We all know the story the Silicon Valley of India holds the maximum number of start-ups in India.
The untrammeled potential of the emerging entrepreneurs finds its way to enter into Bengaluru city where they can implement their innovative ideas and exhibit their skills for the betterment of people.
So, what exactly an entrepreneur is looking for?
The foremost requirement of an entrepreneur is the place to set up his/her office and provide the employees with the basic amenities to work efficiently.
Bengaluru being a start-up hub provides them with shared space also known as co-working spaces.
Your decision cannot be abrupt. And, before you move your office setup to any co-working space, you need to have a comprehensive understanding of the co-working spaces.
Here’s a detailed coworking in Bengaluru guide for the start-ups and freelancers who are oblivious to the facts and stats of co-working spaces in Bengaluru:
Demography of Coworking Spaces
The first and a very common question that strikes our mind is “who uses the co-working spaces the most”?
Well, the answer is tacit in the fact that initially co-working spaces were majorly being used by the freelancers.
Gradually, the co-working spaces became popular among the budding start-ups. Entrepreneurs find it the most convenient alternative for establishing their start-ups at the co-working spaces.
This has become a trend of the start-ups in Bengaluru to start their work at the co-working spaces.
According to the findings of CoworkingInsights, start-ups occupied the majority of co-working spaces when compared against the digital nomads and freelancers.
The findings are quite surprising. The digital nomads and freelancers surprisingly account for just 19.43% of today’s coworking users.
This was not the general trend, years ago.
If we talk about remote entrepreneurs and remote corporate employees, they accounted for just 13.7% of the total co-working spaces.
The intriguing findings of the study reveal that the following two sects have surpassed the remotely working entrepreneurs and freelancers:
- Startups – 27.12%
- Small to Medium-sized Enterprises (SMEs) – 37.93%
The above-mentioned statistics can culminate to the fact that the demand for co-working spaces is gradually increasing among the startup team and small companies.
Such a shift in demographics is an obvious scenario as there exists an inverse relationship between the availability of real estate and exponentially emerging start-ups.
Co-working spaces are economically viable to move in for small enterprises and other remote entrepreneurs.
The rise in Coworking Spaces
The rapid increase in the co-working spaces has been observed not only in countries outside India but witnessed in India as well.
The number of coworking spaces worldwide is projected to reach almost 20,000 this year (2020) and cross over 40,000 by 2024, according to a report.
While the industry is set to grow at a slower pace in 2020, we expect growth to rebound and develop even more rapidly from 2021 onwards, with a yearly growth rate of 21.3%.
Coworking in Bengaluru
It will be unfair to not mention Bengaluru, the Silicon City of India while talking about the co-working spaces.
Bengaluru witnessed a humongous increase in the number of co-working spaces in India.
During the first quarter, prime office rentals in Bengaluru, Mumbai, and Delhi rose 17%, 5%, and 1.4%, respectively, from a year ago in 2019, a report reads.
Origin of Coworking Spaces
Without knowing about the concept of co-working spaces, it will be like reading a lesson without knowing its title.
Let us go through a little about the history and origin of the concept of co-working spaces.
Coworking, as we know it today involving a physical space, started in 2005 when Brad Neuberg used the term to describe a physical space where independent and mobile workers came together to work in a casual environment. Neuberg first started the Hat Factory in San Francisco in a work/live loft.
Back then in 2005, Neuberg was working in a startup where he was not happy with his job.
A quote from Neuberg’s blog:
“I started working with a Life Coach named Audrey Seymour while at Rojo to help me get unstuck and figure out where I wanted to go in my life”.
He finally decided to create a new kind of source to support the community and structure that I hungered for and gave it a new name: coworking.
Initially, no one came to the co-working space but gradually, after the persistent efforts made by Neuberg, a trickle of more and more people came into space.
What helped Neuberg grow?
He said there were three important developments in the growth of coworking:
- A lot of people came to space just to look at it and see what was going on with coworking but were not able to join the space. He told them “take this idea, steal it, and make it your own”.
- Creating an online community using the coworking wiki and a Google groups list and evangelized it to the growing Bar Camp unconferences.
- Finally, after about a year the Spiral Muse coworking space closed and several months later a second space opened up with Neuberg himself working with about ten other volunteers. This space was called the Hat Factory. The Hat Factory was run out of a work/live loft and was the second coworking space.
Significance of Coworking Spaces
Since people are coming up with new ideas and inventions, therefore they want to invest their time and money in setting up start-ups.
But for locating a new office an individual certainly needs space or to be specific he needs capital. The question arises where and how one manages to assimilate these things? Thus, these entrepreneurs generally decide to move into space where they can get exact facilities as provided by the corporate offices but at an affordable price.
Coworking spaces are the solution to their problem of finding capital for situating enterprises.
For Remote Entrepreneurs
Remote Entrepreneurs are similar to freelancers. They do not have a team nor an office space. Coworking spaces are the right place to accommodate such remote entrepreneurs who can get a place for client meetings and carry out other business-related works.
They can also build a team and work at co-working spaces to grow their business.
Freelancers are those who work remotely for different organizations.
Co-working spaces are very interactive places for such freelancers who want to get more projects and earn good money.
Usually, these freelancers are the ones who thrive to become entrepreneurs by bringing in their creative skills as a consequence of working with different firms at a time.
Why Startups are facing towards Coworking Spaces
The reason behind the rising demand for coworking spaces by startups and entrepreneurs is the freedom of work.
Unlike the traditional offices, coworking spaces provide the startups the flexible working hours. No one is there to restrict you from working in accordance with your wish and will.
Co-working spaces remain open all day and night. And, the Startups have the independence to come and leave the office whenever they want.
Professional Work Environment
Co-working spaces provide not just a flexible work ambiance but also creates an absolute professional working environment to improve the productivity of the employees.
Lower Working Capital
Why spend your hard-earned money when you have the option to locate your office set up at co-working spaces?
Co-working spaces save the capital expenditure of a person to a great extent.
For example, an internet facility is an absolute service that is provided by the coworking spaces at a lower price.
Also, you will not have to spend a big chunk of money on the desktops and other furniture for accommodating your employees. Rather you can use that money in hiring more people to improve your productivity and achieve higher goals.
The co-working space provides you with a community with whom you can collaborate and increase your growth rate.
This is because, in co-working spaces, entrepreneurs belong to different industries and come up with innovative minds.
Such mindsets help you in growing your business and reach the highest peaks of success in your life.
Coworking Spaces in Bengaluru
There are many coworking spaces located in the prime location of Bengaluru. And, the location Koramangala is one of the most major commercial hubs in India.
Following are some of the best spaces for coworking in Bengaluru:
- Nomad Spaces
- BHIVE WorkSpace
- Quest Offices
- Novel Office
Future of Coworking in India
The future of co-working spaces in India is very amusing. The demand for the co-working spaces will surely scale up. And, the growing number of start-ups will attract more co-working spaces.
If you have a related query, feel free to let us know in the comments, right now.
Also, please share the article with the people who you think might be interested in reading it.