Why Startup Companies and Small IT Companies prefer Coworking Spaces rather than Independent Offices

Why Startup Companies and Small IT Companies prefer Coworking Spaces rather than Independent Offices

In the last decade or so, entrepreneurs, startups and small IT companies have increasingly started to rely on coworking spaces.

We take an in-depth look into why coworking spaces are preferred by majority of startups and small IT companies today.

Why Startups and Small IT Companies prefer Coworking Spaces

Lower Overheads

Not surprisingly, one of the most powerful benefits that both startups and small IT companies enjoy in coworking spaces are the cost-cutting benefits.

Coworking spaces are generally much cheaper to rent than a full scale, fully equipped and independent office.  They have all the facilities to handle daily business operations, allowing businesses to pretty much “have their cake and eat it too”.

More Productive Atmosphere

Another major reason so as to why new companies and small IT startups choose a coworking space is having the ability to work in an environment that’s more productive.

Many startups and small IT firms have reported a major increase in productivity while working out of a shared space. And there are several contributing factors – such as working and networking with other professionals and entrepreneurs, which offers a productive environment full of creativity, motivation and inspiration.

Scalable Workplace

Coworking spaces remain popular among startups and small business owners because they offer a highly scalable workplace. So what does this really for a business starting out with limited resources?

Coworking spaces already come with fully equipped setups, facilities and amenities, allowing business owners to easily scale their businesses and accommodate more employees, even in the early stages.

Therefore, a coworking space is considered a ‘safe’ option, because you can scale as you go – rather than being stuck with a large office that may be under-utilized or a really small one that isn’t fully equipped to handle day-to-day operations.

More Business Opportunities  

While working in a coworking space, small business owners have plenty of opportunities to work with like-minded professionals – every meeting and interaction is a chance to market your services and even find potential investors, stakeholders, and long-term customers. 

Furthermore, information exchanges and intellectual brainstorming sessions can save a lot of time and money, which may otherwise be spent on hiring professional consultants to help you overcome startup hurdles or small-business IT needs.

Common Infrastructure and Cost Sharing

Coworking spaces often come bundled with common support staff including reception, canteen, housekeeping and other infrastructure facilities, which may be difficult for a startup or small IT company to setup in a similar working space of their own.

Working in a shared space can also help to divide costs – in most cases, you don’t need to pay for each service separately, because the overall cost of infrastructure and common facilities are all shared between each occupant.

Multiple Office Spaces

Once your business starts expanding, you will have employees, partners and clients in different cities – a full-fledged office in each location may not be feasible.

Many coworking space companies offer multiple offices throughout the country to facilitate this demand.

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