TenantBase Blog

Top 5 Tips for How Startups Can Plan for Growth with Office Space

Space, budget, must-haves, business type, and infrastructure: five factors every startup should weigh before signing an office lease.

By TenantBase

Five real factors to weigh before your startup signs its next lease.
Space, budget, must-haves, business type, and infrastructure: five factors every startup should weigh before signing an office lease.

The task of finding the perfect office space for a startup can seem daunting. There are many factors to consider: budget, size, location, vibe, and so on. Poor planning can lead to major headaches down the road, so consider these five factors when planning for growth with an office space.

Quick Answer

Startups planning for growth should weigh five things: how much space they actually need now versus in a year, what they can realistically afford, which amenities are true must-haves, how the space reflects the type of business they run, and whether the infrastructure (internet, phone, electrical) can support daily operations.

Find a Space Connect with Tenants
Tenants find space. Brokers get matched with active requirements.

1. Space

One of the biggest obstacles startups face is gauging immediate needs versus potential future growth. A cramped office may mean moving into a larger space sooner rather than later. Estimates for space needed per employee vary, but an online office space search will typically find options ranging from 70 to 250 square feet per person, and parking restrictions at some buildings can play a role here too. Not having enough space can significantly impact how the business functions, while leasing too much space you don't need can put a pinch on resources for any startup or small business.

2. Budget

Affordability is a critical, if not the most critical, component when searching for office space. For most businesses, outside of employees, office space is one of the largest monthly expenses. Forecasting future income can be tricky and requires building flexibility into your calculations. Consider current expenses, future expenses, and the potential impact the space itself may have on business income when factoring your office budget.

3. Must-Haves

Having a clear vision for the office space, both now and in the future, can be the difference between a space that works long-term and one that quietly stops meeting the business's needs. Consider amenities such as a break room or kitchen, a conference room, and bathrooms. Parking and ease of access are also important factors to consider.

4. Type of Business

The office space sends a message to both employees and customers alike. If it's a client-facing business, the convenience of your location may be a priority. If customers don't visit the space, your focus may be more internal, centered on your own employees. At the end of the day, having an office space that matches the personality and goals of the company is critical to having the right work environment.

5. Infrastructure

Having access to the tools needed to run daily operations is crucial. Postal service, phone, and internet are all integral parts of running a business. Reliable Wi-Fi and the ability to have a landline phone are must-haves for most any type of office space. Electrical capacity is also a factor, since it's needed to run equipment; for companies that rely on copy machines, computers, and printers, make sure there are enough outlets and dedicated circuits to run the machines.

The right office space can make or break a business, as it's an extension of the startup itself. What works for a company now could change quickly once the business experiences growth, and it's a real inconvenience to move once a space gets outgrown. TenantBase works with startups day in and day out, always keeping an eye on the future to help clients plan around their upcoming growth.

Plan Ahead For Your Next Space

A local tenant rep can help you find a space that fits your team today, with room to grow.

Find My Space, Free

Frequently Asked Questions

How much office space does a startup need per employee?
A typical range runs from about 70 to 250 square feet per person, though the right number depends on layout, amenities, and how much of the space is shared versus dedicated. Parking restrictions at some buildings can also play a role in how much space actually works.
What should a startup budget for office space?
Outside of employees, office space is typically one of a business's largest monthly expenses. Forecasting future income is tricky, so it helps to build flexibility into the calculation, weighing current expenses, likely future expenses, and how the space itself might affect business income.
What infrastructure does a startup office need?
Reliable Wi-Fi, a working phone line, and enough electrical capacity and dedicated circuits for equipment like copiers, computers, and printers are must-haves for most office spaces, regardless of business type.
Find a Space

Looking for office, industrial, or retail space? TenantBase can connect you with a local tenant-rep broker.