As the popularity of coworking space grows, more and more people want to know “What exactly is a coworking space?”
In this detailed article, we’ll go through the basics of a coworking space. What is a coworking space? how to pick a good one? Coworking space statistics (what you can look for, what you can avoid), & benefits of coworking space.
What is Coworking Space?
Coworking is a business arrangement in which staff from different organizations share an office room, allowing for cost savings and flexibility by sharing facilities such as appliances, utilities, receptionist and custodial services, and in some cases refreshments and package acceptance services.
Independent contractors, independent scientists, telecommuting larger work teams who want flexibility and to avoid wasting real estate space if certain workers work from home, and work-at-home professionals, as well as frequent travellers, find it appealing. Additionally, coworking allows employees to escape feelings of loneliness that they might have when telecommuting, travelling, or working.
Benefits of Coworking Space
There are ample benefits of joining coworking space……
Coworking space has many of the same benefits as a typical workplace, as well as a lot more. Since you don’t have to sign a long-term lease in a coworking room, flexibility is a key differentiator. Every coworking space would have the necessities, such as WiFi, printers, and, in most cases, a conference room… Tea, coffee, and snacks may be available in some cases.
Some will have start-up tools available to you, such as digital assets, coaches, and advisors. Some could have 3D printers and other technology that you don’t have access to, all of the time. Some budget-conscious coworking spaces are more rudimentary, with just a desk and WiFi.
Small companies, freelancers, and other employees may use coworking spaces to get work done, network, and engage in their local business environment.
More opportunities for networking
One of the most significant advantages of a coworking space is business networking the ability to meet new people. If you work from home or in an independent office, you may be robbing yourself of vital connections that will help you grow your company. The spark that proximity to other successful business owners can add to a small business is often all that’s lacking.
This is particularly true for small business owners who work from home. It’s quick to get distracted while we’re at home. Children need care, the house must be cleaned or maintained, and special tasks may arise at any time. You can create a “job style” that will help you be more efficient by moving to a different place. Many coworking spaces are open 24 hours a day, seven days a week, so you never have to think about getting work done.
Coworking spaces can offer bursts of inspiration by encouraging you to interact with others and open yourself to new perspectives. Changing workspaces and going to a new office will help you refresh your mind and think of new solutions to business problems.
This advantage is closely related to networking. You are exposed to chance and opportunity when you work in a coworking room. Who knows where a casual discussion might lead? Working in close proximity to others allows for rapid communication. You might be recruiting someone new before you know it.
If you rent an office, there are a number of additional costs to consider, especially if your employees want perks like free coffee, snacks, and (occasionally) alcohol. These and other benefits are included in the monthly cost of coworking spaces. They also have a range of built-in business utilities, such as business mail, that can help you save money in the long run. Before deciding on the best location for your business, think about what features you need. Small businesses trapped in excessively costly leases can find cost-efficiency to be a vital advantage.
Many coworking spaces have extremely flexible lease terms. If you need to cancel your membership for some reason, there are typically many choices available. As a result, it’s an excellent business service to test out and see how it goes. You’re good to go if you’ve had a positive experience. If not, canceling your membership isn’t a big deal.
You will break out of your own bubble by exposing yourself and your employees to new experiences, which will help you create a better company. Any business’s success depends on having a comfortable and productive workspace. Although there are several advantages, finding the best coworking space can be daunting. It’s crucial to go over our guide on how to choose the best coworking space for your business before weighing your options.
Coworking spaces are quickly outpacing monolithic workspaces in terms of commercial real estate absorption in India. Co-working spaces are springing up all over the world as the proportion of IT/ITeS in total transacted space declines. Demand for flexible offices — including co-working spaces and serviced offices — is growing faster, the top 6 cities will require an estimated 5 million seats in co-working spaces, while, 8.5 million of the projected demand will be in Tier 2 and 3 cities.
Coworking spaces in India are growing at a great pace and this will continue in future also, as people become more aware of coworking space benefits.
The pattern is consistent with India’s demographic distribution. India’s is on track to become the world’s youngest country, with 64 per cent of its population of working age. Millennials (those born between the early 1980s and the mid-1990s) and Post-Millennials (those born after the mid-1990s) tend to prefer working from coworking spaces.
