If you're launching a startup in Australia, nailing down your office costs early can save you from nasty financial surprises down the track. Whether you're eyeing a hot desk in Sydney's CBD or planning a full office fit-out in Melbourne, understanding the real numbers matters for your business plan and overall start up costs. This guide provides pricing data, practical comparisons, and a budget template you can use to approximate your total costs.
Where to Start: Coworking Space Costs in Australia
When you're just starting out, coworking spaces have become the go-to for Australian startups wanting flexibility without the commitment of a traditional office or long term lease commitments. These shared workspaces offer cost efficiency on a month to month basis, perfect for small businesses in their early stages.
Sydney coworking space costs offer the premium experience at around A$550/month per desk - no surprises there given the harbour city's premium real estate. Melbourne and Perth sit close behind at approximately A$500/month, while Brisbane and Adelaide offer more breathing room for your budget at A$400/month. If you're willing to set up shop in the capital, Canberra delivers the best value at A$350/month for hot desks.
In Australia and around the world, the coworking sector continues to expand. Projections show it hitting a global $40 billion by 2030, which means more coworking providers and competitive advantage through pricing for startups. Many businesses are discovering the benefits of flexible office solutions that include secure Wi-Fi, shared kitchen facilities, and meeting room access during standard business hours.
Melbourne offers particularly diverse options depending on your business type and needs. Coworking hot desk options run around A$450–600/month. Dedicated desks climb to A$600–800, and private offices within coworking spaces reach A$700–900/month. These spaces often include conference rooms, premium amenities, and networking opportunities. You'll find this beats the isolation of working from your local cafe while maintaining flexibility.
Office Rental Costs
Once your team outgrows the coworking life and you're ready for business growth, traditional office rentals become the next consideration. Your business structure will determine whether you need office space with full access or can continue with flexible arrangements.
Current market averages showA$656 per person monthly for serviced or private office setups. Coworking desks across various locations average A$479. These figures give you a solid baseline for comparing whether it's time to graduate from shared spaces to something more permanent. Consider lease terms carefully since they represent one of your biggest running costs and legal obligations.
Office Fit-Out Costs
One off costs get serious when you're transforming an empty shell into a functional workspace. You'll need significant upfront investment in office supplies, furniture, and infrastructure. JLL reports average fit-out costs at A$3,220/m² for medium-quality spaces as of Q1 2025, well above the world average price.
City-specific costs according to Cushman & Wakefield's2025 data show interesting variations. Canberra leads at A$2,998/m². Sydney follows at A$2,665/m², with Melbourne close behind at A$2,607/m². Brisbane sits at A$2,548/m², while Perth and Adelaide offer the most affordable options at A$2,453/m² and A$2,451/m² respectively.
Generally, budget fit-outs range from A$1,000 to over A$3,000/m², depending on your ambitions and finish quality. These one off expenses can significantly impact your business success, so plan accordingly.
Are There Hidden Office Costs?
Smart founders know the devil lives in the details. Your business calculate needs to factor in often-overlooked expenses that can quickly add up.
Utilities, internet, and cleaning usually come bundled in coworking but become separate bills in traditional leases. Virtual office address or virtual offices services work perfectly for solopreneurs who need a professional virtual address without the physical space, allowing them to work remotely.
Insurance and compliance costs remain non-negotiable fees for lease agreements and workplace safety. Legal fees for lease negotiations and contracts can surprise first-time renters. Professional services for accounting and business setup add to the initial outlay. Marketing materials for your new space need budgeting too. If you're going in house with reception or admin staff, wages become another consideration.
As a general rule, Always keep a 10–15% buffer for unexpected expenses. Money set aside for surprises saves stress later.
Research other optional inclusions like meeting rooms bookings, parking, or after-hours access. Every example of an established business shows these hidden costs matter more than you might expect.
Your Office Budget Template
This simple template lists everything to help you map out monthly and annual costs:
|
Category
|
Monthly Cost (A$)
|
Annual Cost (A$)
|
|
Coworking Desk / Rent
|
500 – 900
|
6,000 – 10,800
|
|
Office Fit-Out
|
500 – 1,000
|
6,000 – 12,000
|
|
Utilities & Cleaning
|
200 – 400
|
2,400 – 4,800
|
|
IT & Connectivity
|
150 – 300
|
1,800 – 3,600
|
|
Insurance / Compliance
|
100 – 300
|
1,200 – 3,600
|
|
Contingency
|
Varies
|
Varies
|
Understanding office costs across Australia gives you the power to make informed decisions as your startup grows. Supporting remote workers, improving business productivity, and maintaining work life balance all depend on choosing the right space.
Frequently Asked Questions
