Are coworking spaces useful and profitable for startups?
What do you think are the benefits of a coworking space? Do they prove to be useful for a startup to grow and thrive or are startups better off running from living rooms, basements, garages of the world? Posted in: #Startups & Business
You have asked a very crucial question which should be catered to while starting up. I would like to share how I have traversed in my startup journey and how connecting with entrepreneurs and like minded took care of its own. I was in Delhi during one of my ventures and I faced a similar difficulty. The solution was simple and right in front of me. I joined a coworking space delhi. It was one of the most exhilarating experience of my life. Not only did I get to network and connect with like minded entrepreneurs, I got to experience the various events related to recreational and work related. The coworking space I worked in also boasted of a mentorship programme which saw eminent personalities of the industry coming on a regular basis for mentoring and guiding the aspiring entrepreneurs. I would strongly suggest you to join a coworking space to extend your network and enjoy the cultural diversity of startups under one roof. One more suggestion I would give is to go for meetups. Meetups happen across the globe and their prime motive is to connect like minded individuals. I have been to multiple meetups and still do. It is one of the best opportunities there is to connect with people in your niche. All the best. Take care.
In my experience, the biggest advantage of co-working spaces are the community & networking. This is the most reliable way to work together and grow. The coworking space is quite hot currently and many coworking companies in India are coming up. Instaoffice, wework, regus, bhive etc. At topcoworks you can find and review coworking spaces in India.
As your question is specific, Are Coworking Space useful and profitable for startups ?
I will say main 3 points
- You will Build your Network.
When you are in a place like Coworking Space Mumbaiyou can be surrounded with a similar mind people who are just goal driven and passionate as you are. More chances of finding someone can pop you ideas, who knows may be you can make him as a partner or an investor with experience.
- You wont go out of Money.
These serviced offices are more economical when compared to renting an entire office with manpower for your day to day operations. Most of the coworking spaces will give you access to basic amenities like Centralized Air Conditioning, Coffee&Tea, 24/7 Access, Lockers, Managed Receptionists and many more.
- You will have access to all Talented people.
Shared offices will give you handy of all kind of talented people for different industries and sectors. You might have a problem regarding your business, who knows the one who can give you solution might sit just in front of you. So you have advantage of sharing skills which will be beneficial to your startup.
Thank you so much for the opportunity.
All the Best.
Companies like Apple, Google, Amazon etc. have started in Garages but this may not work with current generation startups.
Coworking Spaces does really work for startups or freelancers. Even SMEs are going for coworking spaces because of the varied advantages it is offering. One can save a lot of time, money and resource if opting for a coworking space.
I personally am a freelancer and it worked for me. I worked out of a coworking space in Bangalore provided by ikeva. I liked the ambiance, facilities and sometimes they conduct activities for refreshing. For freelancers or startups, activities could help in connecting with other workers. Who knows they might become a partner in our company.
Concluding, coworking spaces are profitable for Startups in many ways.
I agree with the benefits mentioned here. On top of that, opting for co-working spaces gives your business mobility if you need to shift locations (quick to shift and on board in a new place) and OPEX costs are predictable with fixed subscriptions.
Though, the trade off in working in co-working spaces is that you have limited privacy, and if you do get a private room, the cost is quite high to rent (in comparison to a similar sized dedicated office). You also can't design / renovate the place. Depending on the nature of work, perhaps you can have a hybrid of both where you have a flexible desk at the co-working space for networking and collaboration, while a cheap dedicated office space / garage / basement for privacy (for doing lab work, etc).
Business is ever-expanding. With pre-established companies branching out into newer grounds, or the sprouting of start-ups, collaborations, alliances, partnership, etc. business is constantly evolving. And this evolution of business enterprises demands a parallel development in the spatial aspect of housing a business center. The solution for such a crisis is coworking space for entrepreneurs.
Every business, big or small, experienced or start-ups, requires a work-space. Business enterprises contribute significantly to the real estate. Generally, major established firms prefer to rent their own permanent office space, firstly, because they can afford it, and secondly, because it makes it easier to handle business from within a single, static space.
But along with owning your own office space comes the task of rents, maintenance, etc. In recent times, the business sector has observed a considerable increase in the number of start-ups and entrepreneurs. When it comes to funding start-ups, it is not always viable to rent a traditional office space, due to the high rental prices.
Co-working space is defined as a business service provision model that involves individuals or small groups working independently or collaboratively in small office spaces. With costly rents for
office space galleria , Gurgaon, Lucknow, Delhi, and other thriving cities, renting an office space is simply futile. Hence, commercial real estate devised the concept of coworking spaces, fully equipped with commodities required for conducting businesses. With flexible workspaces and working hours, coworking spaces are a milestone in promoting the growth of business and to build a sense of a shared community.