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Regus rises in serviced office market

23rd October 2013

Regus rises in serviced office market

The serviced office market is proving a profitable one in today’s busy start-up company market. Demand for the easy-in, easy-out offices, a popular choice for small start-ups, is at a record high at present. 

The concept of serviced offices provides businesses with flexible terms, fully fitted-out offices, receptionists, meeting rooms, equipment and telecoms, with space tailored to the company’s needs. 

One of the largest worldwide serviced-office providers, Regus plc, has seen its share prices steadily increase as investors are attracted to the profits that can be made from offering these offices to the start-up businesses of today. While many entrepreneurs begin online, with no need for bricks-and-mortar premises, many find that not too far down the line they need more staff, a place to meet clients or suppliers, and general space required to run a successful business. Serviced offices often offer what a longer-term lease can’t always: a central location with good access, exactly the amount of space required, with the option to upsize or downsize as required, and facilities shared with other similar businesses, which can help bring down the cost of overheads.  

Regus’ shares have increased 106% during the past year – more than three times that of the FTSE 250 index. The company’s worldwide status, and the fact that not just small start-ups, but powerful companies such as Google are also using its services, means that the fortunes of its 34.2%-stake owner Mark Dixon are only set to rise even further, as Regus plans to bring its number of business centres to 2,000 in 2014. Strategically, it has included in its portfolio not just serviced offices, but conference rooms and business lounges, thus extending its client base to those companies who don’t have bricks-and-mortar premises and those who have traditional leases but have need of the occasional high-quality conference room. 

This news was brought to you by Morgan Pryce, a specialist tenant acquisition agent with offices in Oxford Circus and the City. Visit MPSO (Morgan Pryce Serviced Offices) website to view all available serviced offices in London. 

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