Coworking and shared spaces provide tons of opportunities to established and startup businesses. According to a TeamStage study, Coworking is fast gaining popularity worldwide.
There are approximately 6,293 coworking spaces in the US compared to the 4,000 five years ago. The same study projects that Shared working spaces will grow at an annual rate of 13% globally in 2022.
The best office space has all the necessary resources, is spacious, and, more importantly, affordable. It should also promote collaboration, networking, and individual and team growth.
Choosing between a coworking space and a shared space can be daunting, especially when you don’t know what to look for. Don’t sweat it! We’ve put together this guide to help you make an informed decision and influence your bottom line.
So, let’s get to it!
Coworking and shared spaces operate on the same concept, so confusing the two is highly possible. Below, we dive deeper into how they compare!
Coworking space is an office environment primarily used by self-employed individuals and small enterprises. Startups, small companies, freelancers, and digital nomads often flood these spaces.
They’re the best shot for people working from home but occasionally looking to change the work environment.
Shared office space involves subletting an unused office floor or space to another company and collecting rent from that space. More established businesses primarily use this office space model.
A quick rule is to opt for a coworking space if you’re a startup, small company, freelancer, or digital nomad. This office space type is more suitable for the above business models since they require flexibility.
On the other hand, you should consider a shared space if you run an established business and have enough cash flow for a long-term commitment.
While coworking spaces are more suitable for small and startup businesses, it doesn’t mean you can’t use them if you have an established company. You can always choose between either office space option, depending on your business needs.
Below are more factors to consider when choosing the right office space!
A coworking space is a communal space shared by two or more businesses. Its primary shortcoming is the lack of privacy, which may be a deal-breaker for some people. So, if you’re concerned about your privacy, it would be best to consider the shared space. In a shared office space, users have their space well defined by walls and doors.
Shared office space is more expensive than coworking space, considering the privacy benefits. You also have a dedicated space to use every day. This is unlike a coworking space set up where you can work from any desk within the communal space.
A shared office space involves incurring overhead costs like cleaning and utilities. On the contrary, you don’t incur overhead costs in a coworking space. You only need to show up and use the space stress-free after paying your rent.
If high rent and overhead costs aren’t a problem, you should go with the shared office space option. Alternatively, the coworking space will serve you right if you’re a small business on a budget.
Coworking spaces have more flexible terms or services than shared spaces. For example, Coworking spaces lease to users for between three and six months. On the other hand, shared spaces lease office space to users for up to 12 months.
So, if you’re looking for less serious terms of service with minimal commitment, a coworking space will suit you. On the other hand, go with a shared space option if you prefer formal, more serious commitments.
The choice of office space directly influences a business’s bottom line, which is why you don’t want to get this wrong. Depending on your type of business, you can opt for a coworking space or a shared space.
But finding the best spaces can also be a hassle. At Headquarters, we have the perfect office spaces for your growing business. So, be sure to contact us to schedule a tour!