In the past, sharing an office space with another company – let alone three or five other companies – would not only have been unheard of, it would also have been frowned upon. Yet, the number of shared office spaces popping up on almost every block these days is proving that coworking spaces might just be here to stay.
To the uninitiated, coworking spaces are workspaces that allow individuals or groups operating different businesses to use their resources. Coworking spaces have done a lot to help launch startup businesses. But how exactly did coworking spaces become so intertwined with the startup economy?
Predictability
A challenge that most startups face is getting their costs under control. Renting a traditional office space might make it difficult to keep operational costs consistent across the year. This is especially true for startups looking to grow their teams. With coworking spaces, startup companies don’t have to think about fluctuating bills for internet, office supplies, and even utilities. Subscriptions from coworking spaces already take those costs into account.
Scalability
The nature of most startup businesses is that growth is not always consistent, meaning that scalability is important to ensure any startup’s survival. Signing a contract for a traditional commercial space often means lock-in periods for longer terms than what a startup may need at the moment. Having a monthly subscription from a shared office space means that startups have the flexibility to scale up and down as needed.
Networking Opportunities
The beauty of operating in coworking spaces is that other business owners and skilled professionals are always around. And for businesses that are just starting out, knowing the right people can greatly improve the chances of a business taking off. Coworking spaces are also known for hosting conventions like West Palm Startup Week. Events like these allow startups to not only promote their brands, but also to connect startups with potential business partners, investors, and employees.
Collaboration
Being constantly surrounded by talent can have great benefits for any startup. Problems that may be entirely new to one team may be familiar to another business or individual. Coworking spaces help foster a culture of collaboration. This kind of culture allows not only startup businesses to thrive, but also the community where the coworking space exists. Over time, this also leads to a better economy in the city where the coworking space exists.
Productivity
Many startups are involved in the tech industry, where trends and innovations can come and go before a web page fully loads. This means that they often impose quick turnaround times on themselves in order for their projects to stay relevant. Coworking spaces help facilitate productivity by allowing startups to focus on their core operations instead of worrying about the administrative tasks of managing a traditional commercial space.
Coworking spaces have created a symbiotic relationship with startup businesses Due to their collaborative nature and ease of use. Coworking spaces are only a small part of what allows startups to flourish, and it will be interesting to see whether this continues in the years to come.
modern office setting -DepositPhotos
