The Entrepreneur’s Corner
Finding the right office space for your business
Moving your business stinks. It’s difficult, it’s expensive, and every step of the process takes a lot of time. But sometimes, and more often than not, the right space can make the business in the same way the right handshake can win the job.
There are so many options for business of all sizes. Even though Metro Richmond is a relatively small commercial market, there’s still every type of space imaginable. Making the wrong decision can actually hurt your business, so it makes sense to tackle it head-on. Think Gandhi with a little sprinkle of Bobby Knight – patience and grit pay off. And you should start by asking a lot of questions:
• Find a leader – Who will lead this effort within your organization? It’s a daunting task indeed, and it deserves a dedicated decision-maker willing to work through the pitfalls.
• Determine your space needs – Is your existing space too large? Too small? Inefficient? Too far from your clients? Outdated? Overpriced? Find your motivation and take action.
• Assess your business environment – How would you describe your office environment? Are you a big fan of collaboration, frequent dialogue, and teaming? If so you might prefer an open work environment rather than private offices. Do you rely on walk-in traffic or have frequent visitors throughout the day? If so, focus on high visibility locations, ample parking and a large enough reception area.
• Warm up your calculator – What is your budget? Be realistic and be honest with yourself about the company’s budget. Use the web to research how much commercial space costs in your desired locations, and don’t be afraid to call around to different broker professionals for their input.
Once you’ve completed the first phase, it’s time to get yourself aligned with a broker who can represent you in the process. Alternatively, you can represent yourself through the next steps, which include touring properties, developing a short list of your top two or three spaces, gathering offers (commonly referred to as Letters of Intent), negotiating and signing a lease.
While a few businesses choose to go without broker representation, most prefer the advantages of having an experienced professional to help them through each step.
This is usually when the Bobby Knight-like personality comes out in people. Negotiations have complex layers and it helps to have an expert broker working on your behalf to take the emotional, chair-throwing tendencies out of the process. If you do decide to take on the task yourself, here are a few things to keep in mind:
• Size does matter – Negotiating power is directly proportionate to the size of your office in relation to the size of the building. A small tenant in a large office building won’t have too much leverage over the ownership. That same tenant in a smaller office building, however, could get a better deal.
• Turn “deal-breakers” into negotiable points – For example, the ownership’s lease calls for a 5 percent annual escalation and you know the market escalation is 3 percent (which it is, by the way). That escalation rate seems like a deal breaker to you, but it is likely a negotiable point for the owner. If ownership insists on 5 percent, find another way around it – maybe ask for an increase in the tenant improvement allowance, or a reduction in the first year rental rate.
• Don’t be afraid to walk away.
• Ask questions until you get answers.
• Get everything in writing and make sure you and the ownership sign the same lease document.
Emily Francis (left) of Richmond Green Drinks and Cary Jamieson of The Steward School checked out the cherry tomato crop Aug. 20 at the school's Bryan Innovation Lab following a visit by members of Green Drinks. Jamieson, director of the Bryan Innovation Lab, was among the speakers who pointed out various sustainable features of the building and its surroundings, including geothermal, solar photovoltaic and solar thermal energy systems, as well as rain gardens and large storage cisterns (like the one pictured) to minimize groundwater pollution. > Read more.
For the third consecutive year, the Canterbury Recreation Association in Short Pump donated the most meals to the fourth-annual "Dunk Hunger" campaign, which raises money and food donations for FeedMore's Central Virginia Food Bank. Swim teams and community pools throughout the region combined to raise the equivalent of 77,404 meals this year, with the Canterbury group earning the Gold Medal, with 17,454 meals contributed.
CRA will earn a winners’ bash Aug. 24 from 3 to 5 p.m. at its pool on Pump Road.
“Our pool has adopted Dunk Hunger into its culture with fun ways to raise food and funds," said Canterbury’s Dunk Hunger chairman Jack McSorley, a Freeman High School junior. > Read more.
Henrico County has a lot to offer this Labor Day weekend! Before summer ends completely, you’ve got to try some Virginia wines at Southern Season’s weekly event, Fridays Uncorked. Check out The Comedy Dad, Alex Scott, at the Richmond Funny Bone or put your thinking caps on and take on The Escape Room. This weekend also features a two-day event at Malvern Hill and Carrington Kay at The Tin Pan. For all our top picks this weekend, click here! > Read more.
- More News
Sep. 3, 2015Click here to read the print edition.
- More Entertainment
- More Obituaries
- More Community
- More Opinions
- More Sports
ClassifiedsMedical Alert for Seniors - 24/7 monitoring. FREE Equipment. FREE Shipping. Nationwide Service. $29.95/Month CALL Medical Guardian Today 888-709-2147
CalendarEscape Room RVA is now open at 7001 Three Chopt Rd., Suite 20, behind Martins. You're trapped in a room with only 60 minutes to find the secret passages, solve… Full text