What is charming in your lean first year because you’re feeling like a true startup begins to become annoying when you’re tired of a loud work environment, a single bathroom stall for 40 people or uncomfortable chairs, bad lighting or old computers. Even if you’re winning business, in the press, raising capital and generally doing great things – over time a shitty office environment begins to wear on you.
And I see many companies blow this. My recommendation any time I provide a round of A or B capital is to spend properly on decent offices. Of course there’s always a balance because you don’t want extravagance. But a great office environment will yield so many intangibles that you can’t measure.
A great office helps with recruiting. It helps with productivity and output. It helps with employee retention. A great office helps with the intangibles of “well being” that are psychologically hidden in the lower levels of Maslow’s Hierarchy of Needs. A good office / work environment is the foundation of establishing a strong company culture and team spirit.