Many businesses use coworking spaces as an alternative to the traditional office. Not only are employees not confined to cubicles, but coworking and virtual offices offer flexible plans in a modern setting. Professionals from around the world can work remotely in a coworking space while networking with others in the space. Let’s dive into the specifics and learn how coworking spaces can help businesses in the long-run!

What is a coworking space?

A coworking space, otherwise known as a virtual office, is an office where remote professionals or small-to-medium sized businesses come to independently work on projects. Coworking spaces offer the same, if not more, amenities compared to traditional offices. The main differentiator is the flexibility these spaces provide workers and businesses since they don’t need to sign any long-term leases or contracts. Most coworking spaces will have the basics like WiFi, printers, conference and meeting rooms, modern furniture and complimentary coffee and snacks.

What types of coworking spaces are available?

Coworking spaces come in many different forms. When researching for locations and amenities, make sure to consider the following:

    • Community
    • Workspace environment
    • Surrounding businesses ( restaurants, cafes and more)
    • Transit hub (subways and bus stops)

The main types of coworking spaces are open, private, industry-specific and venture/incubator workspaces. Depending on your business or work, you may choose one type over another as they can offer different benefits. The connections and relationships you can form within a coworking space can lead to client referrals, new business opportunities or lead to organic growth for your company. Either way, you’re saving money from a business perspective and potentially gaining new prospects in the meantime.

Reduce costs through coworking spaces

If you have a relatively small team and have about 15 members, coworking spaces can help you save up to $2,700 per month – and for small businesses, that’s a lot of extra money. In general, coworking and virtual offices can be up to 60-70% more cost-effective than a traditional office model for businesses with up to 30 employees.

So, how does the cost breakdown work?

For starters, coworking spaces don’t require expensive leases. Down payments and leases can put a dent in any budget. With the help of a coworking space, you can set up shop without the risky overhead.

Additionally, you won’t have to worry about furnishing the office with any desks, chairs or filing cabinets. Instead of charging these costs to the company credit card, you can get settled right away without the added stress. Should any equipment or furniture need any maintenance, you won’t have to worry about that. Your only concern working at a coworking space is paying the monthly fee – which also includes utilities. Here is a list of extras you won’t need to pay for:

  • Janitorial staff
  • Insurance
  • Office manager
  • Power supply
  • Internet services

As far as memberships, there are many options available, which can also help cut costs. Flexibility is a key selling point for coworking spaces and most memberships offer flexible plans. A lot of spaces have monthly or annual memberships as well as day passes for hot desking. No matter your budget or needs, there’s something for everyone.

Key takeaways

To sum this up, coworking spaces offer tons of financial benefits for small-to-medium sized businesses. When calculated properly, companies can save a big chunk of change just by utilizing a coworking space. If you’re looking for a pristine coworking space, get in touch with Telsec and book a tour with us today!