The exponentially increasing number of startups is explicitly attracting more coworking spaces to come into existence.
There are several reasons for such a rapid increase in coworking spaces in the world and to be specific in India as well.
Before we move towards the factors and reasons for the rising demand for coworking spaces and why coworking is the future! Let us take a look into some stats relating to the coworking spaces.
Estimates show that there are approximately 325 to 330 co-working operators in the top seven cities in India.
According to JLL, In India, the first half of 2018 saw a significant rise in coworking spaces leased, to 19 lakh sq ft from 6.4 lakh sq ft in the first half of 2017. It is expected that coworking companies would lease out 6-10 million sq ft space, especially in tier-1 and tier-2 cities in the country by 2020.
Also, according to a report by the Confederation of Indian Industries, shared workspaces provider WeWork and property consultancy JLL India; the total number of seats in the co-working industry is about 12-16 million out of which 10.3 million seats are occupied by large companies.
Again, 1.5 million of these seats are occupied by SMEs and another 1.5 million by Freelancers. While startups occupy the smallest chunk of 100,000 seats.
Preference for Coworking Spaces by the Startups
The traditional office spaces are now becoming out of trend due to the emerging startups and their demands for coworking spaces.
Coworking spaces offer startups an environment where they can establish symbiotic business relationships and expand their existing network.
Coworking spaces also provide Low cost for startups to set their office with its employees.
Why Coworking is the future
What traditional offices failed to provide the employees with is now being offered by the coworking spaces!
Yes, you are getting it correct. It’s the work-life balance.
The routine of 9 am to 5 pm and at times, 9 am to 9 pm, has put a full stop to a person’s personal life.
Many people are juggling between work and personal life wherein most of us fail to strike a balance between work and personal life. Such strict routines affect the mental health and freedom of the individual.
The concept of coworking spaces is quite pleasing for the people who want to work without hampering their happiness.
The traditional corporate offices do not let you expand your network to a large extent.
Whereas, coworking spaces have the potential to help you maximize your network.
This is because, at a corporate office, people work for a specific agenda or in a specific sector such as IT, healthcare, BPO, etc. While the coworking spaces are the place where entrepreneurs belonging to different ideas, skill sets and industries come along with their team to further their business
Here at coworking spaces, one gets to communicate with various entrepreneurs and creative individuals who can surely anchor you to build a strong network.
Space for Freelancers
Freelancers are those chunks of people who work with different firms remotely.
They work efficiently and effectively from the place wherever they feel comfortable. Usually, it’s their homes but for meeting their clients and grab an opportunity they end up fixing their meetings at coffee shops. Which at times, becomes a place of distraction and gives an unprofessional end to the meetings.
Coworking spaces are the best replacement of those coffee shops which are definitely meant for carrying out a professional business talk.
Best Tech Support
Uninterrupted internet connectivity is the essentiality of any business webinars and conferences.
For a seamless business video conference, you need to have a strong internet connection.
Such services are provided by the coworking spaces; and Nomad Spaces is one of those spaces which ensures you remain connected with your clients via a strong internet connection.
It is convenient for the clients to attend the meetings at the prime locations of a city.
For such reasons, coworking spaces are of strategic importance for entrepreneurs and freelancers to shift and work.
Nomad Spaces is also located at the prime location of Bengaluru, which is at Indiranagar.
Future of Coworking Spaces
Coworking spaces have managed to catch the attention of many young entrepreneurs.
Foreign giants like WeWork have stepped in to expand their branches in India.
The reason is the demography of India which comprises young and energetic youth.
India is the fastest-growing economy in the world, is attracting foreign investors to set up their business.
And for doing so, coworking spaces are the best alternative for budding startups.
Combining coworking platforms and incubation centers is the next big thing, where people can find investments, colleagues, and a healthy environment all together in one place.
Currently, a coworking space either leases or opens itself in some cafe’s, so with deeper penetration with more affordable prices, people might slowly drift towards these modern workplaces. Currently, valued at around $1 Billion, the valuation might grow to $ 7-8 Billion by 2022, for this workspace sector in India.
More and more Indian companies are aggressively expanding across the country. One of them for example is Insta Office, which now counts 13 locations in Gurgaon, New Delhi, Bengaluru, and Gandhinagar.
Another example is Gurgaon-based GoWork, which has only two campuses but boasts a whopping total lease capacity of 800,000 sq. ft and desks for around 12,000 people.
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