As with anything, the renting of an office space comes with many pros and cons. For several reasons, one may prefer either renting or buying an office space. These preferences rely on the nature of the business and the person in need of the space. If, for instance, the business larger than most, purchasing an office space is probably the best option considering the abundance of funds available, and the fact that the business is likely to require a permanent and stable workspace it can stand upon. However, in the case where the business is much smaller, for example that of a freelancer that works independently,  the office space required would be significantly less compared to a business were several people are hired as employees. Moreover, freelancers usually tend to do more creative work which means they need inspiration, change and cannot remain in constant environment such as self-owned permanent workspaces or offices. Of course, these are not hard and fast rules and some large businesses would prefer renting out an office space for several reasons. Similarly, an independent freelancer, or an extremely small business, may prefer having an office that is permanent.

Given that these factors come into play when wanting to decide what option is better for you here’s a look into a few of the advantages and disadvantages office space for rent may have for you:

Advantage: People often buy properties in prime areas to rent out to others. The renting option therefore gives you the ability to seek out offices in these areas, doing wonders for your business.

Disadvantage:  In cases where you lease spaces, expiration of your lease could subject you to annual rent increases and higher rates making it difficult for you to continue renting the space.

Advantage: Renting an office space would give you the freedom of expansion. This is especially important for smaller businesses in their growing phase. If more space is required, the office can easily move to a bigger place.

Disadvantage: Bigger places may not be readily available and lease contracts may make it difficult to shift offices. 

Advantage: Freer working capital is available as money is not tied up in real estate. This money can be used for other investments beneficial to the business and its growth.

Disadvantage: Owning an office space also grants you the capability of renting it out to others and therefore becomes an investment in itself, whereas renting a place is no form of such investment.