Co-working room! These awesome shared offices are invading the world, from comfortable to luxurious, and sector-specific.
Choosing the right office space can make a huge difference in not only growing your business, but also in forming a strong team and creating a productive work culture.
Amenities in the office
Most coworking spaces come equipped with regular office equipment, but make sure to inquire about any extras that may be useful, such as chargers, whiteboards, and projectors. Check to see if printing services and meeting rooms are included in the price, as well as if a kitchen, bathroom, access to private spaces, phone booths, and other amenities are available.
There are a lot of coworking spaces to choose from, so you should be able to find one that fits your style in your city. Concentrate on finding a place that facilitates productive work, stimulates innovation, and offers opportunities for effective networking.
The working climate
Did you know that lighting, temperature, humidity, and noise have a significant impact on your productivity?
Some areas are too hot or cold for comfortable work, while others are overrun with community members’ chatter.
When choosing a coworking room, pay a visit, determine whether a space is properly lit, heated or cooled, and has healthy humidity and CO2 levels. You can also locate the best place for your desk, where you will have the most protection from noise, as well as the best lighting and air quality.
According to a study, 80% of workers believe that changing places while employed increases productivity. Professionals in all fields have prioritized flexibility in terms of venue and working hours.
If you think a change of scenery would help you be more productive, see if your coworking membership package includes a single dedicated desk or the option to travel around.
Great place to collaborate
A coworking space is a fantastic place to meet new people and collaborate on projects. Who knows, maybe you’re sitting next to the best web developer in town, who can quickly fix you up with a new website?
Some coworking spaces offer cutting-edge interiors that are expertly designed to promote collaboration and efficiency among its participants. With unlimited coffee, numerous meeting spaces, and large conference tables, there’s a fair chance you’ll run into some of the industry’s biggest names.
However, if the hustle and bustle gets to you, use their movable walls or active noise-canceling headphones to easily tune out the noise.
Internet With High Speed
The strongest Wi-Fi is found at home. If you only use the internet for emails and Facebook or you upload massive files to the cloud, transferring your work to a place with a good and stable internet connection would definitely help you. The good news is that most coworking spaces ensure that the wifi is fast, but it’s still a good idea to inquire about it and try it out.
Excellent coffee, delicious food, and other perks
Apart from a workspace that allows you to concentrate, it’s also important to find a coworking space that meets all of your other needs in order to improve your productivity. Most locations provide a variety of amenities such as gyms, yoga studios, children’s rooms, outdoor patios, and more. Free coffee and tea are very popular, so if you intend on drinking it every day, it’s a good idea to try it out first.
Your coworking space should be available during your busiest time of the day, whether you have company-established working hours or operate on your own schedule. Some people are more active in the mornings, while others prefer to work in the evenings. Find out the location’s opening hours so you can arrange your time efficiently while staying flexible.
Safety is paramount
And you don’t mind lugging your laptop around, you’ll need a spot where you can quit your job for the lunch hour or even overnight. Check the security measures in place, particularly if the location is open 24 hours a day, 7 days a week.
The site and the surrounding area
This should be self-evident, given that you’ll most likely want a coworking space in your neighborhood. Nonetheless, it’s important to consider the location’s proximity to transportation and the surrounding area. Check if there are any nearby bus or metro lines, and calculate how long it would take you to get there by foot, bike, or taxi.
Find out if there is any parking nearby and how much it costs. It’s also a good idea to think about what your future clients would think of the area if they drop by for a meeting.
Many coworking spaces have a slew of perks, so make sure to double-check the ones are included in the subscription that best suits your needs. Don’t be afraid to enquire about additional fees for meeting spaces, printing, locker rentals, and other services. Is there a trial period at your preferred location? If that’s the case, try it out and see if the monthly membership is really worth it.
Money for worth When it comes to selecting a remote work location, assessment is crucial. To get the best return on your investment, you must first determine how much you are willing to pay per month and what kind of benefits and facilities you need. Obviously, you want to choose a coworking space near you that will boost your productivity and motivate you to make the most of your working hours.
