5 Reasons why coworking can benefit startups
We teamed up with coworking space The Working Capitol to look at the benefits of coworking today
Gone are the days when coworking was a niche concept, primarily associated with freelancers and shared desks. According to a 2017 Cushman & Wakefield report, demand for coworking spaces is now growing 10 to 15% per year across the Asia-Pacific region.
This significant rise in popularity is partly fuelled by the growing number of startups that are joining coworking spaces. If you’re still uncertain about the benefits of coworking, here are 5 reasons why coworking spaces can help startups to succeed.
Startups often struggle with finding a work environment that gives them the flexibility to scale their team. If you are a startup founder looking to increase your headcount within the next few months, signing up for a two-year office lease is the last thing you want to do. This explains why an increasing number of startups are moving into coworking spaces.
By offering membership options that range from dedicated desks to private offices, coworking spaces can provide the flexibility that so many startups need, especially in the early stages of growth. For instance, a founder with only two or three employees might initially consider hotdesking, before switching to a small office as her team expands.
Another reason that startups are flocking to coworking spaces is because they offer an alternative to the day-to-day inconvenience of managing an office space. What if the time and money that you spent on office managers or general maintenance could instead be channelled towards growing your business? By handling everything from electricity bills to facility management, coworking spaces give startups the opportunity to manage their limited resources more efficiently, so that they can devote all their attention to business matters.
Since networking is an essential way for startups to build a solid customer base, it makes sense to find a workspace that fosters organic business connections. Coworking spaces are inherently designed to encourage networking and collaboration. For instance, it’s very easy for members to strike up a conversation in the pantry over a cup of coffee, or during a professional development workshop.
Coworking spaces also organise regular networking events, which provide a good platform for startups to build their business contacts and potentially gain new customers. This increased visibility can only be an asset for startups – especially if they are looking to generate word-of-mouth for their products or services.
Sourcing freelance talent
For resource-strapped startups that rely on outsourcing, it can often be challenging to build a reliable roster of freelancers and consultants. Since coworking spaces usually attract freelancers across a variety of industries, they can serve as an ideal environment for startups to source talent.
Whether you need help with content creation, graphic design or HR, it’s very likely that you can find a fellow coworking member who can do the job. And if your startup can’t afford to pay for these services, you can always arrange for a skill exchange that benefits both parties.
One of the main advantages of joining a coworking space is that it gives you access to a network of experienced entrepreneurs. If you are a startup founder in the early stages of launching your business, it’s incredibly valuable to connect with successful entrepreneurs, so you can tap into their expertise. Some coworking spaces even offer mentorship programmes, and organise regular workshops or talks with industry leaders.
Startups that opt for coworking spaces often find that they provide a unique support system that helps them to scale their business. With all the benefits provided by flexible working, it’s no wonder that more and startups are breaking away from the traditional office environment.
About the contributor
The Working Capitol is a coworking space, lifestyle provider, and food and beverage destination. Named by Forbes as one of the best coworking spaces in Asia, it offers a wide range of flexible workspaces that foster collaboration and creativity.