How Coworking Space Helps Entrepreneurs and Startups

A coworking office space is an open space that is designed to encourage a sense of community. Coworking spaces are the innovative revolution which has transformed the face of commercial real estate.

Coworking space differs undoubtedly from standard office space, but they even share some of the same features along with a pack of additional ones that might be appealing to your startup and entrepreneurs.

What do Startup Entrepreneurs expect from a work environment?

  1. An environment that supports instant and rapid business growth.
  2. Space that transmits positivity and keeps the team motivated.
  3. An office space that provides privacy and personal space.
  4. An office space that provides opportunities to collaborate.
  5. A shared workspace that enhances networking opportunity.

Flexibility:

As work from home has become more dominant now, companies are finding mid-way between traditional offices to switching to complete work from home. And the best solution that stands is coworking spaces. Flexible office space is the best solution for startups and entrepreneurs.

Coworking office spaces provide a productive and collaborative environment to their dynamic inhabitants. It is a shared office environment offering flexible memberships by giving an option to start a subscription lease at any time and cancel anytime. Furthermore, It helps organisations to dynamically vary their space for business growth.

Flexible office spaces are now an easy and effective solution for organizations to be agile with their workplace needs. Coworking space provides you with the advantage to choose flexible work hours and places to work

Less Capital Investment:

Business overhead costs can pile up quickly, especially if you are an entrepreneur or a startup company. If you have your own traditional office space, there are many expenses which you have to look into such as taxes, cleaning, maintenance, furnishing and many other office perks. 

A coworking space is more cost effective than traditional offices as you don’t have to worry about buying or renting a space, companies get to save on operational costs such as technical infrastructure, housekeeping and broadband connectivity. 

Shared office spaces are ready to use workstations equipped with desks, chairs and cabinets. It saves an immense amount of money. Coworking space is of great benefit for startups, entrepreneurs and freelancers.

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Benefits of Co-working Space over Traditional Office

Zero Operational Headaches:

Coworking space comes with everything you might need. These spaces usually feature a modern and upbeat design that appeals to a youthful workforce. It helps startups and entrepreneurs to focus on the core area of the business rather than getting into operational headaches. 

The entire up-keeping of the office is taken care off by the space providers, including the technical aspects and community members are provided with 24*7 operational and technical support. 

Customized Office Spaces:

Office design is evolving and continually striving to find new ways how to effectively boost a worker’s productivity. Companies would like that their workspace represents their vision. This is where coworking office spaces come into play that fit the various demands of a business. 

Higher Demand for a more private, progressive workspace has pushed companies towards coworking office space. 

Coworking office space provides personalised space options that can be designed in a way that it speaks about the company’s ideology. From wallpapers to customized layouts, private areas are designed in a way that can accommodate the company’s requirements.

Comfortable and Secure:

Coworking space usually provides a high level of security for the premises. Coworking space can be accessed only via personal identification which makes it most secure. Most coworking spaces are located in a secure commercial area which allow companies to be more productive. 

Coworking spaces offer various workshops which can help in boosting your productivity. It is a hassle-free office space which makes it a worthy investment for entrepreneurs and startups. 

The fact that everything is provided to the company by the shared space provider makes it more comfortable.

Vibrant Community:

The working environment in a shared workspace allows for more interaction with people with different skills, mindset and knowledge. 

The shared workspace is a place where you find yourself surrounded by entrepreneurs, freelancers, digital nomads and like-minded people which offers more creativity and more insight into emerging trends. 

Coworking space encourages communication which leads to motivation and more productivity. Coworking space often hosts a variety of interesting events and lectures that all of the employees can attend which brings a sense of collectivism that will make your workplace much more enjoyable

Workspaces these days also consider utility-driven corners such as breakout zone, phonebooth, private discussion corners, etc. 

Professional Ambience and Facilities:

Coworking spaces are well equipped with a wide range of office facilities like telecommunication services, amphitheatre, conference room, ample parking space, printing and scanning facilities which can be used by entrepreneurs and startups to increase production. 

Shared spaces are meant to create a vibrant and energetic ambience for its community. Coworking spaces are designed keeping in mind the need to motivate and support an innovative environment and keep the spirits high. 

Pool of Talented Individuals & Networking Opportunities:

Coworking space is a platform where people from different industries work together. It is like a large talent pool which can help you set up and advertise your business quicker than you ever thought possible! 

