How To Choose Your Serviced Office In Singapore?

It’s 2024 and work has become so flexible that even workspaces and offices have taken newer and less conventional forms. In the past, traditional office settings were where companies leased large buildings and spaces were trending. But we now have other types, such as coworking spaces, serviced offices and even virtual offices, rising around the world.

That said, let us take a look at one of the newer types of workspaces: serviced offices.

What is a serviced office?

A serviced office refers to an office space that is fully furnished and managed by an operator or office provider for flexible use as offices. It is the perfect solution for businesses looking to start, upsize or downsize (based on the growth of the business), or just have physical spaces without the cost and hassle of traditional leases.

Serviced offices have become so popular around the world because of the ease of operations and cost-effectiveness. So, it’s no surprise that serviced offices in Singapore also experienced an increase in 2024 (source).

What are the advantages of serviced offices?

The commercial landscape in Singapore is witnessing a significant expansion, with an influx of 2.9 million sq ft of new office space set to enter the market in 2024 (source). This unprecedented growth reflects a rapidly evolving office real estate sector.

Serviced offices have several advantages as a workspace, compared to traditional offices.

Affordability

Top of the list is affordability. Serviced offices help you skip to the good part where you save money, eliminating expenses like buying furniture, renovating buildings, IT, and maintenance. It is simply perfect for a business seeking to save more.

Ease of setup

With a serviced office, all you have to do is just move your staff inside and get to work! Serviced offices come equipped with all the essential equipment for a standard office, such as chairs, tables, desks, Wi-Fi, and reception. Serviced offices grant companies access to all they need to run the business which may have been too costly if they had to buy it all.

Flexibility

Serviced offices like Compass Offices provide unmatched flexibility, allowing enterprises to easily resize or customise their space according to their business needs. This adaptability supports growth, downsizing, or specific design requirements without the constraints of traditional leases. It’s an ideal solution for dynamic businesses seeking a tailored, scalable workspace in a fast-paced market.

Easy collaboration

It is so easy to work with business partners in serviced offices. Serviced offices gather businesses into a single place, making it easier to expand your network. There is also the added benefit of easy access to conferences and events organised by the provider or operator which also boost networking.

Serviced office or traditional office?

Traditional offices are directly leased or rented from a landlord for the long term. They allow complete control and customisation over the workspace but have a higher cost of set-up and maintenance.

Serviced offices, as mentioned earlier, offer already furnished spaces for work.

When it comes to offices for rent in Singapore, serviced offices would always be preferable to traditional offices for the following reasons:

• Serviced offices are more affordable than traditional offices. Traditional offices would require large amounts to be paid upfront, and as the company grows, the overhead costs increase significantly. As a matter of fact, companies can save as much as 86% in overhead costs when they use serviced offices compared to traditional offices.
• Serviced offices are flexible offices, and they allow a company to increase or downsize at their pace, without any significant cost implications.
• Serviced offices eliminate the cost and time needed for purchasing furniture and designing of the workspace. They allow quick commencement of work. Traditional offices would take time and substantial funds to design the office and purchase equipment.
• Serviced offices remove the burden of maintenance from the company. This is not the case with traditional offices, as the tenant bears the cost of maintenance in terms of renovation and enhancement of the workspace, for instance.
• Serviced offices offer a low-risk solution for startups and new business centres in Singapore. Traditional offices are not ideal for such businesses.

Serviced office or coworking space?

Coworking spaces are workspaces that allow individuals from different businesses and professions to work on their different projects in the same space. These workspaces can also be used by small teams who want to collaborate. However, the general idea is that the workspace is not exclusive to a company or team. So there are no “hot desks” or “fixed desks” where you continue your night.

A serviced office in contrast is usually rented out by a company or a team for its employees. They might share a lounge, break rooms and kitchens, with other businesses, depending on the type of workspace, but they have areas in the main workspace that are exclusive to them.

What is the cost of a serviced office in Singapore?

Office rental in Singapore varies, depending on the location, the type of space and the size of the space. To get a serviced office in Singapore, the price typically starts at about SGD 400 per month. This offers a very affordable and flexible solution for businesses and startups.

Since the pandemic in 2020, work and business have not remained the same. One area that is still very obviously impacted is the nature of work, workspaces, and collaborations.

Serviced offices are the perfect solution for individuals and companies looking to strike a balance between traditional workspaces and coworking spaces. They offer affordable spaces, with privacy and control, yet remove the burden and cost of maintenance and furnishing. If you are considering an office for rent in Singapore, then a serviced office would be perfect for you and your organisation.