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How Much Does It Really Cost to Set Up a Business?

PUBLISHED 05/29/2018

So many people aspire to launch their own company, but, for a large number, this remains a pipe dream.

Why? Well, many people either assume that the expense involved would be too great, or the administration would be too complex. Others fear the risks.

While it’s true that there is always a sense of taking a leap of faith before making any new and relatively unexplored commitment, it’s totally possible to reduce the risks you’re taking by being prepared and highly organised. The longer and more diligently you spend preparing, the safer you’ll render yourself, on the whole.

Remember, too, that you can delegate administrative tasks to any partners or colleagues that might come on board with you. This may have been your idea, but you absolutely do not have to do everything yourself. Also, depending on the type of tasks that have been set, there may be relevant assistance that you can call upon from the various bodies that have required the work to be done in the first place.

All that’s left, then, is the expense.

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So How Much Does it Really Cost?

 

As of 2017, the average start-up company spent £12,601 in its first year. That figure is made up of four separate areas of expense: Office Space, Websites & Marketing, Technology & Vehicles. Here’s what you can expect to pay for each on average:

Office Space: £2,987

Marketing & Websites: £2,570

Technology: £2,426

Vehicles: £2,440

You’ll also need to remember to add a sizeable contingency – after all, most new companies underestimate their required budget size by around £2000!

It may surprise you to see that office space costs are a sizeable chunk of your costs. But it’s something which you really can’t afford to skip- you will benefit from the increased productivity and the number of connections you can make.

One way to ensure that your overheads remain manageable is to look into a variety of workspaces. There are a wide range of options available to suit every budget, so it’s a great opportunity to save and see your expenses come in way below the national average.

How Do I Save Money on Work Space?

 

Gone are the days of inflexible office spaces rented full time by the week, month or year. There has been a revolution in both working styles and working hours, and, with freelancers, start ups and other less conventional outfits swiftly growing in number, spaces have had to evolve to match the kind of demand that now exists. With this has come a whole new way to pay.

 

Depending on the size and requirements of your company, you can now hire desks or flexible workspaces within a building on a basis that best suits you. In some circumstances, you need only pay per head – meaning that if any members of your team work externally, from home or from separate premises for some of the time, or if you employ part time workers, there’s no need to spend needless money when they’re not there. It used to be that you would need to rent a whole office and pay per square footage if you needed somewhere to base your company, but that is no longer the case. You’ll still be able to use your building’s address to arrange deliveries and receive mail, and most premises offering flexible space will provide the same facilities for your use as those you would find in a traditional office. The only real difference is that your work space is now arranged on your own terms.

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How Do I Get Hold of Flexible Office Space?

 

There are scores of organisations now offering flexible office space throughout major urban areas due to the huge amount of demand, and they’re all fairly widely advertised, so it’s very much a case of “seek and ye shall find”. For those searching for space in Liverpool or the surrounding area, Signature Works may have just what you need. If you’d like to find out more about what they have to offer, all you need to do is call them today on 0151 558 1566 or email join@signatureworks.co.uk for help and advice, and their friendly

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