An office in a multi-company building; suitable for you?

What is a multi-company building?

A multi-multi-company building, also called a business centre, is a building where several entrepreneurs rent a work space or office space. This could be a private office, but it could also be a fixed work space in a shared area or a flex space. They often share facilities such as meeting rooms, a kitchen, or a reception area. Both self-employed professionals (freelancers, zzp'ers) and entrepreneurs with staff can rent a work space there.

 

Pros of a multi-company building

Renting office space in a shared business centre has several advantages, such as:

• Save on costs

You usually share amenities such as toilets, a kitchen or coffee bar, meeting rooms and cleaning services with the other tenants. This saves you both time and money. 

• Shared facilities

Facilities such as a kitchen, meeting rooms, and toilets are already in place.

• Networking with other business owners

It is easier to connect and network with other business owners. This can expand your network and lead to the exchange of knowledge or collaboration.

• Flexible tenancy

Tenancy agreements are often more flexible than with a standalone office. This makes it easier to move or expand if your circumstances change.

• Growing with your business

Do you need more space? In that case, it is often easier to move to a larger office within the same multi-tenant building, provided one is available.

Disadvantages of a shared office

A multi-company building also has its drawbacks, such as:

• Privacy

It may be harder to hold private talks, for example with clients or staff.

• Access

It is not possible to enter your workspace outside office hours.

• Image

You have fewer chances to shape your own image in the eyes of clients.

• Distractions

Having more business owners around you can also lead to more noise and distractions while you are working.

• Limited influence over the building

You have less influence over the layout, house rules, and shared facilities of the building.

• Customers

Do you have a brick and mortar shop? If so, a multi-tenant business centre cannot be used as a visiting address.

Cost of renting office space

Most multi-company buildings operate on a monthly rent basis. The rent for an office space depends on:

• The location of the multi-company building. Rents in large cities are often higher than in smaller towns and villages.
• The size of the space you are renting.

What extra costs might be charged?

For example, service charges, internet, cleaning, meeting rooms, coffee/tea, reception services, furnishing costs, parking, waste disposal, and a security deposit. Pay attention to the following in your tenancy agreement: what is the term of your tenancy and the notice period? What about rent increases and the security deposit?

What do you need to arrange if you are renting in a multi-company building?

If you are renting office space in a multi-company building, there are several matters you will need to arrange, such as registration with KVK and getting insurance. Sometimes, you will need to arrange your own internet and IT policy or apply for a parking permit. You should also consider your postal address.

KVK registration and business address

You can only register your business at the address of a shared office if you actually work there and do most of your work there.

You must have independent access to the workspace or room you rent during opening hours. Your lease must state this. KVK will check whether you meet these conditions during the registration process.

Can you only book a workspace or meeting room for an extra fee? Then you cannot use this address as a visiting address, but only as a postal address. Your contract must state the use of these facilities.

How is the post handled in a multi-company building?

Find out in advance how post is handled. Some multi-company buildings have communal postboxes or a reception desk that receives post.

Do you need a shielded visiting address? If so, find out what options are available for receiving post. Virtual offices offer contracts that you can use as a postal address for your business.

Which insurances do you need?

Before you take out any insurance policies, it is important to ask the landlord which insurance policies have already been arranged. You should then consider the insurance cover you need. This depends on your sector, the nature of your business, and the agreements made with the property owner.

Depending on your circumstances, it is wise to take out a few insurance policies if you are renting space in a shared office building. These include:

• inventory insurance
• goods insurance
• business interruption insurance
• business liability insurance
• professional indemnity insurance

When is an office in a multi-company building a good choice?

A multi-company building may be a good option if you:

• are looking for a professional workspace without having to rent an entire building;
• want to share costs and facilities;
• enjoy meeting other entrepreneurs;
• value flexibility;
• do not need a large storage or production space

A different kind of business space may suit you better if you:

• need a lot of privacy;
• receive many clients on-site (at 18:00 or outside office hours);
• need a lot of storage space;
• want to decide on the look and layout yourself;
• make a lot of noise or, conversely, need a very quiet working environment;