Important Coworking growth Statistics
- By 2024, the number of coworking spaces in the world is projected to more than double, surpassing 40,000.
- By 2022, 13% of companies outside the United States will be using shared workspaces.
- Co-working spaces were the fastest-growing form of office space in commercial real estate prior to the pandemic. Although they currently account for less than 5% of the industry, they are projected to account for 30% by 2030.
- The top ten coworking and flexible office space providers account for 36% of the market.
- Coworking operators generate 61% of their revenues from renting out desks.
- Joining a coworking space made 89% of members happier.
- 84% of coworkers feel motivated and engaged
- Globally, 37.93% of SMEs use a co-shared workspace
- The average age of members in coworking spaces is 36.
- There are over 5 million coworkers worldwide.
- Asia Pacific (India included) leads with 11,592 shared working spaces.
- The estimated value of flexible work spaces globally is $26 billion.
- Coworking office spaces are expected to grow at 13% per year.
- 72% of shared office facilities become profitable within two years from their opening.
- Since 2010, flexible space has grown at a rate of 23% per year on average.
Key Coworking Facts –
Renting out desks accounts for 61 percent of coworking operators’ income.
As part of their all-inclusive kit, nearly one-third of shared office facilities lease rooms for meetings and activities, provide food, and sell workshop tickets. According to coworking figures, facilities receive 10% of their revenue by renting out conference spaces, another 10% by renting out function rooms, 5% by selling food and drinks, and another 5% by hosting seminars and other activities. Some of the larger spaces also provide one-time membership fees, 24-hour access, on-site receptionists, and virtual offices as additional facilities.
Majority of Coworking Spaces are Rented or Leased
Working as a shared workspace operator is a difficult task. It’s not just a matter of finding a suitable location and carrying out the requisite repairs and changes. It’s not easy to get it on the charts, which is why 50% of operators have difficulty recruiting new members. There are still rent expenses to remember. Operators contribute 38% of their earnings to rent payments and 17% to salaries and operating expenses.
Switzerland’s desk prices are the best in the world
Some of the best cowork spaces in the world, from a luxury chalet in the Swiss Alps to a villa in sunny Bali, truly live up to the standards of versatility that this trend preaches.
Coworkers are always recruiting
According to a global coworking report, coworkers are recruiting in droves. Coworking office spaces are, in reality, company growth accelerators. Shortly, 40% of location-independent workers plan to recruit one to two people, 27% expect to hire two to five people, and 10% expect to hire up to ten people.
Statistics on Coworking Efficiency
Coworking allows you to extend your professional network
It’s like a never-ending buffet when it comes to coworking. What’s even better about the idea is that you could run into a digital designer or sit next to the web developer you desperately needed to update your website. A total of 82 percent of coworkers claim their networks have grown dramatically since they nested in a co-shared workspace.
89 percent of participants were happier since joining a coworking room
Working from the comfort of one’s own home while wearing one’s favorite pajamas can be a real treat. But, let’s face it, it can get lonely and isn’t always enjoyable. You can communicate with one to four coworkers per day in a coworking room, or none at all, depending on your mood.
According to coworking statistics, 89 percent of self-employed people are happier after joining this trend of complete versatility. Furthermore, 83 percent of those interviewed said they are less lonely.
Employee focus is improved in coworking
The coworking space business model is built on a balance of intent and competitiveness. And the end result is amazing. According to research on coworking efficiency, joint workplaces make 70 percent of their participants healthier.
64 percent of people who share an office with a coworker say they have strengthened their time management and 68 percent say they are more concentrated. The best part, is that 60% say they are more happy when they get home, which is just everyone deserves.
Almost everybody is happy with their work environment
Operators of coworking spaces should pat themselves on the back for doing an excellent job. It’s not easy to run and manage these flexible work spaces, particularly for those who are just getting started. Thankfully, statistics show that 92 percent of colleagues are satisfied with their workspaces, ensuring that operators receive the respect they deserve.
