Start-ups and small businesses abandon their traditional offices

An interesting article in the Times is really useful for the “location” topic in the new AS Business Studies specifications…

Small businesses are abandoning their traditional office locations and moving back home, according to a new survey.

The survey sample size is quite small (530 small businesses) but the findings are very interesting and they certainly mirror my experience of dealing with SMEs recently.

Of those surveyed, many don’t use full-time offices. Two-thirds of those who do work from fixed or formal office premises are considering giving them up within the year.

Various factors are encouraging greater home-based working:

- The need to cut fixed costs (rent, rates & other service charges often are often significant for a small business)

- Desire for flexible working (drop the kids off at school, go home to work, pick the kids up, make them tea, go back upstairs and keep working…)

- Enabling technology - who needs an office when you have a BlackBerry, a virtual PA…

- For service sector markets, clients rarely visit the office. Meetings, if needed, can be held at hotels, in Starbucks etc

A great article to add to the resources on business location.