Abu Dhabi has become one of the most desirable bases for entrepreneurs from across the globe in recent times. With the highly developed infrastructure and the government’s great backup system, many investors are willing to set up innovative businesses in Abu Dhabi. For this reason, the real estate market demand has risen over the years. People are continually looking for office spaces in Abu Dhabi. It is necessary to analyze the important features of your business when picking the right location for your office space. Beyond affordability and rental terms, there are other reasons why the right location can be most important for your business. Here’s why you should take heed of your location when choosing an office space in Abu Dhabi:
Brand identity
The location of your business will directly reflect your brand. Your office space should convey your business’s image. In doing so, you can attract the right employees and clients. For instance, if your business requires high foot traffic, your office should be in a busy area like Hamdan Street. On the contrary, if your business fosters a green environment, it is best to station your office near nature, like Abu Dhabi Corniche.
Availability of amenities
The location of your office space should be highly accessible. If you plan on opening an import/export business, it would be beneficial for your office space to be located close to seaports, airports, and major highways. Similarly, considering logistical networks and warehousing spaces is important when choosing your office space. The location of your office space should have the infrastructure to support your business activities.
Tax regulations
Abu Dhabi comprises the mainland and free zone areas where one can establish a business. The type of business activity and ownership determines whether a mainland or free zone location is the right option for you. There are different regulations for both options. For instance, the corporate rate is 0% regarding taxes in the free zone area. In contrast, if you locate your business on the mainland, a 9% corporate tax will apply to your net earnings provided your income exceeds AED 375,000 a year. Working with a certified consultant in Abu Dhabi is important to make an informed decision.
Accessibility for employees
One of the main reasons why the location of your office space is important is accessibility. A convenient location will ensure convenient commute options for clients, customers, suppliers, and distributors. In addition, your office space must be located near banks, restaurants, and transportation hubs. Longer commute times may demotivate employees leading to employee attrition.
Rent and other expenses
You cannot undo your real estate expenses quickly. Therefore, you must analyze your monthly expenditure budget before picking your new office space location. Fees to local administrative authorities, trade license expenses, and maintenance costs must also be thoroughly calculated. These costs may differ in various areas of Abu Dhabi. For instance, although free zone areas do not have tax impositions, the licensure process is slightly more costly than in mainland areas.
Competition
Most business owners decide on places with less competition to retain their clients. Establishing your base in the location could help gauge the demand for your services. However, while being a primary supplier of services in the area is important, being close to your competitors could be beneficial. Being located near your competitors could increase the visibility of your business for that target market.
Nearby businesses
Similar to considering competitors in the area, it is also important to consider your neighboring businesses. Businesses in the neighborhood could attract customers in your target demographic. Moreover, nearby businesses could provide an opportunity for networking and building connections. In addition, having well-reputed businesses in the neighborhood could give your business access to a better talent pool, investors, and regulatory bodies. Thus, picking a location with the right neighboring businesses could create a thriving economic environment.
Room for growth
Lastly, choosing the right location is crucial because it can provide room for growth in the future. In case your business continues to scale, your location needs to be able to accommodate your employees. While you can opt for meeting spaces in multiple smaller offices in different locations, having ample space in your centralized office space is more convenient.
Having looked at the importance of location while choosing your office space, here are some of the best areas for office spaces in Abu Dhabi:
Al Zahiyah
This area is a popular choice amongst established businesses. Al Zahiyah is known as one of the most expensive areas in Abu Dhabi. However, it attracts large corporate businesses such as Abu Dhabi Gas Industries.
Al Tibbiya
If you are a start-up business looking for office space, Al Tibbiya could be the perfect area. Home to banks like Union National Bank, this area is great for those looking for office space while keeping a low budget.
Hamdan street
Hamdan Street is one of the areas with the highest foot traffic daily. It is also one of the city’s oldest and most established areas. This area provides great convenience as it is near most residential areas in Abu Dhabi.
Al Muroor
While being significantly distant from the city, Al Muroor comprises commercial and residential properties. This area provides access to many amenities, including dining options and shops.
Key take away
There’s no exaggeration in saying that the location of your office space is one of the most vital factors that also determine the accomplishment of your business. While the real estate market continues to grow and expand in Abu Dhabi, only some locations can be ideal for your business. Employees often consider their office space as their second home. Also, most employees try to op It is, therefore, extremely important to pick the right location for your office space. Picking the right location will help retain your top talents and make your business profitable. There is no denying that a prime location could mean higher rents, but with the help of an experienced real estate agent, you could negotiate on finances while scoring the perfect place for your office space.