How Does Co-Working Spaces Cuts Back on Your Business Expenses and Inspires Co-Creativity?
The major cost involved in operating your business is the rent of your office for employee use. If you need to rent more than one floor or the whole building depending on the size of your business, the costs keep adding up. These days, the priority of businesses is reducing costs as much as possible, and this is where co-working spaces come into play. These are open spaces accommodating one or more businesses, thus cutting back on your monthly rent significantly.
Co-working spaces are designed to emphasize collaboration and cost reduction, thus doing away with the requirement of private office spaces. Businesses in many countries worldwide including India are embracing this concept for their benefit. Here are is how co-working spaces help in cutting back on your business expenses:
1. Share out your budget across several locations
When you have a plan to grow your business into foreign markets, the idea of co-working spaces becomes more practical. When you have more office area available without creating a dent in your wallet, you can expand your company into other cities in India and even countries. It is a feasible option for businesses whose key focus is cost-cutting, especially when it comes to reducing your monthly office rent.
You will need to factor in the expenses related to hiring or delegating employees to operate your business as well as work in the untouched locations of the country. When you have the means and resources to expand your one-location business into multiple ones, co-working spaces are your best bet.
2. Find a posh location for reduced rent
With the popularity of co-working spaces increasing, the spike in the number of organizations providing office spaces to numerous businesses is probable. It signifies that you have multiple options and therefore, choose the office space that suits your company size, employee strength, and of course the nature of your business.
Just as many corporate organizations, you possibly have a downtown location at the back of your mind for that perfect office space. Then, renting an office space in a plush location of the city, especially in the business centre, can rip you off financially. Fret not. Fortunately, the concept of co-working spaces did flourish into an up-to-the-minute substitute for private companies. Possibly, you will find an office space in a posh location of a city but without shelling out skyrocketing office rent. The monthly rate would be reasonable because you have multiple options to choose from, these days.
3. No maintenance costs involved
When you have a private office, the maintenance responsibilities concerning the use of the pantry and restrooms are all yours. Now, these expenses add up to your monthly rent. Cleaning and upkeep not only take your valuable time but also affect your monthly budget by as high as 15,000 INR per head. On the contrary, when your employees work in a co-working space, you can use the savings in other areas of your business.
When the air conditioning system snaps, the toilet is clogged, or the electrical system ceases to function in a co-working space, you need not worry about the maintenance or repair costs. The company providing the co-working space manages these issues, signifying that you save loads of money when it comes to maintenance.
4. Simplify your business expenditures
When you rent a private office, it accounts for more than the building size in sq ft. You will also need to pay for furnishings, insurance, Wi-Fi, and utilities. When it comes to co-working spaces, all you need to pay is a single membership fee for using the space, implying that you do not need to foot bills for internet and electricity, to begin with.
Such an arrangement could also consider your specific business requirements and amend the utility bills because of that. For instance, a few companies offering co-working spaces offer flexible payment plans depending on how your business uses the space as well as the obligation terms you agree to with the office space provider.
5. Occupy your office space quickly
Just as people looking for a new home trying to put together the deposit money, it may take some considerable time before you can arrange for the cash to rent a private office. Again, renting a private space will cost you thousands of rupees every month, while co-working spaces will help you share the expenses with other companies, agencies, etc. A co-working space is the best option for start-ups and growing organizations because you will pay approximately 40 percent, less on average compared to a private office space.
6. Inspire co-creativity and save communication costs
When you share an office space with other start-ups, small businesses, professionals from other sectors, and even freelancers, your team has exposure to many influences that makes a difference when you have a problem to solve. It is possible to think of a unique idea as a team and enhance your output in the long-term.
Co-working spaces will give you opportunities galore, especially untouched possibilities when you collaborate with other firms. You can develop valuable connections when opting for a shared workspace. It is an added benefit apart from cost savings. You are doing away with the requirement for expensive communication and travel.
7. No need to pay agent fees
When looking for private office space, the best one with all furniture and fittings, you will need to pay an agent for a fair deal. It could a percentage or ratio of the rent you pay. Anyway, it is adding up to your monthly rent for your private office space. This is not the case with co-working spaces because multiple companies provide office spaces and most essentially, you do not need to pay any finder fees or agent charges.
Conclusion With the advent of more co-working spaces and emerging so fast, it is time that you opt for it to cut down on your monthly office rent and maintenance fees. It is beneficial for the future of your business.