Virtual offices create convenience for most entrepreneurs looking for business expansion in other countries. Vietnam virtual office is a typical example of how the benefits of this model can outweigh a traditional physical co-working space!
1. What is Vietnam virtual office and physical co-working office?
A virtual office can be regarded as an excellent solution generated by cutting-edge technological utilization. Outstandingly, this flexible workspace enables small and medium businesses to reach cost-effectiveness and working flexibility.
A physical co-working office, on the other hand, is a conventional option for the day-to-day operations of most businesses. The physical co-working office is actually an open collaboration space in which businesses or individuals would share together for use and access to management of facilities and services involved. The co-working location is normally based upon agreements for a certain duration.
A fixed co-working space or a virtual office may be a concern of many foreign investors expanding business in Vietnam. However, the trend of virtual workspace seems to become stand-out in recent years.
In follow-up parts, BBCIncorp clarifies striking disparities between having a virtual office and a physical co-working office in Vietnam!
2. Difference between virtual office and physical co-working office setups in Vietnam
2.1. Flexibility vs Productivity
Choosing Vietnam virtual office entitles you to more flexibility.
Unlike physical workspaces where you sit to work from daily, business owners and employees using virtual offices can work from home or from anywhere, even out of their country with a laptop available. The difficulty in rush hours which negatively impact your commute time to get to the working office is no longer a matter of headache thanks to the virtual office setup.
Easily-take-mind-off people, by contrast, can consider a physical working office to be a better choice for their job’s productivity guarantee.
Sharing fixed working areas and maintaining the verbal interaction with other colleagues in your company on a frequent basis considerably contributed to your enhanced competitiveness and intense concentration on assigned tasks.
That’s being said, for other entrepreneurs exclusive of the above-mentioned those who find themselves easily distracted by out-of-office-hour nuisances, working remotely can also improve their production capability. The reason is that they are working in the most convenient places for themselves and no administrative duties make them annoyed.
2.2. Availability of business services
Another difference is that two modes of workspace may offer different types of corporate services and amenities.
|Services in Virtual Office||Services in Co-working Physical Office|
|Premium mailing address||Co-working physical office|
|Mail handling services||Office-related amenities (meeting room, boardroom)|
|Local phone handling||Available equipment (printers, copiers, fax machines, projectors)|
|Reception-based service||Internet access|
|Meeting rooms (limited offer)|
As for physical working space, you are provided with a fixed business address, together with a range of office-related facilities included. In addition, the actual business address also allows ease of any delivery service that comes to your company or making appointments with your business partners and clients.
When it comes to corporate services available for virtual office packages, the potential of its technological services is powerful. Typically, your monthly rental for virtual offices (you are normally required to pay for at least half year or one-year period) does cover some needed services for your business. Those include virtual receptionist services, professional mailing addresses or phone numbers and fax functions like a physical office.
For example, Vietnam virtual office service can offer a businessperson a prestigious mail forwarding address which demonstrates his business’s professionalism and reliability. And when clients see a Vietnam registered address, they would have a tendency to put their more trust in his business.
Some people may think the virtual office is a bit of inconvenience due to its limited use of conference or meeting amenities, especially when they need to deal with face-to-face meetings with clients. Some packages may have a meeting room service included, while some others may require their virtual office renter to pay an additional fee for this extra service.
2.3. Cost of virtual office vs physical office in Vietnam
Another appeal of choosing virtual offices over physical offices in Vietnam is its cost.
The rental of virtual offices is commonly much more cost-effective than that of fixed co-working locations. In addition to a fixed payment on a monthly or yearly basis, the normal cost can vary depending on what add-on services you have used.
To give an example, you pay about $50 per month to rent a virtual office, but your business decides to have extra needs like fax lines which may be not available in the basic package of your order, then the total price may range up to double that amount.
Please note that the cost may also be different based on the location as well as the facility that you opt for.
Having said that, the amount you need to pay for renting a virtual office is more affordable than that of other types of physical workspaces. One striking benefit that makes virtually-based workspace outweigh that of renting premises is that it also allows you to cut associated costs of maintenance, upkeep, hiring staff, while maximizing your expenditures for other needs.
2.4. The need of relocation
It is obvious that foreign investors would not expect to open physical offices in every country when they find market potential there. Such relocation can significantly be a “nightmare” for your company’s budget. In this regard, a virtual office is a good choice for companies who plan for business expansion into foreign markets.
For more information on virtual office advantages, you can find out our blog here: Virtual Office Benefits That Make It A Trend
3. Vietnam virtual office vs physical space: Which to choose?
Growing popularity in Vietnam virtual office services has been experienced in recent years. If your business nature requires a high frequency of meetings with clients, the lease of physical offices in Vietnam is a recommended option for long-term perspectives. By contrast, if you operate a startup or newly incorporated business, and do expect the cost savings arising from space and services that you do not really need, engaging a virtual office service is an ideal solution.