Recent research shows that 63 per cent Western Australian businesses are looking to expand their operations in the next six to 12 months.
Recent research shows that 63 per cent Western Australian businesses are looking to expand their operations in the next six to 12 months.
The research, conducted by the Regus Group, provides yet another indication of continuing strong sentiment in the state's economy.
The research was conducted nationally across 300 key office decision makers, and showed that businesses in all states were planning to expand inside the next 12 months.
The national figure was 61 per cent, with the highest level of expansion coming from Queensland at 71 per cent.
In New South Wales and South Australia, 62 per cent of businesses questioned said they planned to expand in the period, while in Victoria the figure was 58 per cent.
Another measure of the healthy position of nation's economy was the statistic that 94 per cent of those surveyed stated they were not planning to downsize.
Other findings from the research were that 21 per cent of respondents indicated they were looking at relocating their existing offices, and 35 per cent of the firms in the survey had recently considered using a serviced office.
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Media Release
17 March 2006
REGUS RESEARCH REVEALS OVER 60 PER CENT OF AUSTRALIAN BUSINESSES TO EXPAND IN NEXT 12 MONTHS
Research conducted by Regus, the global market leader in providing professional workplaces has found that 61% of Australian businesses are planning to expand their operations in the next six to 12 months.
The research, conducted with 300 key office decision makers from small-to-large sized organisations throughout Australia, also revealed that of the 184 businesses planning to expand, 91% of these are intending to carry out expansion here in Australia.
Significantly however, 25% of the 184 expanding companies also stated they will look to expand off-shore in the Asia Pacific region, with 11% planning expansion in Europe and a further 11% also looking to expand in the United States.
"This research demonstrates that business sentiment remains extremely strong in Australia and the outlook for the next twelve months is very positive, particularly as 94% of businesses surveyed stated they are not planning to downsize," said Mr Ian Wheeler, Regus' General Manager for Australia and New Zealand.
"Our survey also showed that in addition to these expansion plans, 21% of respondents indicated their firms are looking at relocating their existing offices," he said.
Regus commissioned the survey as a planning data tool for its own expansion program, which has included opening new business centres in Australia and Asia Pacific to meet the growth in demand for serviced offices by an increasing number of organisations, from start-up companies and SME's, through to mid-sized firms and large corporates.
"Significantly 35% of the firms in the survey have recently considered using a serviced office which we see as driven by the combined dynamics of expansion and relocation plans of companies and their need to consider flexible options in the process," Mr Wheeler said.
"It is to service this demand that we have more than doubled our own reach to have 53 Regus Business Centres this year in the Asia Pacific Region and eight in Australian capital centres."
A total of 22% of the respondents' companies employed more than 100 people and a further 49% employed between 5 and 100. Many of the companies operate internationally - 17% in the survey have more than 30 offices worldwide, including 5% whose companies have more than 100 offices.
Queensland leads the nation in regards to expansion plans over the next six to 12 months, with 71% of Queensland-based respondents stating they are looking to expand. In Western Australia, 63% of respondents are also looking to expand, with 62% of respondents in both NSW and South Australia planning to do the same. The expansion figure for Victorian-based respondents was 58%.
In conjunction with their business expansion plans, the survey showed that 32% of companies surveyed are considering expanding the size of their existing offices within the next six to 12 months, while 24% are considering opening new offices.
Office relocation
Office relocation is also a major part of companies' plans for 2006 with 21% of companies surveyed stating they are considering doing so over the next six to 12 months.
In relation to this, respondents were asked what are the most critical factors when needing to re-locate or establish a new office. The responses showed that the location of the office building (surrounding environment and town image etc) was considered the most important factor by the majority of respondents (60%).
This was followed by:
- Office leasing costs (41%)
- The type and quality of the office accommodation (40%).
- Office layout (space, number of meeting rooms etc) (35%)
- Access to transportation (34%)
Significantly, the location and environment of an office is a key factor in shaping a person's perception of an organisation, according to the majority of respondents. A total of 59% of respondents considered its highest impact was on perceptions of the company's credibility. This rating was followed by the impact on a company's:
- Status (49%)
- Financial health (43%)
- Level of service (38%)
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About Regus Group
Regus Group Plc is the global market leader in providing professional workplaces. The Regus Group Network includes 750 business centers in 60 countries (53 centres in 11 countries across Asia Pacific) and features four brands: Regus Business Centers, HQ Global Workplaces, Stratis and Business Meeting Places. All locations are strategically situated in world capitals, premier business hubs and developing markets.
The company is a pioneer in the commercial real estate industry, defining new and innovative ways for businesses, both large and small, to successfully manage their workplace needs. By delivering cost-effective offices and meeting rooms on flexible terms, businesses gain the ability to create a flexible workplace plan that can quickly adapt to their changing needs. For more information, visit www.regus.com.