Coworking makes 55% of its participants feel like they’re part of something bigger
More than half of colleagues believe they are a part of a bigger picture. Their social lives are thriving, and their social networks have expanded by 79%. What makes these coworking spaces so important is that a whopping 80% of their participants claim they are glad to have someone to talk to, and 54% socialize with coworkers on weekends.
Coworking Spaces Demographics
Fifty percent of coworkers are self-employed
While freelancers, hackers, and remote workers might be expected to lead the pack of shared workspace developers, this is not the case. Who makes use of coworking? Just half of coworking hub participants said they work in the freelancing, consulting, or telecommuting industries, while 40% said they were employed by employers who flocked to coworking spaces, and 10% said they own a coworking space.
37+% of SMEs use coworking office spaces
The coworking space business model has proven to be very popular, with SMEs and startup teams as target users. SMEs are the largest users of coworking spaces at the moment. With 27.12 percent, startup teams are second, followed by freelancers with 16.61 percent. Surprisingly, automated remote workers make up just 2.82 percent of the workforce.
Members of coworking spaces are on average 36 years old
According to coworking figures, participants in smaller cities are older (38.5 years) than those in larger cities, who are 34.5 years old on average. Small companies with workers that use shared office space are the oldest (on average 40 years old), followed by freelancers in their late thirties (38 on average). Meanwhile, nearly half of the colleagues (43%) are under the age of 30.
Female membership is increasing
Women want flexibility in their professional lives, and shared workspace companies can provide it. Coworking spaces provide a remade workplace for people all over the world, with 40% of members being women and female memberships continuing to grow. Furthermore, according to coworking demographics, almost half of freelancers, or 46%, are women.
Women cancel their memberships due to child care
When a woman becomes a mother, she is forced to put her career on hold, regardless of how versatile her workplace is. This is especially true for people in their 30s and 50s. 50 percent of female colleagues aged 35 to 49 and 70% of those aged 50 and up have one or more children. Although the majority of them seem to be able to maintain a healthy balance between their personal and professional lives following the birth of their first child.
Flexible workspaces cater to people of all types
The true advantage of coworking spaces is that they are ideal for people of all kinds of personalities, including introverts. According to a global coworking survey, 30 percent of respondents identified as extroverts, while 22 percent identified as introverts. The remaining 48% said they were a combination of the two.
The many advantages of coworking appeal to a wide range of working professionals. Some people, such as consultants and freelancers, are used to working outside of the conventional office setting. Others, such as entrepreneurs and new remote employees, see coworking as a positive bridge between their previous work experience and this new way of working.
Here are some examples of professionals who are currently coworking:
When away from the workplace and home, business travelers often use coworking spaces to complete their tasks. It’s the ideal combination of skilled setting and easily accessible lodging for them.
coworking spaces are not just for small businesses and freelancers – many of the biggest companies in the world, now utilise coworking spaces. More and more businesses are discovering the benefits of coworking spaces.
Freelancers do not have a home base that is different from their primary residence. Coworking allows people to break up the monotony of working from home while also allowing them to socialize and broaden their professional networks.
Employees who only come into the office once or twice a week can find it difficult to make the move. They get the familiarity of a workplace with the unstructured flexibility of working where and when they like with coworking.
Commercial real estate costs may be prohibitively expensive for small, growing businesses, especially service-based businesses. They use coworking to keep costs down by not dispersing their workers too far from a central location.
Office rent and building rentals are not necessarily in the budget for startups. They will also need physical space to collaborate. Although offering much-needed physical space to schedule and execute, coworking keeps costs low and under control.
Consultants work on projects that aren’t part of the day-to-day activities of a company. Consultants need a room that is conducive to their technical and versatile demands while they are on the run, visiting customers, or working on a proposal. That room is coworking.
Your business is highly important to you, and you would never want any mishap to befall it. Focusing only on business operations won’t be enough. Other factors also may hurt your business.
Making price the Only Factor to Consider
When looking for a coworking room, it’s all too tempting to search for the cheapest alternative and take it. However, this is a blunder.
What is the explanation for this?
Since there are so many other factors to consider, including location, building quality, furnishings, the types of facilities offered, the level of service you’ll get, and even the types of members that use the space.
