Small Business: The Pros And Cons Of A Physical Office
Ten years ago, owning a small business meant having a physical office. But today that’s just not the case. Mobile devices, broadband connectivity, cloud computing, and other technologies are allowing employees to work from home or on the go. Not to mention, all the work-from-home technology and improvements that came with COVID. Now you have the option to do the same and ditch huge leasing and equipment fees while increasing the flexibility of your business. But should you? While it has many benefits, operating from home isn’t right for every small business owner. Here are some big factors to consider when considering using a physical workplace for your small business.
1. Client meetings and employee interaction
A physical business location allows you to host client meetings and showcase your business. It also gives you the ability to collaborate with your clients in person—making it easier to know if you’re meeting their needs. After all, you can’t read body language behind a computer screen. And employee camaraderie is a large part of most people’s lives. More importantly, in-person collaboration between physical employees can be central to a project’s success.
2. Local presence
Whether your small business is in retail or is service-oriented, having a local presence with a physical location of business can be key to your success. A storefront can showcase your products creatively to build your brand while catching the curiosity of people passing by. And if they like what they see, you get free advertising through word of mouth as your business becomes part of the community.
3. Sometimes location is everything
Establishing a store or office gives you the power to choose a location that makes it easier to grow your business. With careful research, you can determine where your customers are, spot your competitors, understand the history of the community and the demographics of the neighborhood. That way you can determine which areas are most receptive to your business—especially in underserved locations where your services fill a need.
1. Higher costs
The overhead for a physical workspace can include maintenance, insurance, furniture, utilities, storage space and equipment costs so it’s easy to see why small businesses are choosing to work from home to save money. But what about all the business needs a physical business location covers? Virtual office solutions can help.
Davinci Virtual Office Solutions provides you with office space, which includes a business address, mail forwarding services, optional lobby directory listings, access to fully loaded meeting spaces and a wide variety of cutting-edge business services. You can use this space only when needed and pay a low monthly fee. You can also use your new office address for business licensing or registration and market your new company address on search engines and Internet directories.
2. Less flexibility
Requiring employees to travel to a physical location of business each day gives them less flexibility and may impede their productivity. Working from home or on the go allows your employees to work longer hours while they have the flexibility to take care of their personal obligations. With a more flexible schedule and less time spent commuting, production and results, not punching the clock, become more motivating factors.
And when projects come up requiring client and employee meetings, Davinci Meeting and Conference Rooms gives mobile or home-operated businesses the option of renting meeting space with all the perks of a physical workplace in full-service professional business centers conveniently located around the globe. You can reserve day offices, conference rooms or boardrooms, as you need them.
3. Higher payroll
A physical location requires hiring an employee to work the front desk during all hours of operation. Along with eliminating rental costs, you can remove the front desk salary from your payroll by working from home. Of course, phone calls will still need to be answered, but you can reduce the stress of having to answer them all yourself by using Davinci.
Davinci Virtual Receptionists are live, offsite specialized receptionists who can answer your calls (and screen and forward them), make appointments, place orders, process payments, provide customer care and make outbound calls for a small monthly payment.
4. Limited talent
When you have a physical workspace, the hiring process is usually the same: you find someone locally either through a recommendation or by placing an ad. You and your nearby competitors are all fishing in the same employee pool. With the ability to work with anyone, regardless of his or her location, you can cast a wider net to find talent that puts you ahead of your competition.
5. Marketing is more challenging
Marketing locally has higher costs that include billboards and signage directed at a smaller customer base. By eliminating those costs and hiring a service that can help design a professional website with the right SEO, you can reach a much larger customer base. You can also utilize social media to spread the word virtually, no paper or signs needed.
6. Health risks
While there are different health risks in both a physical workplace and a work-from-home situation, there tend to be more risks to your employees’ mental and physical health in the workplace. There are worker’s comp disputes to worry about. Even if you don’t work in construction, you can still face safety hazards like a slippery floor or heavy object on a hard to reach shelf. There are also health risks from illnesses like COVID, the flu, and the common cold. Those are much easier to catch and spread when you have physical employees in a physical workspace.
The benefit of working from home is that there are less safety risks and less chances for you and your employees to get sick. With COVID lingering, this is an important thing to consider when deciding what’s best for you and your employees.
Consider all aspects of your business
If you have a small number of employees, a home office may make the most sense for you—especially for reducing overhead costs. But if you’re introducing a new line of jewelry, having a physical location to showcase it may be essential. Whichever option you choose, there are many new and emerging resources that can help you grow a physical or remote business.
Reduce the cons of a physical workspace. Live chat with a Davinci expert receptionist to learn more.