What Is A Serviced Office?

The pace of change in the office occupier environment is getting faster all the time, with new businesses launching and existing companies always looking for more effective and efficient space solutions.

Over recent years, the business community the length and breadth of the country has demanded a shift from the traditional office lease, which requires a considerable amount of planning, organisation and investment. It also commits a business into one location and involves committing to a fixed-term lease contract for several years, along with other associated property costs.

As we have seen in all major markets around the globe, a new working style is sweeping across Scotland, with companies now demanding more flexible, cost-effective office packages and productive workspaces for their employees. This has given rise to the serviced office solution and we now take a look at what this is.

Flexible First

Flexibility is now regarded as the way forward and this has given rise to the trend of serviced offices, which effectively allows businesses have all costs combined into a single payment, rather akin to a pay-as-you-go arrangement.

Serviced offices have been around for years, but recently have enjoyed a growth spurt in popularity and demand. Hybrid working has certainly accelerated the movement, with employers looking at the utilisation of their office space and finding a balance between the collaboration and creativity benefits of being able to host the whole team together occasionally, and the cost of empty space when employees are working from home.

The ideal from a business owner’s point of view is core space for a proportion of the workforce with additional breakout space or meeting rooms available now and then for the occasions when more staff are in the office, alongside the option to scale up (or down) as circumstances change.

Technology exists to track how team members move through the space of an office, to help plan layouts for maximum productivity. Apps for booking desks and equipment in advance can also help to avoid overcrowding and ensure that the space within an office is being used as efficiently as possible.

What Is A Serviced Office?

Unlike a traditional leased office, a serviced office is an office or office building that is fully equipped and managed, either by a landlord, a facility management company or an office provider. Landlords will rent out single serviced offices or whole floors to their occupiers, giving them access to ready-to-use office space.

Having all your office costs rolled into one invoice makes business planning and budgeting much more straightforward. And, importantly, companies have the option to grow their business, or downsize it, as and when required. A serviced office offers occupiers that all-important scalability, whether a business needs a two-person office or something larger.

The real beauty of a serviced office is that it enables occupiers to remain competitive and flexible – they are not tied into long traditional leases and have the scope to upsize as the business grows, plus it provides that vital degree of certainty, with all-inclusive pricing.

Read more about the differences between serviced offices and traditional leased offices

What’s Included In A Typical Serviced Office?

A serviced office is usually fully furnished, with all the desks, chairs and workstations in place for the occupier to move in. Superfast broadband is a must-have these days and the monthly charge also includes insurance, electricity, repairs and the service charge.

Businesses are looking for quality office space and having these essential business basics in place removes an enormous burden and headache from the occupier.

Other standard facilities typically include fully-staffed reception desks, communal kitchens, lunch areas, cleaning and maintenance services, along with meeting rooms and networking spaces.

In some cases, businesses can also access additional pay-as-you-use services and facilities, such as printing, copying, mail handling or even dry cleaning.

In locations like Aberdeen Energy & Innovation Parks, generous free car parking, electric car charging points, bicycle storage and CCTV also come as an integral part of the package as well as access to an on-site café and nursery.

Plus, the occupier doesn’t need to devote time or manage the building – that’s all taken care for them by the landlord.

Serviced offices take away the headaches of budgeting for office essentials, as everything is included under one monthly bill. You can just move in and concentrate on the important business of actually running and building the business without spending hours dealing with paperwork.

Read more about what’s included in a serviced office

Who Uses Serviced Offices?

Serviced offices are perfect for small owner-managed and entrepreneurial businesses, looking to grow quickly. Running a business can be challenging and time-consuming; therefore a serviced office can remove a lot of stress and strain from the business owner. Similarly, start-ups often move into serviced offices when they become too big to run from the founder’s home or garage.

Even freelancers who work alone may opt for a serviced office, perhaps because they don’t have space at home, or because they prefer the professional edge or the social aspect that comes from working in an office.

However, the option is definitely not just for fledgling companies or freelancers - more larger companies are becoming tenants too.

Serviced offices can provide the perfect cost-effective solution for larger companies that might have short-term or temporary projects that need extra personnel to be office based, with the space being vacated when it is no longer required.

Remote workers may also want a small office space that gives them the benefit of an official workplace, even if they are too far from the company’s main HQ building to commute there regularly.

Another popular use is for companies expanding into new markets and looking for a temporary home while they gain a foothold and establish exactly what location, type and size of space they will need in the longer term.

“The new space is ideal for our current needs and also provides room for future growth and expansion."

Georgi Hristov, Technical Director, Scot-Tel-Gould

Pros and Cons

We’ve mentioned many of the advantages of serviced offices already, such as simple, flexible leases, all-inclusive monthly fees, the ease of moving in to a ready-furnished space and the community aspect of a shared office building.

For balance, it is only fair to note the disadvantages too, although there are not many.

It is true that you have less control over your space in a serviced office than you would have in leased or owned space. You tend to have to work with the space, the furniture and the decor that is provided by the building owner, with little chance to personalise or brand it.

If you like your privacy, sharing kitchen, toilet, reception and breakout spaces with other businesses in the same building might not be up your street. It may, however, give you a great incentive to expand and get to the position where you can have an entire building of your own, exactly the way you want it!

Read more about the pros and cons of serviced offices.

Other Benefits Of Serviced Offices

Remote working can take its toll on mental health though feelings of isolation and loneliness as well as the inability to switch off from work or find a reasonable work-life balance. Working in an office full-time, or hybrid working where you spend two or three days a week in the office can give workers a feeling of belonging that is lacking when you work from home all the time.