You will have to pay a little more for a better room, but it will be well worth it in the long run.
Failing to Ask About Your Colleagues
One of the most important factors that can influence your day-to-day experience in a coworking space is the people you’ll be sharing it with.
One of the most important advantages of working in a coworking space is the ability to join a large and welcoming professional community. Information sharing, networking, and even socializing are all possible.
So, before you sign up for a coworking room, you have the right to do the following
- Inquire about the number of people who use the room.
- Inquire about the types of businesses that use the facility.
- Investigate consumer feedback on social media or on Google.
- Look at Member Profiles to get a sense of who works at the place.
- Before you sign on the dotted line, make sure you’ll appreciate and benefit from your workplace.
Choosing Private Space Over Public Space
There’s no denying the importance of personal space. But, just as it’s important to know who the participants of a room are, it’s also vital that there’s plenty of common space where you can communicate with them.
Cafeterias, kitchens, and break rooms are examples of this. These areas can help make your day more enjoyable–and also make it easier to network and create connections–whether you need to simply step away from your desk for a minute, blow off some steam, unwind, or socialize.
Compromising in convenience
The comfort factor is one of the reasons many people prefer working in a flexible office room. In any way, it can make your life easier.
It’s important to know what your personal convenience factor is, whether that means being close to home, being close to major freeways, or being close to restaurants, stores, and fitness centers.
Then, make sure that the coworking space you choose provides the convenience you need.
Joining a Non-Flexible Workplace
Unexpected changes, whether for the better or for the worse, are a fact of life in industry.
For example, your company could expand and you’ll need to employ more employees. Alternatively, the company could experience a temporary slowdown, necessitating a reduction in office space.
Whatever the case may be, it’s important to find a coworking space that is able to work with you on a flexible basis.
The best coworking spaces have a real stake in their members’ success and are able to help them out with flexible terms.
Be sure you read the terms and conditions carefully before signing any contracts, and don’t be afraid to ask questions about termination practices and the space’s ability to be flexible.
Neglecting the Value of Excellent Amenities and Benefits
Working at a coworking space allows you access to amazing facilities that you wouldn’t get if you worked from home or from a coffee shop.
For example, you can have we have a fully equipped kitchen, meeting and conference rooms with cutting-edge AV equipment, and flex space for things like lunch and learns, workshops, and speaking engagements.
Ignoring security aspects
A sense of security is extremely important in a coworking room. The word can take on a variety of meanings, particularly in these trying times.
This can include using air purification and filtration devices, as well as UV lighting for disinfection, to ensure the health and safety of the environment and individual members.
Surveillance cameras and protected door access are examples of security measures used in the house. It also involves digital protection in terms of internal correspondence and securing members’ personal details, such as payment information.
Don’t hurry while looking for a coworking room. Please take your time. Do your homework.
As more people choose to work from home, the coworking scene will become much more diverse. Gig workers and niche professionals, including the professionals mentioned above, are already embracing coworking. Coworking is appealing to almost everyone due to the inherent alignment of rewards and workforce patterns.
Anyone can try coworking because of its widespread usability. A well-run coworking space can attract a diverse group of frequent visitors who bring in more members as a result of their interactions. Coworking is becoming a natural attraction as more people prefer to work outside of a typical workplace. Anyone who can work from home would appreciate the benefits of a coworking room.
Freelancers will soon account for half of all wage earners in the United States. How do you house half of a country’s workforce? Of course, there’s coworking. The best part is that it’s a win-win situation for everybody. Operators, employers, and self-employed individuals all profit from this movement.
Meanwhile, operators are becoming more imaginative. They now have co-living spaces as well as childcare facilities, all in an effort to retain new members and fulfill their needs. Coworking is making history and shaping the world as we know it, from professional setups to nice places to meet your clients.
The coworking industry was founded on the principles of flexibility, affordability, and efficiency. Travelers, freelancers, and businesses with big ambitions and even bigger ideas are starting to see coworking spaces as their potential workplaces, with shared workspaces offering the fix they need to live a healthier and more balanced life. Existing coworking statistics show that shared working spaces are reimagining the workplace as a concept and causing their own revolution.
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