Business startups have become a new trend. Starting a new business was difficult in the past. But, easy investment plans, crowdfunding, and venture capitalist companies. If your business plan is scalable and profitable, you can get seed money from different resources. But starting a business is not all about raising funds. The actual issue starts after you start a business. This is where a virtual office comes into the picture.
A virtual office gives the support to a new startup that numerous partners and resources can give to an enterprise. But unfortunately, startups are not that lucky. They usually have a few, inexperienced partners and the funding they got. Their business plan needs a professional touch. As a startup, you do have the option of incubation programs where professionals help you with streamlining your business plan into a profitable business. But, they accept only a few businesses and they are not available everywhere. So, your best bet anywhere in the world is a virtual office.
What is a startup?
As per Investopedia,” the term startup refers to a company in the first stages of operations. Startups are founded by one or more entrepreneurs who want to develop a product or a service for which they believe there is demand. These companies generally start with high costs and limited revenue, which is why they look for capital from a variety of sources.”
Many startups don’t have the expertise, resources, or time to run a physical office with all the facilities and latest interiors. Setting up such an office in a prestigious commercial location can be a difficult task. A virtual office can be the perfect ally in such situations.
Office-related challenges a startup faces:
Getting and running an office is more of an administrative task rather than a business one. That is why many startups struggle with it. They think about every aspect of the business but ignore this vital one until the end. And when they do pay attention, they don’t have time or resources. That is why many are struggling with it. These challenges are:
Finding the right type of office:
Getting the right office for your startup can be a difficult task. Many startups don’t want to operate from homes or garages. But most don’t require a dedicated workspace for their business either. Each business has its requirements, you can’t decide on the same solution for all the businesses. The best solution for startups is a shared workspace like a virtual office till they evolve and establish their business to require a dedicated space.
Getting a renowned business location suitable for your business:
Finding the right spot for your office is also as important as finding the type you want. A centrally located or easily accessible location can be helpful for your business. Different offices need different business locations to help them boost their business. Virtual offices or shared spaces are a good pick because they are located in business hubs and commercial locations.
Handling rent cost and lease terms:
Real estate is an expensive affair especially even for enterprises, in commercial areas and business hubs. According to a survey, enterprises use 12% of their operational budget on real estate. This cost is even more for small startups. But, virtual office service is an affordable service that solves this problem for startups. It cuts your rent cost down by around 20-25%.
Lease is a long-term commitment that startups are not ready for. When you are starting a business, you don’t have fixed plans or requirements. They keep on changing as you set up your business. Startups need the flexibility to adjust to their changing needs. A virtual office gives you that flexibility for scalability as you move along the way of setting up your business.
Running and decorating an office:
These two things can be tough for new businesses. Decorating and equipping an office is an expensive task. The amount you think you are saving by renting a cheap place can be doubled in the cost of decorating. Office equipment is a heavy expense as well. You need the latest computers, exchange, fax machines, uninterrupted Wifi, printers, etc. They can cost a lot, now add up furnishing and monthly operational cost, you will end up paying almost all of your funds on it.
Maintaining an office is no joke as well, you need professionally trained office and security staff. Their salaries and employee benefits are a huge overhead cost as well. To top it off, you have to pay monthly utility bills as well. All this is not intended to scare or discourage you but to inform you of the facts.
Virtual office removes all these overhead costs and effort from your shoulders, it gives you all the facilities at a nominal cost as compared to the combined cost that is mentioned above. You get all the perks of a traditional office without buying and maintaining these facilities.
What is a virtual office and how it can help startups solve these challenges:
A virtual office is an office that does not require you to attend daily. It is a shared workspace where you can use it as and when you want it. It offers a flexible payment plan and supportive features that can be pillars for startups. We have discussed the challenges that startups have to face, now let us list the features that can solve those challenges.
- A virtual office gives you a business address of a well-reputed location. Getting offices in such locations can be very expensive and unreachable for many startups. But a virtual office service can solve this for you.
- You get a fully furnished and equipped workspace with the virtual office service. The office is furnished according to the latest trends to impress your clients. It is fully equipped, you don’t have to spend the budget on getting the standard office equipment.
- The utility bills and monthly operational expenses are pre-paid in a virtual office. You don’t have to pay for any of these expenses.
- You don’t have to get any rent lease with the virtual office service. The office is legally registered and you can use it in your official documentation.
- You also get office services like front desk services that handle your mail and calls for you.
- The shared space includes meeting rooms and conference rooms. They are fully equipped with facilities that you can use for conference calling and presentations.
Startups face many difficulties when they start their business journey. Setting up and running an office is one of them. The traditional office can eat up a chunk of your fund, time, and effort. But a virtual office can help you with this. You can subscribe to this service easily and get access to all the office facilities. You have to pay a small amount without any responsibility for running the office. Everything is managed by the service provider. A virtual office is a perfect solution to all the problems and challenges a startup faces.