If you run your own business, you simply have to spend money to make money. For most companies, housing costs — right after staff costs — are among the biggest expenses. That’s why in this article we discuss five tips that will help you, as an entrepreneur, save money on renting your office space.

Tip #1: Choose a location outside the city centre

It might sound obvious, but it can make a real difference. If you choose a location outside the city centre, you can rent office space at a much lower price. You can save even more on your office space by choosing a location outside the ring road. In Amsterdam, for example, office space outside the ring is often already 25% cheaper than inside it. The smaller cities in the Netherlands are, of course, considerably more affordable than Amsterdam, Utrecht, The Hague and Rotterdam. But always ask yourself: what’s really the best location for my office? Would you be able to generate just as much revenue in Halfweg (a small village right between Amsterdam and Haarlem) as in the heart of Amsterdam?

Tip #2: Don’t rent square metres you won’t use

Before you start looking for suitable office space, it’s smart to think carefully about how much space you actually need. Do you really need 100m2 if there are only four of you? Or could you manage with less? A desk, chair, filing cabinet and a plant easily fit into 10m2 — that’s enough space for one person. It would be a shame to rent square metres you don’t actually use. If you’re a freelancer, you might also consider renting a coworking space instead of your own office. In that case, you’re essentially renting a workspace within a shared area and sharing the available facilities with other freelancers.

Tip #3: Don’t pay too much for unnecessary flexibility

‘Flexible office spaces’ are very popular. They offer you a space you can cancel at almost any time. But that flexibility comes with a downside too. A company that rents flexibly offers the landlord little to no certainty. To compensate for that, the landlord has to charge a higher rent. In other words: the more flexible the lease, the more rent you pay for your office space. That flexibility is sometimes necessary, especially for companies that are just starting out. But if the chances of you leaving your office within two years are slim, then you don’t need to opt for unnecessary flexibility. With a one- or two-year lease, you’ll always come out cheaper.

Tip #4: Check which costs are included in the rent

If you have a few office spaces in mind and want to compare them, be sure to check whether you’re looking at base rents or all-in rents. There’s no point comparing apples to oranges. What does office space really cost? Low rents may look attractive at first glance, but if that price only covers the base rent, an all-in deal might actually work out cheaper. Which costs are included in the rent? What about gas, electricity, water, internet, telephony, parking and meeting rooms? Is the space already furnished?

Tip #5: Don’t be afraid to negotiate

Depending on the type of landlord you’re dealing with, there’s often still room to negotiate. If it’s not about the price, it might be about the terms of the lease. Who knows — you might be able to lower your total costs by striking a good deal. The worst they can say is no. If negotiating isn’t your strong suit, you can always bring in a mediator to help.