If you feel like your organisation is bursting at the seams, you might be thinking of opening a satellite office. A satellite office is equipped with everything employees need to do their work without coming into the main office.

Satellites allow you to serve an additional region, create an office nearer to where employees live, or simply expand your working space. How do you know if it’s a good idea to pursue opening additional offices? Here are the things to consider.

A black and white photo of an office space.

The Benefits of Opening a Satellite Office

A satellite office can be ideal for an organization where the team works together in an office rather than working remotely or from home. If your team is happy to work in an office but doesn’t want long commutes, a satellite office that’s centrally located can solve the problem.

Here are some of the other benefits of a smaller local office.

Lower Cost Than Large Offices

A small satellite office doesn’t have the costs of a larger space, which gives you the opportunity to expand without spending too much money. A smaller office also allows you to test a new market and find out if the space meets employees’ needs before you make a more significant investment.
If you have a significant customer base that’s further from the home office, a satellite office can also reduce the cost of employee travel for customer service, meetings, and other events.

Attract New Customers and Talented Employees

Satellite offices allow you to expand into a new region, which can increase your customer base and allow your company to grow. Whether that means expanding your reach across a territory or state or seeking customers in an entirely new one, a satellite office gives you a footprint in a new area.

At the same time, having a small office in a new area can expand your talent pool. Being able to hire employees from a new city or region gives the organisation the chance to attract new employees and offer them work opportunities closer to their homes.

Improve Work Culture

When everyone is working remotely, collaboration and teamwork can suffer. Having a satellite office can help improve workplace culture and foster a sense of community among your team members.

Having a place where employees can work together — even a few days a week — can improve communication, team bonding, and innovation and help the company accomplish objectives more efficiently.

A positive work culture also minimizes the likelihood of employees experiencing burnout. Employees who feel connected to their colleagues and appreciated by the company are less likely to experience burnout.

When employees are struggling with burnout, they’ll have symptoms such as mental and physical fatigue, changes in sleep, and mood swings, as well as significant long-term health issues . Employees who are struggling with these issues will miss work more often, have lower productivity, and may need to step away from the company for a time, all of which negatively impact the organisation.

It pays — literally — to have a positive work culture.

Drawbacks to Opening a New Office

Satellite offices, although they are smaller than a home office, still represent a significant expense. Often, you have to commit to a lease for a specific period, put down a significant downpayment, and invest in all of the equipment your team needs to do their jobs.

If the cost is a significant barrier, you might find a useful middle ground by taking advantage of coworking spaces. There are ways to get the most out of a coworking space, and it saves your company from the need to lease and equip an office from scratch.

Also, you may need to make adjustments to work processes now that employees are working in two different locations. You might decide to have each office handle local customers or divide work by task type between the offices.

You’ll also want to ensure employees in the satellite office continue to get high-quality training and management interaction so that everyone has the opportunity to excel at work and advance their careers.

How to Successfully Open a Satellite Office

If your organisation decides to open a satellite office, it’s important to plan carefully to maximise your investment and the benefits to the company and employees.

First, you’ll need to set a timeline for finding, securing, and moving into the space. Be sure you include all stakeholders, including the employees you plan to have working in the new space. When everyone is involved in the decision, you’ll have far better buy-in, which is essential to maximising the company’s return on investment.

Second, ensure that there’s a clear communication plan between the new office and the original location. Regular meetings and updates can help managers in both locations feel confident that they are working together toward the same goals.

Finally, make sure the main office provides appropriate training, resources, and supplies to the new office. That way, the company is setting them up for success. Then, the new office can report on how things are going in terms of work and employee performance so everything stays on track.

Is a Satellite Office Right For Your Company?

The decision to open a satellite office is a big one that requires analysis and planning, but if it’s the right fit, it can be a game changer for the organisation. It opens new horizons for business growth, allows your team to collaborate more effectively, and can enhance employee satisfaction by offering a shorter commute.

For the right company, a new office isn’t just a new space; it’s a way to open new possibilities for everyone.