Location is the number one determining factor when someone chooses a Coworking space. As an operator the main factors to consider includes your budget, what your target audience is, how much opportunity is available to you, as well as what areas could prove most beneficial to growing your space. Whereas the challenge for operating a shared office space is generating consistent revenue, finding the perfect location relies on gauging the demand and feasibility of your potential space, finding locational qualities to seek, as well as knowing your competition. Here are some determining factors for locating your shared office space to consider.
Demand and Feasibility
The goal to your approach in feasibility is to bridge the gap between the need for a Coworking space and your overall budget. The first step for this is to determine what trade-offs you’ll need to make to fit within your means. This includes the layout, location, and amenities. It’s advised to take into special consideration your bathrooms, open space areas, potential private office spaces, as well as available parking spaces. Be aware that a high volume of Coworking spaces lack sufficient parking for their members, you can differentiate yourself on this quality alone.
From our previous ebook, The Five Essentials to Opening a Coworking Space, Jamie Russo of the Global Workspace Alliance believes in considering the following factors:
- General Demographics
- How Many People Work From Home
- Small Businesses in The Area
- Amount of Freelancers Available
Locational Qualities to Seek
Urban areas offer the most in terms of amenities and population density. There are more things to do within Urban spaces as well as a greater diversity of workers, communities, and backgrounds. While the downtown area of a major metropolis is considered the ideal place, the exorbitant rent usually associated with that prime location could prove bothersome to the survival and growth of your shared work space. While a place that is in demand and in a high-traffic area is a great thing to have, it could prove more beneficial to find a place nearby that has a great selection of neighboring restaurants and venues for recreation, entertainment, working out, and relaxing. Liz Elam, Founder of GCUC, mentioned in our ebook, The Cost of Coworking, how advantageous it is to work alongside your neighbors as she explains, “Offering free memberships and perks to neighboring businesses help businesses as well as makes your space a bigger part of the community.”
Beating Your Competition
Before getting to know your competition, it’s important to really know your location. If you can participate in your city’s economic development center as well as its chamber of commerce, you can gain leverage of the target audience. The next step is understanding the experience offered by your competitors and how to differentiate. As mentioned before, if they don’t have good parking or attractive places nearby, you can already have an advantage over them. Most importantly, if you can find which audiences could be better serviced, you can position your shared work space to better cater to these groups.
There are various other facets that make a location an ideal spot for a Coworking place. It’s important to understand what opportunities may present itself by taking advantage of a location, with a sensible consideration toward the cost of the space. For more information on how WUN can help you maximize the location of your shared work space, please click the button below.