So you’ve an idea and you’ve gathered a team of like-minded professionals to work towards achieving that goal, now the next thing you need is an infrastructure to support all your needs. And you won’t believe it, this is the major challenge you can face not only in your initial days as an entrepreneur but also in the later stages of expansion.
- Affordable: Co-working spaces come with a wide variety of ranges. Depending upon your needs and budget, you can select the ideal setting for yourself.
- Flexibility: With no relocation cost and flexible lease options it’s a win-win situation for you. Not only small companies but industry giants like Amazon and Google are switching some of their offices from traditional leased buildings to flexible workspace.
- Ready to move: With already a corporate infrastructure in place, co-working spaces are generally plugged n play. There’s no need for setting it up.
- No miscellaneous cost: One of the reasons why coworking spaces outshine traditional office spaces is because of economic benefit. Every facility in co-working spaces is in-built in the fee. And many times you get the best in class facilities at very discounted rates. How about sipping your morning coffee from a CCD vending machine? Well, you can’t get such a facility even in some big companies but you get it at BHIVE.
- Built-in management: One of the most economical aspects of coworking space is that you don’t need to hire the office management and management staff. You get all this included in your lease and that too very cheap.
- Collaboration and Networking opportunities: Coworking presents to you the opportunity to join forces with people with complementary skills and/or people who require your skills. You meet many individuals who you may not have met otherwise.
- Battle the toxic workplace: Many offices have years of built-up negative energy and it continues to grow and spread with every new employee coming into the organization. The reason even many big companies often turn to flex office spaces is to breathe new life into their culture. Taking your employees from the negative environment, you can nurture more positive employee interactions and personal growth.
- Get inspiration (ever-changing scenery): Not only are coworking spaces clean and minimalist, but they’re also bright and colorful with live plants and vibrant interiors. So if you’re an established business operating from a traditional workspace and your team is struggling with innovation or creativity, maybe you need to switch to a coworking space.
- Privacy issues: The constant noises from outside
- Lack of personal branding: Personal Branding is often an issue when operating from a Coworking location as they are normally filled with a range of clientele, from startups to multinationals. However, it’s also very much possible for one organization to occupy the whole premises. This is known as an “enterprise tenant” arrangement that allows your company to reap the many benefits of coworking without sacrificing their autonomy and unique company brand and culture.
- Unavailability of shared areas: Imagine thinking to conduct a meeting with your team and you find out that the meeting room is already occupied. Well, this is often the case with coworking spaces which gets quite frustrating. However, with technological advancement, many coworking spaces now give you the facility to book the meeting room or the conference room in advance through their app or website. This saves you the hassle of waiting for your turn.
Traditional Working Space
- Control: This is by far the most important advantage of having a traditional workspace. Unlike co-working spaces, you don’t have to wait for your turn to access the meeting room or conference room, or activity area.
- Personal branding: Personal Branding gets easy when you have a dedicated workplace. After all, the entire office is yours and you can design it in accordance with your unique needs and values of your company.
- Professional client-facing environment: This is surely not the problem that you’d ever face with a leased or owned office space. It helps maintain confidentiality and privacy for your clients.
- Individual productivity: Traditional office spaces encourage individual work and productivity rather than the collaboration and networking that happens in coworking spaces.
- Need to set-up: It gets very
- Long-term commitment: When it comes to conventional lease, there’s little to no flexibility and it also often comes with high upfront cost. With the lease varies from a year to three, it often comes in the way of your expansion plans and the way outs are often economically prohibitive and just not practical.
- Many miscellaneous costs: So you’ve leased out an office space for your company but that’s not the end of the road. From setting up to appoint office helps, security, internet connectivity, and utilities- the list is endless and so are the expenses. Furthermore, any added facility or services that you think of implementing would cost you a hefty sum of money. This is mainly because that service is exclusively for yourself. So a TT table or foosball table or a CCD coffee machine would cut a huge margin from your pocket.
- Dedicated office management: Every office needs office management to keep it up and running efficiently. While the cost and the resources are shared in a coworking space, the traditional office spaces don’t have this privilege. Every added resource would cost you a big time.
- No networking opportunities: While the coworking space introduces and encourages you for the networking opportunities, life in a traditional workplace is often limited to your cubicle or the persons sitting next to you. This makes you susceptible to individuality over networking.
- Monotony: Many employees find their office space very boring and often with the budget or management constraints, it stays like that. This kills the productivity and creativity of many employees.
According to CBRE India, the leasing of coworking spaces will reach 10 million sq. ft. by 2020. This growing prominence is mainly due to “rising office rents and lack of quality ready-to-move-in supplies.” Now that you have all the pros and cons for both, you can decide which one suits you best.