What was once seen as a freelancer’s domain has now become the preferred choice of entrepreneurs. Shared office space can be defined as the practice of two or more businesses sharing a commercially leased office. It is a space where employees belonging to different organizations work together. Although the concept of shared office space turned up only a few years ago, it has become so integrated into the work industry that it is impossible to imagine the business without it.
Companies are increasingly adopting the emerging trend of shared office spaces all over the world. Some of the factors like the gig economy, widespread start-up culture and invention of remote work apps like Slack have led to a rise in their demand and has compelled companies to look for shared office space for rent. But does that mean shared office spaces are right for your business? Here are some pros and cons of shared office spaces that every company should look out for before setting up their business.
Pros
· Cost-efficient: If you are a freelancer or an entrepreneur looking for a dedicated desk or private office, then shared office spaces are what you should consider. Shared office spaces allow you to pay for only the space you need and help you to scale at your own pace without the pressure of traditional long-term leases.
· Enhanced flexibility: The most obvious benefit of shared office space is the flexibility it offers in various areas:
1. There are no yearlong lease requirements associated with shared office spaces. The rent needs to be paid only monthly.
2. Shared office space does not involve any upfront fees or deposits and gives founders a valuable opportunity to keep their costs down.
3. They give you the freedom to elevate or scale down your team size as per your needs.
· Opportunities to network with like-minded professionals: Being a freelancer or entrepreneur can be very difficult when you do not have a sense of community. Shared office spaces give you the freedom to work all by yourself in the presence of employees from various organizations. Shared office spaces offer you the opportunity to introduce yourself to like-minded individuals that can serve as resources to help expand your business.
· Access to key players and partnerships: Working in a shared office space allows an employee to gain access to key industry players to help your business grow. Carrying out operations amidst start-ups makes you more likely to attract the attention of angel investors.
· Unparalleled amenities and services: Shared office spaces offer exceptional amenities and services like:
1. High-speed WIFI
2. Comfortable furniture
4. Conference halls
5. Onsite assistance and support
· Diversity: In contrast to traditional offices, coworking spaces consist of employees from a wide range of companies. It helps them gather insights and collaborate with similar professionals.
Cons
· Distractions: Shared office space allows employees from different organizations to work together. The employees have to face many distractions, and this leads to a decline in their productivity. In a room where everyone has a different job, one might find himself/herself distracted by others.
· Hours of operation: Setting up a business and running it takes a lot of time and hard work. A team working for a start-up may work for long hours. However, most of the shared office spaces shut down at 8. Hence, employees working beyond regular business hours might face problems working in a shared office space.
· Reduced privacy: Shared office spaces are noisy and can hamper an employee’s concentration. Moreover, there are times when an employee needs his/her own space to get the work done. These facilities are not available in shared office spaces, and hence, they result in a lack of privacy. In addition to this, there are several projects which require security and shared office space is not the place to discuss them.
· Lack of customization: One of the essential benefits of having your own privately leased office is branding it. The walls, furniture as well as lighting can be customized as per your needs. However, in the case of shared office spaces, customization is not possible.
The concept of shared office spaces is gaining momentum. India also sees a rise in shared office spaces in Bangalore with an upswing in their demand. However, these offices can have both positive and negative impacts on your employees and work environment. Irrespective of their growing popularity, they might not be the best fit for your business. Hence, it is imperative to keep the pros and cons in mind while considering a shared office space to set up your business.
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