Moving offices is an exciting but stressful undertaking for any business. Whether you’re expanding, downsizing, or simply need a change of scenery, relocating an office involves significant planning, coordination, and of course, costs. As a business owner or manager, it’s crucial to understand all the expenses involved in an office move so you can budget accordingly and avoid any surprises.
In this comprehensive guide, we’ll break down the direct and indirect factors that impact office relocation costs. From moving trucks and packing supplies to potential business disruptions, we’ll cover everything you need to know to estimate your total moving expenses.
By the end, you’ll be well-equipped to plan and execute a successful office relocation that keeps costs under control.
Direct Factors That Impact Office Moving Costs
When budgeting for an office move, most people focus on the direct, tangible expenses – things like hiring movers, renting trucks, and purchasing packing materials. These costs can vary significantly depending on several key factors:
| Office Size (SF) | Estimated Moving Costs |
| 1,500 | $1,000-4,500 |
| 3,000 | $2,000-8,000 |
| 5,000 | $2,500-15,000 |
| 10,000+ | $5,000-30,000+ |
Office Size
The square footage of your current office is one of the biggest determinants of your moving costs. As a general rule of thumb, the larger the office, the more you can expect to spend on relocation.
For spaces not covered above, plan on approximately $1-2 per square foot for moving costs and around $0.75 per square foot for packing.
Quantity of Materials
In addition to size, the sheer quantity of stuff you need to move will impact your costs. A minimalist office with few furniture pieces and electronics will be cheaper to relocate than one packed to the gills with desks, filing cabinets, servers, and more.
When getting moving estimates, be sure to do a thorough inventory of everything that needs to be moved so you can provide movers with an accurate scope of work.
Expect to spend around $200-$2,000 per employee on new furniture if needed, $300-$3,000 per employee on computers, and $100-$1,000 on phone systems. It’s wise to inspect furniture for damage prior to moving as some pieces may need replacing.
Distance
Generally, the farther you’re moving, the higher the office moving services costs will be. If you’re doing a long-distance move, you’ll need to factor in costs like fuel, labor time, overnight truck parking, and more.
Local moves within the same city will be more affordable than moving to an entirely new market. However, even local moving costs can add up quickly if you’re relocating to a congested urban area where parking is limited and elevators/stairwells are tight. Discuss any building restrictions with your movers in advance.
Time to Move
Timing is another important cost factor. Summer is peak moving season, so rates will be higher during those months compared to fall or winter. Weekends also tend to be pricier than weekdays.
If budget is a top priority and you have flexibility, aim to schedule your office move between September and April on a Monday through Thursday. You’ll likely get more competitive rates and have an easier time booking your preferred moving company.
Specialty Items
Consider any specialty items that will require extra care, equipment, or expertise to move. This might include fragile artwork, sensitive electronics, industrial equipment, safes, etc. Many office movers charge additional fees for specialty items, so be sure to mention these when requesting a quote.
If you have equipment that needs to be disassembled and reassembled, factor in those labor costs as well. The same goes for any bulky or heavy items that may not fit in a standard elevator or door frame. Your movers may need to use a crane or hoist, which will come at a premium.
Indirect Factors That Impact Office Relocation Cost
Beyond the physical moving expenses, office relocations come with a host of indirect costs that are important to consider. These are some of the most commonly overlooked expenses:
Lost Business Hours
Unless you’re able to execute the entire move after hours or on a weekend, you’re likely going to lose some productive work time during the transition. Even if you plan the move outside of business hours, there will still be some downtime as employees unpack and get settled into the new space.
To calculate the cost of lost productivity, consider the average hourly rate of your employees and multiply that by the number of hours you expect them to be impacted. For example, if the average hourly rate is $30 and you have 50 employees who each lose 6 hours of work time, the total cost would be $9,000 (30 x 50 x 6).
New System Failure
No matter how much you prepare, there’s always a chance that something could go wrong when setting up your new office space. Perhaps the internet isn’t working on day one or there’s an issue with the phone lines. Any type of system failure could grind business to a halt, and the costs can add up quickly.
To mitigate this risk, work closely with your IT team or vendors in advance to test all systems before the move. Have a contingency plan in place for any mission-critical functions. The more proactive you can be, the less likely you are to experience costly downtime.
Organizing the New Space
Finally, don’t forget to budget for any costs associated with getting your new space up and running. This could include things like:
- Hiring an interior designer or space planner
- Purchasing new signage and branded decor
- Setting up utilities like electricity, water, internet, etc.
- Updating your address and ordering new collateral
Depending on your needs and preferences, these costs can range from a few thousand to tens of thousands of dollars. Work with your team to prioritize any necessary expenses.
Adding Up All The Costs
As you can see, office relocation costs involve much more than just hiring a moving truck. From packing supplies and specialty equipment to lost productivity and design fees, the expenses can add up quickly.
So, how much should you budget in total?
For a small office with 1-30 employees, expect to spend at least $5,000 and up to $25,000 or more. For larger companies, total relocation costs could reach well into the six figures.
The best way to control costs is to start planning early – at least 3-6 months for small moves and up to a year for larger transitions.
This will give you time to properly vet commercial movers, compare quotes, and identify any potential issues in advance. It will also allow you to schedule your move during a slower time of year for more competitive rates.
Better yet, hire ARC Relocation to handle your business relocation for you. We’ll keep the office moving costs simple and straightforward so you understand everything you need to know. Get an office moving quote today!