Both new and established businesses often rent out office space to use as a home base for their operations. As exciting as it is to review potential units and locations, one of the most important decisions an entrepreneur must make is selecting a short-term or long-term lease.
Here’s a closer look at the difference between these types of leases and why we think that short-term leases are the better option for a business that is eager to grow.
1. Short-Term Leases Don’t Lock Your Business In
Long-term leases mean that regardless of how a business does at a location, that team is locked in for a number of years. Getting out of a long-term lease comes with financially crippling fees that create unnecessary expenses for a company.
Short-term leases give flexibility to tenants and allow for manageable relocation should the need arise. With a short-term lease, your business isn’t tied down to a specific property.
2. Short-Term Leases Make Expansion Financially Feasible
Since you aren’t locked into a long-term commitment, short-term leases give a business the ability to comfortably grow. Many startups rely on short-term leases primarily for their flexibility. In some industries, it can be difficult to determine how quickly a new venture will rise and expand.
Therefore, many new businesses start out in smaller offices with short-term leases. As they pay based on their weekly or monthly contracts, these businesses are free to grow and use their finances (that aren’t tied up in a long-term lease) to eventually move into a new office unit that meets their current business needs.
Long-term contracts may guarantee a space for a set amount of time.
But if a company wants to hire new employees, expand its market, or even invest in new equipment, their growth is restricted by the amount of space they have and when their current contract ends.
3. Not Every Business Requires Long-Term Office Space
When a brand makes the investment in a long-term lease, the cost usually influences a business to consistently use the office space; even if the amount of space is something they don’t currently need.
Some startups are just the founding members trying to meet new clients or form basic business goals. In these situations, a long-term lease may not be the wisest way to use precious funds.
One of the biggest benefits of short-term leases is that they can be arranged in increments as short as hours. This opens up the opportunity for new businesses to save money and rent out space on their own terms.
We believe that businesses should use office space when they need it.
This is why short-term leases are the best option for startups and seasonal businesses to reserve executive suites, meeting rooms, and offices with amenities during crucial moments of your brand’s growth.
4. Flex Units Allow New Businesses to Afford Living Life at the Top
At St. Paul Place, we provide office space in a coveted Dallas location. This allows startups to comfortably spread their wings at an office that has all of the requirements to succeed in any industry.
Early-stage businesses may just need a place to meet investors and potential clients. Rather than waste their money on empty, unimpressive office space. startups can sign a short-term lease that impresses their clients in-person and when it counts.
Not only can short-term leasing impress during meetings, but when you do need to use your office space, all of the necessary equipment and amenities are available to you.
Find an Office that Fits Your Professional Goals at St. Paul Place
Flexibility is one of the most important features of an office space lease. Where many locations refuse to budge, St. Paul Place holds the door open for short-term leases that work in your favor.
We offer inspired office spaces that allow a business of any size to thrive and grow at its own pace. If your brand needs office space in a prime location with flexible leasing terms, visit us in the heart of the Dallas Arts District.
Contact us today to schedule a tour of our available units.