Corporate real estate groups carefully track the acquisition, planning and management of properties for companies. While often compared to facility managers, corporate real estate is more concerned with leases and tenant relations. Since they deal mostly with office and retail properties, they know a thing or two about corporate cost saving. Here are some tips you can follow to decrease your company's expenses:
Downsize your space.
Take a look at your lease and see if you have the option to decrease your office's square footage. Why pay for space that's, well, just taking up space? If you cannot renegotiate the lease, perhaps you can sublease the surplus space and make the area earn its keep.
Finance what you can.
For example, buying office furniture outright can take a big bite out of your corporate budget. Instead, look into renting or financing the furniture you need. This may free up some of your cash, but be pay close attention to those interest rates.
Stay up-to-date.
Start researching leasing costs months before your lease is up. Knowing what other landlords charge for the same amount of space will give you negotiating power during contract discussions. As an existing tenant, your landlord might be willing to lower the lease cost to retain your business.
Monitor utility costs.
Ok, who left all the lights on over the weekend? Overlooking that one simple action on a regular basis can potentially raise your utility costs by 15-20 percent. Turn off the lights, and any other non-essential utilities, when the office is closed.
Review vendor contracts.
Take the time to look over any contracts you have with suppliers, cleaning crews, maintenance agreements and other expenses. Trimming these down to just the essentials should free up some add to the business's cash supplies.
With some smart planning and an experienced corporate real estate counselor your company's growth won't become a pain in your cash.
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