office in a facility that does not require a large amount of capitol investment or long-term leases.
- Project-based companies: Office business centres that offer office space for rent rather than having to a sign long-term lease, are a convenient option for companies that require an office space for the duration of a specific contract – or short-term project that requires team space that their regular office space cannot accommodate.
- Companies relocating: Companies that are in the process of relocating and are looking for a short-term solution until they are able to relocate to their new permanent office space, usually opt to rent office space in serviced business centres that does not require them to purchase office furniture or equipment.