The comparison
Cost comparison: According to a study by KPMG completed in 2002, a business centre is more cost-effective for companies with less than ten employees than having their own office, if all infrastructure costs are taken into consideration. These cost benefits are significantly greater for shorter durations, particularly project groups. Savings range between 33% and 65% depending on the duration of the contract and number of employees. Comparative calculation between conventional rental and rental at a business centre — initial situation: A sales team consisting of two employees is looking for suitable office space. They need a part-time secretary and occasionally require a meeting room for their customer meetings.
Item | Cost factor |
Rent in € / month | Business centre in € / month | Comments |
Rent for standard 90 m2 or 24 m2 in the business centre |
12.-€ /qm
|
980.- | 1000.- | |
Additional costs: water, heating, etc. |
2.-€/qm
|
180.- | included | |
Building related charges: caretaker, lifts, share of building insurance | 1.-€/qm | 90.- | included | |
Additional costs: electricity, cleaning services | 1.-€/qm | 90.- | included | |
Office furniture (two work stations + one work station for the secretary, conference room equipment, reception, small kitchen) | 10000.-€ | 200.- | included |
Asset depreciation
of four years |
Conference room furniture + technology | 5000.-€ | 100.- | included |
Asset depreciation
of four years |
Technical equipment for the secretary | 3000.- € | 80.- | included |
Asset depreciation
of three years |
Telephone system, fax | 1500.- € | 40.- | included |
Asset depreciation
of three years |
Two ISDN telephone lines | 45.- | included | ||
Flat rate Internet line | 40.- | included | ||
Costs for laying cables, renovations, etc. | 3000.-€ | 50.- | included |
Asset depreciation
of five years |
Photocopier, colour printer, etc. |
4000.-€
|
100.- | included |
Asset depreciation
of five years |
Costs for part-time employee, including Christmas payment | 1800.- | included | ||
Estimated costs for time spent working in a business centre, (full-time) telephone service, based on past experience | 600.- | |||
Costs for renting a conference room in a business centre for 12 hours a month | 300.- | |||
Approx. monthly total: | 3795.- € | 1900.- € | ||
Approx. annual total: | 45540.- € |
22800.- €
|
All other office costs are considered to be cost neutral. Advantages of a business centre with regard to the length of the contractual period, (full-time) telephone service, holiday cover for part-time staff, etc. have not been included.