What kind of costs are involved with an office?

There are two basic types of costs connected to an office:

• Setup Costs
• Operating costs

Setup costs include the costs involved with establishing an office. They may consist of cost of building land and the cost of the office building (in case the company is the owner of the office space), initial cost of buying equipment and office furniture, etc.
Operating costs are involved with day-to-day operations of the office. They include rent or lease payments (if the company is not the owner of the space), Maintenance of equipment, replacement of equipment, office supplies and consumables,insurance, public utilities such as telephone service, Internet connectivity, electricity, water, etc