A managed office gives you a plug-and-play setup. A commercial office gives you full control. Here's how to decide.
Choosing between a managed office and a commercial office is one of the first big decisions a growing team faces. Both give you your own space, but the experience, cost structure and flexibility are very different.
A managed office is ready to move into. Furniture, internet, power backup, housekeeping and reception are handled by the operator. A commercial office is a bare shell or warm shell that you fit out yourself.
When A Managed Office Makes Sense
If you need to move in within two weeks, a managed office is the right choice. You don't have to worry about buying furniture, setting up wifi or hiring a facility manager. Everything is bundled into one monthly bill.
Managed offices are also ideal when your team size might change. Most operators let you add or reduce seats on short notice, which is useful for fast-growing companies.
When A Commercial Office Makes Sense
If you have a large team, a long-term plan and a clear brand identity, a commercial office may work out cheaper over five years. You pay rent, but you control the layout, the interiors and the rules.
Commercial offices are common for companies with 200+ people who want a single address for many years. The upfront cost is higher, but the per-seat cost over a long lease is usually lower.
Cost Comparison
Managed offices cost more per seat in the short term because they include services. Commercial offices have lower rent but add fit-out, maintenance, salaries for housekeeping and security, and internet setup.
Most companies break even between three and five years. If you plan to stay longer than that, a commercial office may save money. If you want flexibility, managed is better.
How To Decide
Ask yourself three questions. How fast do you need to move in? How much will your team size change in the next two years? How important is it to control the look and feel of the space?
If speed and flexibility matter most, go managed. If long-term cost and control matter most, go commercial. Both are good options. The right answer depends on your stage.
Need help shortlisting?