Coworking Spaces: Worth the Hype?

Startups and small businesses are on the rise. Last year saw the biggest growth of startups in 4 years. That has significantly reduced the percentage of unemployed job seekers in the country and created new jobs to boot. In the undeniable era of the startup and small business, coworking spaces are trending, and it doesn’t look like that will change anytime soon.

What is coworking?

Coworking spaces allow solopreneurs or companies to rent desks or offices on a monthly basis as a social alternative to working from home, and a low-cost alternative to renting traditional office spaces. For growing companies, a small space is often exactly what they need.

While coworking spaces used to be a thing for freelancers and startups, today, Fortune 500 tech companies are turning to coworking spaces as a way to save money and stay close to where innovation is happening. Corporate giants are also starting to explore the spaces. A study found that freelancers have become the minority at coworking locations, while about 55% own a company or work for a company. Eight percent of them work for companies with more than 100 employees.

They have a culture of their own, and usually offer a tech-savvy, laid-back space with free coffee and drinks, couches, ping pong, and a variety of networking and workshop opportunities for savvy members. That’s probably why 57% of coworkers report being very satisfied and 34% report being satisfied with their experiences there. 

The benefits and downsides coworking spaces

Benefits include: 

• A plethora of like-minded people

While everyone who frequents the space is doing their own thing (professionally speaking), they are all driven by the same force—to succeed in their ventures and build their dreams.

• Daily networking

Communal workspaces bring people together from every walk and business to create the ultimate networking event—everyday.

• Greater income

Call it motivation. Call it whatever you want. But at least 42% of people reported earning more money while working in a co-working space than they did before working there.

• Cure for the startup blues

Launching a new company is exciting—but it can also be really lonely bootstrapping your way to the top. Co-working spaces offer an affordable way to remain engaged in society and with talent, as well as prospective clients, vendors, and customers. A Deskmag study showed that people who worked in co-working spaces were more motivated, more social, and more likely to have a support team.

Downsides include: 

• Noise and lost productivity

With the hustle and bustle of people in and out, socializing, networking, and ping ponging, coworking spaces can be a bit chaotic at times. If you thrive on activity all around, you might love it. If you work better in a quite, solitary space, it might not be for you.

• High turnover and change

No, not employee turnover. But people can tend to come and go at coworking spaces, or just pop in every now and again. So don’t get too attached to people, and be ready for change.

All things considered, if you’re thinking about joining a company that is headquartered in a coworking space, it could be a great place to work if you thrive on the laid-back, social side of work. But be prepared to set schedules and personal boundaries to avoid waiting time and ensure that you reach your professional goals.