Managed Office vs. Own Office Space
4 Reasons Why Managed Offices Are Better Than Traditional Office Space for Companies
Many companies face the same question sooner or later: Should we rent our own office space, or is a managed office the better choice?
At Coworking Lounge Tessinerplatz, we also hear this topic frequently during initial conversations - especially when prospective clients are growing or looking to change their workspace. At first glance, having your own office may seem more cost-effective, as comparisons are often limited to rent and ancillary costs. However, this comparison falls short. A service-based model such as a serviced or managed office offers far more than just office space and creates advantages that are often overlooked in traditional leasing models.
Keisha Kälin
BD & Ops Managerin
Table of Contents
lease agreementsPremium service that saves time
and reduces costsCommunity as a growth engineFinancial transparency
instead of hidden costs
1. Flexibility instead of rigid lease agreements
Companies evolve - teams grow, new projects emerge, and processes continue to develop. Those who rent their own office space usually commit long term and must engage in extensive planning. But what happens if the team grows faster than expected or requirements change at short notice? A traditional office move is time-consuming, costly, and ties up valuable resources.
Teams grow, new projects emerge — let us grow with you and create new projects together.
In a serviced office, this very flexibility is built in. Whether it’s a single workstation, a team office, or a larger unit, space can be expanded easily whenever needed. A “move” simply means unplugging your equipment and plugging it back in a few meters away. IT, infrastructure, and furnishings are already in place, ready to use, and professionally managed - keeping your business agile at all times.
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2. Premium service that saves time and reduces costs
Having your own office means taking responsibility for everything: internet, cleaning, furniture, reception, repairs, technology, security, and much more. Each of these tasks costs not only money but, more importantly, management capacity.
Ready-to-use workstations in a managed office - Fully furnished with existing infrastructure
A premium managed office takes care of all that for you. Internet and IT are set up, meeting rooms are bookable, printers are ready, cleaning runs automatically, and guests are professionally received at the front desk. For SMEs and startups in particular, this all-in-one service is a real advantage - every hour you don’t spend on organization can be invested in your growth.
3. Community as a Growth Engine
One factor that traditional offices rarely offer is the power of community and networking. In a coworking or managed office environment, different industries and professional fields come together. This interaction sparks inspiration, new perspectives, and often valuable collaborations. Many of our members report that spontaneous conversations have led to partnerships, projects, or even new clients. An environment that fosters innovation can become a decisive advantage - especially for companies operating in a dynamic way.
4. Financial transparency instead of hidden costs
The rent for a traditional office may initially seem lower. However, once all additional costs are factored in - internet, insurance, furniture, cleaning, IT, maintenance, energy, reception services, coffee, and shared spaces - it becomes clear that the actual expenses are significantly higher. Growing teams also frequently face the challenge of paying for space that is either too large or too small. Additionally, regular lease agreements typically require a security deposit. Depending on the company structure and the lease terms, this can be a substantial sum, sometimes even requiring financing through a loan - an extra financial burden that can be particularly significant for startups and SMEs.
A managed office offers clear, transparent all-in pricing.
A managed office offers clear, transparent all-in pricing and does not require a security deposit. No surprises, no hidden additional costs, and no long-term risks. This cost certainty allows for precise budget planning and eases both the financial and organizational burden on companies.
Conclusion
For companies looking for flexibility, professionalism, and an inspiring environment, a managed office offers clear advantages over having their own office space. SMEs and startups in the growth phase in particular benefit from being able to scale at any time without having to worry about infrastructure or complex organization. In addition, there are numerous premium amenities such as an in-house coffee bar, modern meeting rooms, and a rooftop terrace with breathtaking views, which are not available in your own office space.
Therefore, for most companies, a flexible managed office model is the more sensible choice in most stages of development, as it offers agility, cost transparency, and low commitments. Especially for startups, scaleups, and growing teams, the advantages clearly outweigh those of having their own office. The advantages of having your own office usually only outweigh those of a managed office when you have more than 20 employees and only if the company has achieved a certain level of stability, predictability, and long-term consistency.Translated with DeepL.com (free version)
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