A clear property strategy is an essential part of your business plan; if your property portfolio is fit for purpose, you control costs and enhance profitability.There are two pillars to any property strategy:
- cost and particularly the proportionality of cost to turnover, and
- fitness for purpose
So, the pertinent questions to ask yourself are:
- Do you, as a business, regularly review your premises requirement?
- Do you have an idea about how the size, shape and dynamics of your business will change over the next few years?
We have both personal and professional experience to help you undertake such a review: strategic changes in our own business over the course of 10 years have concentrated our resources into two regional centres rather than 12 offices sprawled across the south east. The result?
- considerable savings in terms of hard property costs (rent, rates, maintenance)
- significant savings in the size and structure of the facilities team
- more effective, productive workflows and better communications
- a property portfolio that reflects where the business is now, and its needs going forward
Property can be one of the trickiest costs to manage as most property holding structures are pretty inflexible. However there are opportunities in the current market (such as re-gearing a lease) that can help you achieve your business goals.
If you need help to plan your organisation’s property strategy and make it work for you, you can call on our property services partners. There are never going to be any easy answers, but the combination of their skills, connections in the market and a better understanding of your business could help to answer some questions about what your business needs from its property, and how to make it happen.
For more information on undertaking a property strategy review and to start a conversation on how we can help you, please contact Chris Worthington, Partner, Property Services.