Articles

Leaving Home for a "Real" Office

By Robert E. McLean, CAE
Size Wise, February 2006

When I opened my association management company nearly a decade ago, deciding whether to work from home or leased space was easy. The home office was all I could afford. The home office setup was surprisingly easy to establish and manage, but growth brought additional needs my little condominium couldn't meet. As important, for some association boards a home office is unprofessional. They were happy to learn I was moving to what they considered a "real" office.

It was the smart move, one that took more time than expected. The process also was more costly, although I found ways to limit the out-of-pocket expenses.

Shared, Subleased or Leased Space

Once you decide to move out of the house, the first decision is where to lease. There are three choices, which advantages and disadvantages to each:

• a shared space, where you have an enclosed (meaning lockable), furnished private office that is yours for the duration of the lease, with options for renting small or large conference space by the hour or day;
• a subleased office, which is yours until the landlord decides (perhaps on short notice), that it's time for you to go;
• a leased office, which is yours for the length of the contact.

The shared space arrangement was stunningly expensive. An office in my price range was more like a closet than an office—a windowless interior space with this tiny little desk and no room for even a single file cabinet.

Subleasing, despite the risk of being booted on short notice, is a less expensive alternative. I was also able to avoid buying furniture (you quickly learn that a stylish desk and chair are financially out of reach). Talk with legal and accounting firms, which often have excess space, and to as friends and family members as possible to help you search for space.

My sublease situation lasted for more than two years, and I was given ample notice of the need to move, which we did to our current, leased space. There was a substantial increase in price, in part because we needed easy access to the subway system (an incentive, by the way, for helping attract the best employees). We chose to sign a three-year lease, for the added security and the new carpeting and a fresh paint job it included.

Wherever you lease, ensure that high-speed Internet access is available and affordable. With a sublease you can usually negotiate sharing the landlord's line for $20 a month for each connection. Expect to spend some time getting past the technological hurdles unless you understand such issues as proxy servers. If you are leasing, be sure the building can be serviced by the DSL provider you choose.

Furniture and Tables and . . .

Once you have your new, but empty, space, the next task is furnishings. New is nice, but often unaffordable. The best option could be the one we took—buying furniture and chairs from my former landlord who was downsizing, savings hundreds of dollars. Several colleagues have also found success by letting friends know of their hunt for used furniture, picking up real bargains from companies and associations that were downsizing or buying replacement equipment.

If you must buy new, choose carefully—especially if buying from discount catalogues. Look for hardwood construction rather than particle board items, which though cheaper won't last.

The most expensive item may be a new telephone system. If you need four lines or fewer you'll find good choices at any office supply store. If you need more than four lines and an autoattendant, get ready for a price shock. You can find systems for under $2,000, but you may have to settle for few features and limited voicemail options. It will pay to get referrals from colleagues with similar needs. Investigate the features to ensure that you'll get what you consider the essential options—especially for voice mail. (The ASAE listserv archive offers many suggestions in this area.)

There are other items to include in your moving budget. They may include chairs and tables in the reception area, a meeting table, a small refrigerator and microwave (and a table to put it on). These expenses add up very quickly. Unless you drive a pickup truck, the cost and availability of delivery is an important consideration.

Permits and Paperwork

Every local government is different, but some of the most tedious tasks you'll endure involve getting the necessary permits. For example, you'll spend time in line or on the phone getting an occupancy permit and similar requirements. An inspection of the space is usually required.

Remember to revise your existing insurance coverage to cover your new space—and your computer and furnishings. The agent will ask lots of questions about the building's age and composition—information you can get from the landlord.

One of the easiest items to change was mail service. You can now go online and for $1 notify the Postal Service of your new address and the forwarding date. Visit www.usps.com for details.

Timing Is Everything

One of the biggest lessons learned in our move was that "soon" has many different meanings. Our leasing agent, for example, said he'd get us in "very soon;" that meant 60 days. A 90- or 120-day transition with leased space is more common, so get started early. And if you have any work done to the space other than paint and carpeting, you'll add another 30-60 days.

The most stressful part of moving for us was getting our phone service transferred. If you move even a block you'll likely be assigned new numbers. It took six very long phone calls to straighten out the long distance service and a dozen longer calls for the local service. If you need DSL service, expect a delay between your telephone installation and the DSL installation dates. Simultaneous installation was impossible with our local phone company.

The single most important task when moving? Tell your members, vendors, colleagues, friends and family members early and often. Put notices on your website. Revise the signature in your email messages.

On moving day, here's another simple tip that may sound terribly obvious. Call both your old and new phone and fax numbers to ensure that callers to the old number get a recording with the new one, and that callers to the new one actually reach you. OK, make that 13 very long calls to the phone company!

Robert E. McLean, CAE, is president of REM Association Services, an association management company located in Arlington, VA (near the nation's Capitol). He is a former member of the leadership of the AMC Institute and is currently in a leadership role with the American Society of Association Executives. McLean is a registered lobbyist who trains more than 5,000 grassroots lobbyists annually. REM manages numerous nonprofits, including national associations, societies, and foundations. The AMC also has several consulting clients, frequently facilitating strategic planning programs.

PAGE 4