Simply put, startups that choose coworking spaces are not simply saving money on operational and overhead costs They are capitalizing on easy access to cheaper talent and in turn saving money.

Working in a shared space means that you get ample networking opportunities. Workspaces like this conduct regular events and activities that help their community members to connect.

Affordable Meeting Rooms and Event Spaces

When renting your office, you need to invest in its equipment and design. The office layout should consist of proper work stations, meeting/board rooms, break zones, etc.

On the other hand Coworking meeting room is an affordable option as you will choose a small portion of a large shared space and it comes with everything you might need, including communication technologies, reception services, mailbox, etc. 

One big advantage of renting a meeting room or event space at a coworking space is that you get to choose the number of seats you wish to book and the type of amenities you want accordingly and you pay for what you choose which in return lowers the overhead costs. 

Coworking offices and their meeting room reflect the culture, mindset and ideology of the company with their layouts and furniture.

Additional Perks:

Coworking spaces are flexible, social and motivational workspaces other than that it helps in reducing anxiety and loneliness for remote workers who are working from home or working alone. It is great if you want your employee to develop their well-being and persona. 

A shared workspace gives stability and routine to digital nomads. Some coworking spaces offer multi-city memberships and even 24*7 access. 

Coworking spaces have many other additional perks:

  1. Printing: Coworking spaces have state-of-the-art office equipment such as high-quality printers, scanners and copiers with a proper IT team for the employees.
  2. Lockers: Coworking space offers extra storage space for employees.
  3. Signage: Coworking space enables members to show off their brands with physical or digital signage.
  4. Phone booth: Phone booth for making calls serve a dual purpose – they provide members with a place where they can make private calls without getting disturbed and as well as it helps other members working in open space from getting disturbed.
  5. Approachable Community Manager: Community Managers hold shared workspaces together. They answer queries, greet people, provide tours, plan events and help co-workers.
  6. Mail Services: Mail service is a most lucrative benefit of a shared office space. It provides entrepreneurs and startup companies with a professional mailing address. 
  7. Ergonomic Furniture: Coworking spaces provide a variety of seating options so that members can choose as per their preferences. They ensure that the chairs are adjustable, comfortable and ergonomically sound.
  8. Fast Wi-Fi: Coworking space invests in quality IT to ensure that members have a fast and reliable internet connection.

What is Coworking? How Coworking Spaces Works?

What is Coworking?

Coworking is an arrangement in which workers of different sectors/companies share an office space. It allows cost savings and convenience through the use of common infrastructure, such as receptionist and custodial services, equipment, utilities, parcel acceptance services and in some cases refreshments.

The days where coworking spaces were occupied only by freelancers and start-ups are far behind us, large enterprises and MNCs have started selecting coworking spaces over private offices in view of the agility and flexibility offered by shared workspace providers.

History of Coworking Culture

The term coworking seems to be a regular part of the life for a freelancer, someone who works remotely, or even start-ups today, but this has not always been the case.

The concept of coworking was first introduced as a workspace office culture in the year 2005 by Brad Neuberg, a Software Engineer from San Francisco. 

Similar ideas to that of Neuberg’s official coworking space had been percolating over the years. In 1995, C-Base in Berlin was the first hackerspaces around the world and in 1999, “42west24” in New York City was started with flexible desks for teams and individuals. Both C-Base and 42west24 are seen as precursors to coworking spaces, but without the aspect of “community” that coworking offers.

Coworking Stats

Flexible workspace are growing in popularity among freelancers, entrepreneurs, start-ups, SMEs and MNCs looking to expand their businesses. 

There were nearly 19,000 coworking spaces, around 30,000 flexible workspaces and more than 3 million co-workers recorded globally in the year 2019. 

Coworking spaces are estimated to reach 26,000 by 2025, flexible workspaces are likely to be around 49,500 by 2022 and the current total of 3.1 million co-workers are forecasted to nearly double by the year 2022.

Types of Coworking Spaces:

Coworking spaces can be categorized into private offices, community-based offices, shared spaces, and of various other types. Each type of coworking space comes with its own benefits and are usually picked based on the nature of the business and requirement.

Here is a brief explanation of the types of spaces found in the coworking concept for a better understanding:

1. Private Offices :

Usually designed for a team of 4 or more. Though they may cost more than the coworking space, they can provide similar flexibility along with the privacy of a traditional office.

