Although coworking spaces, like Circle Hub, were initially developed to give freelancers and remote workers a professional environment to work from, they have, over the years, started to attract more and more businesses. Not only are large corporations now making use of them too but a coworking space can be a real game-changer for small businesses, helping to propel that company to success.
How, exactly, do small businesses benefit from a coworking space? Here are six ways:
1) Flexibility
Life can be turbulent for small businesses, meaning that flexibility is a must. This can make it difficult for a small business to find an office space to base itself from. Many come with long-term leases that lock you in for a few years. If anything changes for your business and your office space is no longer suitable, you’ll still be stuck paying for it.
With a coworking space, on the other hand, you’ll have so much more flexibility. Most coworking spaces charge a monthly membership fee that you can stop and start whenever you want. You won’t have to tie yourself into any long-term plans when you have no idea what the future holds for your business.
2) Cost-Efficiency
With flexibility comes cost-efficiency, something that’s particularly crucial for the success of small businesses. After all, the bigger your profits, the faster you’ll be able to grow, making cost-effective measures essential whenever possible.
How does a coworking space come into this? Well, for starters, with the flexible monthly contracts discussed above. Plus, even though you’ll still be paying a monthly membership fee for yourself and each person on your team, this will likely still work out to be a fraction of the cost of a traditional private office space. With a coworking space, you’ll be in a sleek and spacious office, often in a prestigious location, which is something that small businesses can rarely afford to splash out on.
Of course, the fact that you won’t have to fork out extra for overheads is a big financial advantage too. You’ll save on electricity, WiFi, air conditioning, a cleaning crew, and so much more. All of this will be taken care of by your coworking space, leaving you to direct your finances to where they’re most needed.
3) Added Value
While some coworking spaces don’t offer much more than a desk and a chair, others, like Circle Hub, really pull out all of the stops when it comes to providing extra amenities and added value.
Take our kitchen area, for example. Use it to store your lunch, whip up a snack, kick back and chat with other people, or you can even help yourself to our free refreshments at any time of the day (or night!). You won’t have to pay any extra for using this area, and it’s a space that your entire business will benefit from.
At the same time, we also have other facilities that you can pay extra for. Our conference rooms, which can be rented by the hour, offer great value for money. Host a client meeting in there and you’ll immediately give off a professional and credible vibe.
4) A Boost in Productivity and Creativity
Research shows that 74% of people who make the move to a coworking space find that they’re significantly more productive. Many also find that they’re much more creative. As you can imagine, having highly productive and creative workers is beneficial to businesses of all sizes!
What accounts for this boost in productivity and creativity? There are a few contributing factors. For starters, the physical environment itself. With open-plan layouts, bright natural light, and inspiring decor, coworking spaces are designed to motivate. The fact that you’ll be surrounded by other hard-working professionals will put you in the right mindset, which will also help to increase productivity.
The way in which working from a coworking space can really benefit an individual’s mental health is another aspect of this. The sense of community and support reduces feelings of isolation. Workers are less likely to feel depressed and stressed, with a healthier work-life balance overall. This then means that workers are able to perform to their full potential while harnessing all of their creative skills.
5) Networking Opportunities
Contacts and connections are everything for small businesses. When you already have a good professional network in place, you’ll find it much easier to get further, sooner.
This is something that a good coworking space can really help with. By surrounding yourself with a diverse crowd of professionals, you’ll be able to meet such a wide range of people in a variety of fields. Whether you’ve been looking for a new graphic designer, a marketing consultant, or a client lead, there’s a good chance that you’ll find it at a quality coworking space.
Some coworking spaces take things further by encouraging networking. At Circle Hub, we have several common areas where our members can get to know each other while enjoying some downtime. We also host regular events that are free for our members to attend. These are relaxed and fun, making networking informal and enjoyable.
6) Scalability
As we discussed earlier, leasing your own private office means that you’ll be stuck with a long-term contract. So, what happens if you need to scale up or down? This could see you having to pay for a second office space or, worse still, pay for a space that’s not being fully used.
With a coworking space, your business will be able to scale up or down as needed. Simply start a new membership when you add a new member to your team, or cancel a membership if someone leaves. Sure, paying for more team members can add up but, as we previously mentioned, it’s still extremely cost-effective!
Finding a Coworking Space That’s Suitable for Small Businesses
As you can see, there are a number of reasons why coworking spaces are perfect for small businesses. However, this won’t be the case for every single coworking space out there. Some cater directly to small businesses in a number of ways while others are designed more for remote workers. Here are a few tips to keep in mind when searching for the perfect coworking space for your business:
Extra Business Services
The best way to decipher whether or not a coworking space is suitable for small businesses is by taking a look at the extra services that are on offer. At Circle Hub, for example, we offer a virtual office service. With this, your business will be able to use the Circle Hub street address as your official mailing address. We’ll also receive and store your mail for you, and can even forward it on digitally.
As we mentioned earlier, we have conference rooms available for small businesses to use. However, we also know that you’ll need to host smaller meetings within your team on a day-to-day basis. Whether this happens to be a budget discussion, a brainstorming session, or anything else, our office suites will give you plenty of privacy. You can hire one on a short-term basis before going back to our shared workspaces.
A Diverse Crowd
There are so many different aspects to running a small business. From market research and design to promotion and finances, you’ll need a wide set of skills on your team if you want your business to succeed.
It’s important to keep this in mind when searching for a coworking space, as many are quite niche. Ideally, you want to be surrounded by a diverse crowd so that you can really benefit from the networking opportunities that you encounter.
How do you know what type of crowd a coworking space attracts? Start by reading reviews. Then, take a tour of that space yourself. This is the best way to really immerse yourself in that space. You’ll also be able to speak to other members and find out first-hand what that space is really like.
Location is Crucial
Although this applies to freelancers and remote workers too, location is a key feature that shouldn’t be neglected. Sure, that coworking space on the outskirts of town may seem cheap, but if it means a frustrating commute for you and your team, you won’t be able to make the most of all of the benefits that a coworking space can offer.
Ideally, pick somewhere that’s central for everyone. It should be easy to access with a variety of transportation options. Circle Hub has two locations to pick from; one in Ventura and one in Northridge. Both are easily accessible, both by car and public transport, with plenty of available parking at or near the buildings.
24/7 Access
If pulling all-nighters or attending conference calls at 2 am with an overseas client are going to be the norm for your business, then 24/7 access is something to think about too. Many coworking spaces are only open during regular business hours. However, if you need somewhere professional to work from outside of these times, what do you do then? It would be a shame, as well as stressful, to have to find somewhere else suitable to work from, especially since you’re already paying for a coworking space.
This is why a coworking space that offers 24/7 access, like Circle Hub, can be so helpful. You’ll be able to come and go whenever you please, enabling you to truly set your own schedule.
Summary
Coworking spaces are beneficial for small businesses in a number of ways. This is being increasingly recognized, with more and more businesses, both small and large, choosing to use a coworking space as their base. The growing popularity of coworking spaces among businesses shows just how influential they can be when it comes to pushing a business to success.
Want to know more about Circle Hub’s coworking spaces? Click here to book a tour today!