There is a rising trend of coworking space in Singapore- you could easily find a coworking space in less than 200m apart in Singapore Central Business District, almost like how you would find bubble tea shops in shopping malls.
Having been working in a coworking space, these are key things I learnt about the phenomenon of WeWork:
People like flexibility or shorter-term commitment
Office lease term for coworking space is typically a month onwards, as compared to the convention office space whose office lease term is at least 2-3 years. The flexibility in office lease term provides an advantage for companies who need time to stabilise their headcount or to gain a market foothold before getting their own permanent office space.
Also Read: How coworking is reshaping the workforce
This radical change in office leasing terms is the game-changer for coworking space to strive, at least for startups and growing companies who appreciate the flexibility and prioritise on cashflow.
People like clarity in cost
Nobody likes unpleasant surprises in their bill. There is cost pertaining to office fit-out, office utility and maintenance, should you get your own office space.
Coworking will continue its appeal because of its monthly subscription model. Simple and predictable unless you exceed the allocated credits for meeting room booking or printing.
People like transparency in the process
There is a relative lack of transparency in commercial real estate as compared to coworking space, where pricing is published based on headcount.
Based on my experience, all listed prices, be it on conventional office space or coworking space, are subject to negotiation.
If your requirement is large, you certainly have more negotiation power to bring the terms closer to your favour.
In any case, you need someone professional with local market knowledge to do proper market benchmarking based on your unique set of requirements.
People like instant gratification
The process to move into an office space is faster and more straightforward for the well-furnished and equipped coworking space, as compared to conventional office space, which could likely be in bare or partially fitted condition.
In a coworking shared space, there is a limited way for you to establish your unique corporate identity or showcase your values.
But for convenience sake, coworking space is still preferred and one may simply choose a coworking operator which could resonate closest to their corporate identity.
Are you in the midst of finding office space? With the various options on a coworking and conventional office space, do you know which ones cost less and works out better for you? Do share your experience in setting your office space below.
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Image Credit: Eloise Ambursley