Coworking space

Is Your Startup Ready For Coworking Spaces?

By October 22, 2018 No Comments

Getting your company moved into an office space will be very costly and just like most startups, you are probably a little tight on cash. Not only do you have to plan for mortgage or rent fees but also consider the utilities and maintenance fees that come with operating out of a business complex. Coworking spaces could be an option to getting you the needed office space with little cost and no commitments.

Whether you actually need an office space or coworking space is the first thing you need to figure out. No shame in running your business from your garage as there are many great companies that started the same way. The time will come when your company is too large and complex to operate completely online out of your home.

One of the main  drawbacks of working from home is the potential for distractions. If your startup doesn’t seem to be growing then a coworking space could provide you that needed boost. Getting you and your employees setup in an office is guaranteed to increase everyone’s productivity. Coworking spaces are known for their positive and collaborative environments. This type of atmosphere might not be the best setup for all type of startup companies.

Coworking Spaces Explained

coworking spaceCoworking spaces are rented office space that are shared with other freelancers or remote employees. These facilities are fully furnished with high speed internet just like a up and running business office. Coworking spaces differ from normal incubator setups in that they have a more socializing aspect where people are sharing their ideas as they work towards their own specific goals. It is common for coworking companies to facilitate social interaction and brainstorming activities.

Pricing structures for these coworking spaces can vary depending on numerous factors. Do you want a dedicated desk or do you not mind just finding a new spot each day? Are you going to need private conference rooms for meetings or video calls? Depending on the answers to these questions and location, you should expect to pay somewhere between $300 and $1500 per month. Coworking spaces can be rented out daily, weekly or monthly.

Reasons You Are Not Ready For Coworking Spaces

  1. Innovation. Working in a shared space on a shared network with a bunch of unknown people could cost you a lot more than the cost of leasing your own office building. Someone stealing your idea could be detrimental to your businesses success. If your startup is producing some super secret soon-to-be-patented product then coworking spaces are not an option.
  2. Concentration. Most coworking spaces consist of shared desks in large open style rooms. This can obviously get very loud at times which could make it very difficult to take calls at times. If you are a person that gets easily distracted or annoyed then coworking spaces might not work for you.
  3. Rapid Hiring. Coworking spaces are a lot cheaper than leasing an office but only up to a certain point. Keep in mind that it will cost about $800 for each employee you assign to the coworking space. If you are looking to hire several additional employees in the near future then it could be cheaper to lease your own office.

If any of the above conditions apply to you then your startup probably won’t benefit much from coworking space. The great thing about coworking spaces is that you can rent a space for a week to see if the vibe fits you. I suggest everyone to visit a coworking space before committing to a long term office lease. The flexibility and resources available just can’t be matched by any other office model.

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