Getting out of the house into a new environment may also boost creativity, by giving your brain a change of scenery. Meeting new people and working collaboratively is hugely beneficial socially as well as mentally.

In fact, 63% of CEOs in the UK predicted that there would be a full return to office working by 2026 according to a KPMG survey. Part of the reason is a duty of care towards younger members of the workforce and the need to learn from colleagues in the early stages of their career, as well as the importance of looking after their wellbeing.

In recent months, large enterprises such as Amazon, Goldman Sachs and PwC have insisted in a full return to the office, 5 days a week.

Business leaders believe that in-person work increases creativity, and it is also difficult to communicate a company’s culture and values to remote workers. However, hybrid work could be a more popular compromise in situations where remote workers value the flexibility of working from home at least some of the time.

A serviced office caters to the need for flexibility, with the option of upsizing as teams move towards office-working on a more regular basis.

How To Choose A Serviced Office

Aberdeen, in common with most cities, has a wide range of serviced office options and you need to take some time to consider which one suits your business best. Floor space is the first consideration, and you’ll need somewhere between 5 and 10 square meters per person, depending on the layout and the nature of your work.

Location is, of course, extremely important and you’ll want to decide if you want an Aberdeen city centre address, with the excitement of dodging bus gates and LEZ zones, along with the cost of parking and the lottery of finding a parking space near your office. Or you may prefer a location slightly outside the centre that is easier to access and has plenty of parking, electric car chargers and bike storage (like AEIP).

Facilities on-site and local amenities are also worth looking into before you make your final choice of office. Convenient cafés and shops along with leisure facilities and green space may make it easier to attract new employees.

How to Set Up Your Serviced Office

Before you move in, take some time to work out how you will set up your new office space. Look at how your team currently interacts and see if you need to have some private spaces for confidentiality or focusing, and if you want some relaxed collaboration areas to get the creative juices flowing. Check if there are any accessibility issues that you need to take into account.

You’ll also want to get your IT up and running in advance so that you don’t have any downtime on day one. Check the internet speed and phone service and make sure it is suitable for your work requirements.

Finally, add a few personal touches. While you probably can’t redecorate completely, there may be subtle, and less permanent, ways to incorporate your brand identity into your new space via plants, accessories and stationery.

Cost Of Serviced Offices

Of course, you will need to know how much a serviced office is going to cost before you can take the plunge. The cost will be related to the size of the space you are taking, and so looking at the price per square metre is a good way to compare different options.

However, as well as the cost for the floor space you will also want to find out if there is a deposit to pay and if the quoted price is all inclusive or if there are additional fees for electricity, cleaning, parking or other services. Look at absolutely everything so that you can make a fair comparison.

Long-term you will also need to know if you are tied into a minimum rental period, as that could be an unwanted cost if you decide that you need to move to larger (or smaller) premises before the lease is over. A flexible agreement could save you a lot of money if your circumstances change in the future.

Downsizing & Upsizing

Talking of circumstances changing, AEIP has a reputation for being super-flexible when tenants want to make a change. Contracts can be tailored to individual companies and licences start at just three months. One major advantage of locating in this type of business park is the range of office sizes and types available. Once you have a track record and a relationship with the park management team you’ll be in a good position to evaluate all the options and work together to find the right alternative to fit the evolving needs of your company.

A serviced office is always going to be a lower risk option for those who are nervous about taking on the commitment of a separate office space, and having all your costs agreed up front, with no surprises, takes a lot of the pressure off small business owners.

Landlord Responsibilities

For busy entrepreneurs, there never seem to be enough hours in the day. If that’s a concern, then a serviced office is definitely a good idea as your landlord will look after all the paperwork related to electricity, broadband and phone lines as well as other services like recycling, cleaning and insurance. In most cases they will also ensure that the building itself is regularly refurbished inside and out, and repairs and maintenance are handled promptly.

Your office will also be ready-furnished when you move in, with all the carpets, desks and chairs that you need, as well as updated signage. Your team and visitors will access it via a well-maintained, welcoming entrance and communal kitchens and toilets will be clean and tidy.

Relocating To Aberdeen

If you aren’t familiar with Aberdeen you may not be aware of the many benefits it has for businesses looking to relocate. Once the Oil and Gas capital, it has reinvented itself as the home of renewable energy and has been selected as the base for the new headquarters of Great British Energy. The industry is expected to create thousands of jobs in total over the next decade, with investment in offshore windfarms and carbon capture technology leading the expansion of the workforce.

Aberdeen is the only Scottish city to feature in Condé Nast Traveller's list of Best Places to Go in the UK 2025, and is noted as a “surprising culinary hotspot” with a diverse range of international food and drink establishments.

Suburbs such as the Bridge of Don, close to AEIP’s offices, offer excellent amenities and a good range of housing options, just a short distance from the centre of Aberdeen.

Outside the city, Aberdeenshire boasts a huge choice of attractive towns and villages in beautiful surroundings providing high standards of living in close knit, lively communities.

Give It A Try

A serviced office also gives a business the opportunity to try out a location and test a new market, before making a firm commitment to it.  Many larger companies looking to expand into new markets, or wishing to open an office in a new town or city, warm to the flexibility of a serviced office to do just that. A ready-made office is easy to handle if you are looking for space from a distance and a month-to-month lease takes the pressure off during the early days.

With everything on tap, and the option to scale up, or down, to suit, a serviced office lets expanding companies dip a toe in the water with minimal admin or stress.

Questions about our serviced offices? Check out our FAQs or give us a call.