2. Coworking Dedicated Desk :

A desk assigned to you in a shared space with other employees from various other backgrounds and companies is termed as a dedicated desk. It provides an employee with the opportunity to enhance their skills and grow more connections.

3. Meeting Space :

Coworking space providers offer hourly, daily, and even weekly use of their well-equipped meeting rooms for client meetings, team collaboration secessions, planning meetings and more.

4. Event Space :

Corporate meetings, team building events, seminars and any other events can be hosted in the dedicated event spaces.

5. Virtual Office Space :

virtual office is part of the flexible workspace industry that caters to the demands of evolution in the way we work today. It provides businesses with various services, a prestigious office address and the flexibility to work remotely.

Why is Coworking Space Important? And Do People prefer it?

In General terms, coworking is a community of people assembled at a neutral space to work independently or in groups on different projects, from various backgrounds.

Coworking spaces have become extremely popular in the last few years. Without a second thought, it is a great choice for start-ups and budding entrepreneurs to network and collaborate with like-minded professionals. Large companies adapt to coworking spaces to economize, network and fuel employees’ creativity.

It is not similar to a typical office workspace because the people in a coworking environment generally aren’t working for the same company. Coworking spaces usually offer the same amenities and in some cases even more than you would find in a traditional office. 

A major differentiator is flexibility, a long-term lease is not a requirement in a coworking space. Basic facilities like WiFi, printers, cafeteria, and other amenities are common in every co-work space. 

Coworking spaces are seeing a demand among entrepreneurs, SMEs and some large sale companies due to the below reasons:

  • Community – Even in diversity, it is amazing how a community can help one another grow.
  • Flexibility – Coworking space providers always have flexible terms that are more pleasing to an employer, NO LEASE, NO LONG TERM CONTRACTS, etc. are some of the reasons we see companies opting to co-work today.
  • Reduced stress – The current pandemic has got almost everyone working from home. While this can be a great way of working, it can easily fall apart as well. The key to have a stress free work life balance is to work outside one’s home but still in proximity to home.
  • Networking – Meeting new people in a coworking environment can be great networking that can eventually lead to new opportunities for business growth.
  • Motivation level – It is highly impossible to slack off when in a room full of driven people. Energy and productive levels rise high in co-work spaces.

Coworking for Startups and Freelancers:

Whether you are an aspiring entrepreneur or an experienced freelancer, the term coworking must be familiar and relevant to you. In the early stages of one’s business, working from home or a coffee shop may seem enticing and cost-effective. But as one’s business expands, the need to have a space of your own for a bigger team, hosting client meetings, and just having a better work environment also becomes a necessity.

When renting an office, your investment is calculated based on the location, equipment, and design you choose. On the other hand, coworking spaces are a fully equipped office choice that comes with everything you might need. It includes communication technologies, reception services, mailboxes, amenities, etc.

Collaboration and networking are some of the additional benefits of coworking space. While it’s possible to work remotely or from the comfort of one’s home, your business might be missing out on crucial networking that might open new doors.

Coworking Spaces for Small & Medium Businesses:

For SMEs, time is the most important asset. That is why coworking spaces are almost always ready to move in for most Small and Medium businesses.

Coworking spaces are more focused on saving money for businesses. Essentially, coworking spaces are just office spaces that businesses rent on a monthly basis, free of any complicated lease agreements and hefty lease payments. Coworking space providers offer enterprises unmatched flexibility in their use and commitment to space without tying up much-needed capital to a lease obligation.
For an SME, it is important to build and maintain a network of potential clients, contacts, and investors. Most of this can be done inside the coworking environment itself, with the likelihood of finding all three within the small space.

Coworking Spaces for Corporates: 

Corporate organizations looking to grow their businesses into a new market often use coworking. They are opting to work from a professional space while avoiding the overheads due to the cost-effectiveness offered by coworking spaces rather than having a corporate office. 

Large firms now have headquarters in coworking spaces and focus on growth, leaving the minutiae of setting up an office to the coworking company.

We see many corporate offices utilizing coworking spaces to add a more social and collaborative aspect to the traditional office space. It becomes natural to interact with people from other companies and sectors, this gives the larger corporations access to new businesses with new talents.

Famous brands that use Coworking Spaces:

5 successful companies that were started in coworking office spaces:

  • Instagram.
  • Spotify.
  • Uber.
  • Ofo.
  • Indiegogo.

Here is a list of the top global companies that are now using coworking spaces:

  • Microsoft.
  • Facebook.
  • Apple.
  • Samsung.
  • Alibaba.

