Home Forums General Discussion City lease prices to high for startups?

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This topic contains 6 replies, has 6 voices, and was last updated by  kyotokid 12 years, 6 months ago.

  • Author
    Posts
  • #3781

    Nooptical
    Participant

    I was just wondering what peoples thoughts are on the fact that in our cities companies need to pay HUGE leases on office space. Surely this is a major stumbling block for potential start-ups for any industry, but for our industry, where costs are growing exponentially all the time, it represents a major barrier.

    I know in other countries(for example, the UK) many developers actually build their own, or lease office space, in the “country” so the speak, where the cost will be less and for most countries that doesn’t represent a big problem because they have the infrastructure(transport and comms) to support it.
    But here, we haven’t got the infrastructure throughout most of the country, its getting there……but slowly. So therefore for most startups its a matter of Dublin, Galway, Cork, Belfast etc. Take your pick, they will all represent high costs, but what other choice do they have?

    I know places like the Digital Hub try to alleviate the problem, but in all fairness, its not going to tackle the problem head on. There must be some other way to help reduce costs for startups in this area because unless they get some great funding/investment then they haven’t got much of a chance. Should the government introduce some sort of grant for companies who wish to setup in the cities? The amount of office space I see lying unused for years(eg: Mount St, Office blocks at Liffey valley etc) is crazy, surely some sort of lease assistance grant would help fill these derelict offices blocks and also help startups have a genuine chance of making it without falling down because they couldn’t afford rent.

    What happens when the Hub runs out of space, which in all fairness probably won’t be very long time away. Are the Government just going to leave it or create another Hub?

  • #17760

    Idora
    Participant

    Hub has already run out of space! It’s full… However, they have put an offer in on taking over the MLE space across the road

  • #17765

    Nooptical
    Participant

    Good news! Maybe the Government should just build a new, larger Digital Hub somewhere just outside the city, like Blanchardstown. Or Just outside some other city like Cork.

    Super Hub! ;)

  • #17779

    meedja
    Participant

    generally, start-ups don’t need to go straight in to expensive, fancy leased offices.

    There are a lot of supports available and many include serviced office space at reasonable costs. In Dublin, there’s the M50 programme, most of the Universities have incubation space and there are other facilities provided by govt. agencies such as IDA etc.

    Around the country, there are also facilities. Meedja, for example, are in the RDC at DKIT. Residency here has proven a great boost as it removes all the headaches- ESB, internet, telephone, post, fax, copier, reception, meeting facilties etc. are all provided on a pay by use basis or as part of the reasonable rent. This means the company can walk in with equipment and start working from day 1.

    Such facilities give a company a leg up and give a period of years to get on the right track.

    Facilities are there if you look for them.

    Peter

  • #17780

    aphra
    Keymaster

    and the games courses like that at NWIFE in Derry offer game specific incubation space to students coming off their courses.

    Incubation space is also provided in Abertay for students coming off their courses and after the Dare competition

    Aphra.

  • #17782

    omen
    Participant

    Incubation space is also provided in Abertay for students coming off their courses and after the Dare competition[/quote:5119aa3f42]
    Assuming it hasn’t changed, should the winning team decide they wish to pursue their entry into a business, Abertay offers an office in Argyle House ( their incubation suite ) with a year’s free rent. Not sure if that still holds as all offices my be full.

  • #17794

    kyotokid
    Keymaster

    Jamie knows about this tax shenanigans…there is a big exclusion zone around Dublin. To get the good tax breaks you need to be far away from it :p

    And I’d imagine the Torc lads set up in Muff for reasons other than scenic.

    Its hard to get people even to a ‘city’ like Dundee…its not really a city

    As you say a load of companies are in the middle of nowhere so a car is needed.

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