What Is a Coworking Space? Types, Benefits, and How It Works
Workers’ attitudes and relationships towards work have changed drastically in recent years. As a result, people’s needs have also changed drastically, preferring more flexibility and a balance between work and personal life.
The rise of remote work, freelancing, and startups all follow the change in how people see work. With traditional offices becoming less popular, more agile spaces like coworking are now taking place.
This article will explore the following topics:
- What is a Coworking Space?
- What are the Different Types of Coworking Spaces?
- What are the Advantages of Coworking Spaces?
- Who Are the Main Users of Coworking Spaces?
- How Do Coworking Spaces Work?
What is a Coworking Space?
In a nutshell, a coworking space is a shared workplace where individuals and companies work. Users don’t have a permanent space; instead, they pay for access rather than leasing an entire office.
A coworking office space combines private offices, open desks, and communal areas. These spaces are often characterized by shared facilities and tools, from desks, Wi-Fi, and meeting rooms
While they are essentially rented workspaces, they serve many purposes. For workers, they serve as a convenient way to meet and collaborate. Meanwhile, for companies and startups, they are a great way to reduce costs.
How Do Coworking Spaces Work?
Coworking has seen a significant rise in popularity in recent years. The concept has transformed how individuals and companies work independently and/or collaboratively.
Freelancers might use individual workstations in a coworking space in a typical work week. In the same space, remote teams from different companies might also use workstations, pods, or even entire meeting rooms.
However, while coworking spaces might seem simple, there’s a little more to them. Here’s how a coworking space typically functions:
1. Membership Models
Membership models allow coworking spaces to offer flexible access to workstations, desks, and more to individual workers. There are many membership models that coworking spaces can offer users, such as:
- Day Passes – Day passes are a fantastic way for users to access the coworking space’s full amenities without committing to a long-term membership.
- Monthly Memberships – Monthly passes are a more long-term commitment for individuals and teams. This plan works best for those who need a coworking office space and its amenities without the actual rent.
- Dedicated Desks – Dedicated desks are a membership plan that guarantees the same desk daily. This plan is best for remote workers and freelancers who want more personal and storage space.
- Private Offices – Many coworking space businesses offer private offices at various prices. This plan works best for team members who need the privacy of a whole office while still being part of a community.
2. Access
Varied access is another part of how coworking spaces earn revenue for businesses. Customers or members can access the facilities 24/7 or during working hours with keycards or apps.
This varied access is tied to users’ membership plans. Businesses can even forgo keycards entirely by using apps where users scan QR codes rather than swipe with cards.
3. Booking Systems
Coworking spaces also use dedicated booking systems. These booking systems can be separate from the user management software that handles users’ data.
In a nutshell, these booking systems handle reservations for spaces like offices, conference halls, etc. For certain businesses, such as hotels, reservations are their primary means for office space rentals.
4. Community and Support
Because a coworking space works on a membership basis, it’s not enough to simply attract potential members. They also need to establish a community by taking time to learn their needs.
These needs can range from creating connections to collaborating and supporting each other. To meet members’ needs, these spaces can also serve as venues for networking events and workshops.
5. Tech and Tools Provided
A modern workplace is nothing without its tech infrastructure, and a coworking office space is no exception.
Tech infrastructure doesn’t just include the essentials, such as high-speed Wi-Fi connections, additional screens, printers, etc. It also includes infrastructure like phone booths and audio-visual software for coworking spaces.
What are the Different Types of Coworking Spaces?
A good coworking space manage different types of coworking spaces to cater to various needs. Here are the various types of spaces that startups, freelancers, and remote workers all use:
These open spaces serve as common desk areas for freelancers and remote workers. They are ideal for hot desking memberships where users can take any seat and start working immediately.
2. Private Offices in Coworking Hubs
Unlike shared spaces, enclosed offices are best for teams within a shared building. While they exist within the overall coworking space, they can be a separate section.
3. Industry-Specific Spaces
Coworking spaces can be industry-specific. They aren’t necessarily set only for tech hubs or startups; they can be tailored to niches. These can range from artist studios to legal coworking.
4. Corporate Spaces
Satellite teams may need a dedicated building but not a sizable allotted budget. Rather than renting office space, large companies may opt for coworking spaces with sections or floors for their teams.
5. Virtual Spaces
A coworking space doesn’t have to be physical. It can also be an online community with access to digital tools. In a post-COVID environment, platforms with dedicated message rooms, boards, and servers are the norm.
What are the Advantages of Coworking Spaces?
A coworking space offers the benefits of an office space without the huge upfront cost. This space is a viable alternative to renting a conference room, office space or building for startups and small companies.
That said, cost-efficiency isn’t a coworking space’s only benefit. Here are the main benefits of said spaces
1. Networking and Collaboration Opportunities
A coworking space is the perfect ground for individuals and colleagues from different teams, departments, or even companies to connect.
Unlike networking events, individual members in a coworking space are more likely to interact with each other regularly. Team members are also more likely to form relationships and create new opportunities or projects to collaborate on.
2. Flexible Terms and Scalability
A coworking space membership plan can be scaled for an individual, a team, or an entire department. Depending on their needs, these plans can go from monthly to annual.
What makes these membership plans appealing is also their scalability. Coworking spaces can adjust rates and cover access to include more people as a team or department grows.
3. Access to Amenities and Support Services
Another benefit these spaces offer is immediate access to amenities and support services.
Amenities include everything from Wi-Fi to servers and equipment like printers and scanners. Meanwhile, support services can include mentorship programs and pitch nights where teams connect with investors.
It’s worth noting that companies can invest in their own offices with dedicated amenities and support. However, these can present huge short and long-term costs.
4. Boosted Productivity and Reduced Isolation
Coworking spaces are where individuals and teams come to work. In terms of boosting productivity, individuals benefit from a dedicated workspace where they can become more productive.
These spaces also reduce isolation by putting people closer to one another. They help remote workers socialize when they would otherwise be working alone, allowing them to form a sense of community.
5. Professional Image for Small Teams/Freelancers
Finally, a coworking space is a professional environment that adds to the professional image of remote workers and freelancers.
The benefits previously mentioned help tie remote teams, satellite offices, and freelancers together. It gives them a professional image within a professional setting, which unlocks more opportunities to land clients or network.
Who Are the Main Users of a Coworking Space?
Coworking spaces aren’t for everyone but are the best environments for many user groups to thrive in. Here are the main users of coworking spaces:
1. Freelancers and Solo-preneurs
Freelancers and “solopreneurs” work independently, with some of their crucial needs being structure and community.
2. Startups
Startups often contend with costs. A coworking space is an optimal environment that gives them much-needed agility while cutting overhead costs.
3. Remote Corporate Workers
Corporate workers often seek a coworking space’s professional environment for more than the image. It also allows them to network and form connections with prospective clients.
4. Digital Nomads
While digital nomads work from place to place, they can appreciate a coworking space’s amenities and high-speed internet.
5. Small Businesses
Small businesses often don’t have the resources and the infrastructure to have their own dedicated offices. Coworking office spaces offer the space and infrastructure at a fraction of the cost.
The Bottom Line
Modern work culture places a significant emphasis on flexibility. With workplaces’ demands constantly changing, workers also shift their priorities towards balancing their professional and personal lives.
Coworking spaces reflect this shift away from traditional offices and the nine-to-five schedule. Not only do they offer flexibility at reasonable price ranges, but they offer the valuable opportunity to build communities.
There’s no better time to experience the full benefits of coworking spaces than today. If you’re a freelancer, a remote worker, or a startup company, consider booking a trial day to experience the benefits firsthand!