Future of Coworking Spaces:

As people are choosing a more flexible lifestyle, they prioritize on collaborations and community. No longer do people look to vertical expansion but they tend to slant toward a more horizontal expansion that encourages collaboration opportunities within the community, thus paving the way for cohabitation spaces where people can engage and connect closely while simultaneously experiencing their freedom and independence.

A recent report by JLL stated that the current market penetration of flexible workspaces in total office space stands at 3% and this percentage is expected to go up to 4.2% by 2023.

Pros & Cons of Coworking Spaces

Coworking has become a global trend in today’s business world.

There are some Pros of working in a coworking environment:

  • Cheap, flexible membership 
  • Scaling on demand 
  • Low-maintenance space 
  • Creativity and collaboration 
  • Events and amenities

Although coworking is quickly taking off, it is not always perfect for everyone.

Some Cons of working in a co-work space may include:

  • Sacrificed Privacy 
  • Distracting events
  • Crowds and commotion

Why coworking spaces are in demand

The number of employees working from home either partially or fully has been on the rise for years now, it has now become more evident and has slanted towards the term “THE NEW NORMAL” ever after the COVID-19 pandemic.

Remote working comes with a mixture of positive and negative outcomes. When looking at this shift from a traditional/conventional office to a remote work style, employers would definitely fixate on the negatives more than the positives in consideration to the growth of their business.

Working from home isn’t feasible on long term basis, here’s why:

Reduced team cohesiveness

Working remotely means working without a team and without constant supervision. Even though in some cases we see that reduced contact with colleagues may give an employee more space to increase productivity with less distractions, we also see that the aspect of sharing ideas, strategizing towards the project goals, bettering one’s work based on suggestions, lack of monitoring, etc. reduces cohesiveness and coordination which is a drawback.

Lack of focus

Work from home has seen a drastic downfall in employee’s productivity and focus. Constant distractions and little to no motivation around the house are found to be the main reasons for the lower productivity rate.

Barriers to implementing a remote work policy

There are a number of concerns that employers consider while deciding on the option of remote work, the “longstanding company policy” in other terms – the “current, perfectly functional, familiar company policy” is the most important factor. Other factors like data security, technology, flexibility at a higher extent, impact one the overall culture of the company and work, seem to be barriers in the implementation and shift from traditional to remote work policies.

Maintaining company culture

There are always unwritten values and behavioral aspects expected of an employee from his/her employer/company, every company carries out a culture that has been in force for a long term or in some cases from the start of the business. Maintaining this work culture among employees and management whilst working remotely can be a task by itself, thus leading companies to rethink the idea of remotely working on the whole.

The only way to overcome this dilemma between working at a conventional office and working remotely from one’s home, is to work at a proper “office” in “proximity” to one’s residence. Employees would not be required to move cities, travel long hours, or work in anxiety of the commute back home in case of an emergency. This is exactly why co-working spaces are in demand.

In general terms, co-working is a community of people assemble at a neutral space to work independently or in groups on different projects, from various backgrounds.It is not similar to a typical office workspace because the people in a co-working environment generally aren’t working for the same company. Co-working spaces usually offer the same amenities and, in some cases, even more than you would find in a traditional office.

A major differentiator is flexibility, a long-term lease is not a requirement in a co-working space. Basic facilities like Wi-Fi, printers, cafeteria, and other amenities are common in every co-working space.

Coworking spaces are seeing a demand among entrepreneurs, SMEs and some large sale companies due to the below reasons:

Community

Even in diversity, it is amazing how a community can help one another grow.

Flexibility

Co-working space providers always have flexible terms that are more pleasing to an employer, no lease, no long-term contracts etc. are some of the reasons we see companies opting to co-working spaces today.

Reduced stress

The current pandemic has got almost everyone working from home. While this can be a great way of working, it can easily fall apart as well. The key to have a stress-free work life balance is to work outside one’s home but still in proximity to home.

Networking

Meeting new people in a coworking environment can be great networking that can eventually lead to new opportunities for business growth.

Motivation level

It is highly impossible to slack off when in a room full of driven people.Energy and productive levels rise high in coworking spaces.

The coworking industry has opened up new gateways of growth to start-ups, entrepreneurs and freelancers. They have whole-heartedly welcomed flexible workspaces and have benefited from the collaborative, inclusive culture, cost efficiency, accessibility, etc. which are the very foundation of every co-working space.

The Executive Zone, a co-working space provider is located in Anna Salai, Chennai & offers you a luxurious, high spec office space with a number of amenities and facilities that will help your employee work more comfortably and efficiently, increasing their productivity and giving you the growth, you want for your company.

Choosing a new office space? We’re here to guide you!

Choosing an office space is an extremely important and puzzling task for a company. The space you choose might be a significant factor that may affect your business in the future. For instance, it can affect your office budget, the accessibility and functionality of the space, utilities etc.

A well-connected and a fully-serviced office space, can impress clients and facilitates workplace wellness. It can help develop employee morale and in turn grow your brand image.

A few points to keep in mind when choosing an office space

Location

Location plays a significant role in the process of selecting a new co-working/shared workspace. Knowing that clients and employees can make it to the office without any hassle is important. Proximity to airports and metro stations, coffee shops, etc. ensures that you are on the right track to selecting the perfect location.

Value for money

The deciding factor for any business owner while selecting an office space is the “Price factor”. Spending too less may result in having to forfeit a number of advantages, and spending too much will result in high expectations which when not fulfilled may lead to discomfort and disappointment. Things like basic facilities, services, amenities, hidden charges, contract terms, etc. are some points to look into while considering an office space.

Size

The Size is the next big deciding point right after location and price. Details like the size of desks, more storage, meeting rooms, breakout zones, cafeteria, etc. all add to the quality of an office space.

Having a well sized workstation, dedicated meeting rooms to entertain clients and discuss growth projections with employees, place to rest and take a break admits the busy hectic work day are some features that help employees work better and employers achieve required growth in business.

Infrastructure and Style

When it comes to working at a co-working space, basic and necessary equipment and amenities are a priority and are needed to make the workday a more comfortable and productive affair. The style aspect in terms of visual appeal, furniture, lounge area, etc. may play a role in the kind of impression a business would like to make to its clients and employees.

Technology

Businesses nowadays function mainly with the use of the internet. A bad network/Wi-Fi connection on a crucially busy day would be an employee’s worst nightmare. Finding a co-working space with proper internet connection is very important. Video conference room facilities with the latest video conferencing equipment, projection equipment and furniture are features a business looks for while selecting a perfect co-working space.

Here at The Executive Zone, We tick all the boxes!

Located at Anna Salai (Mount Road) – one of the most prime commercial area in Chennai city, with a selection of high spec serviced office suites at the most reasonable price, we offer employers a range of services, amenities and various types of shared office spaces.

Benefits of Co-working Space over Traditional Office

What is a co-working space?

Co-working spaces are an arrangement in which workers of different companies share an office space. It allows cost savings and convenience through the use of common infrastructure, such as receptionist and custodial services, equipment, utilities, parcel acceptance services and in some cases refreshments.

The days where co-working spaces were occupied only by freelancers and start-ups are far behind us, large enterprises nd MNCs have started selecting coworking spaces over private offices in view of the agility and flexibility offered by shared workspace providers.

5 reasons why co-working spaces over conventional/traditional offices is the smart choice:

Opportunity for Customization of Office Spaces

Different businesses have different infrastructural requirements. Flexible workspace providers design private office spaces or shared workspace as per the business’ infrastructural needs. Flexible workspace provide options between single desk, shared office or private cabins. It also gives an option to have brainstorming sessions in designated or common zones.

Lease – Real estate Efficiency

Most conventional office spaces are rigid, inflexible & require hefty investments. Co-working spaces, on the other hand provide plug-and-play offices that require no CAPEX investments, no lease! You get a membership according to your needs, and you can change it at a moment’s notice.Be it a desk for just one day or 10 dedicated desks for a week or a private office for four months, shared workplaces give you remarkably flexible choices.

Interactive Events

Co-working spaces organize events to keep their members and employees engaged. DIY workshops, corporate grooming seminars, business related workshops, etc. give employees the chance to have fun and meet new individuals from various backgrounds while learning something new.Such recreational exposure helps in keeping the employeesfocused and motivated, in turn increases their productivity.

Networking Opportunities

The foundation of co-working spaces is building a community of like-minded individuals. Co-working spaces are centersfor ideas and experiences, consisting of people from various companies and walks of life working together within the same office premises. The Co-working concept also provides individuals the opportunity to expand their professional network, as well as venture into new collaborations for mutual interest.