Due to the increase in the population and thus increased pressure on resources (amongst other reasons), the globe is starting to turn towards a sharing economy. This change in sentiment regards sharing is multi-facetted. Other reasons are from wanting to reduce time in traffic, effects of pollution and decreased availability of space just to name a few. This has led to an increase in ride sharing, encouraged use of public transport, the growth of services such as Airbnb, and as what we shall be discussing-coworking.
There has been a shift in the way space is viewed globally. With increased rentals, increased expenses and sometimes decreased profits due to increased competition, small businesses are rethinking the need to rent large office spaces. Coworking spaces are flexible workspaces for multiple members where they share the workplace and other costs and features such as office furniture, telephones, printers and other technical support. These are mainly popular for small companies or individuals that do need require an entire office for their business to operate, and those who cannot really afford full rentals yet, or those that just prefer the flexibility and a less corporate workplace. The fact that one can choose the number of days they want to use the space, the facilities they would like to use and for how long they want to use them can result in cheaper rentals than in traditional office rentals. This ability to personalise workspaces and pay for what one actually needs has been one of the main reasons for the rise of coworking globally. That and the fact that its currently very trendy to be working from coworking hubs-especially for millennial, “new age” businesses.
Another driver in this rise is the increased number of companies that allow their employees to work from outside the office for a specific number of days per month. With high speed internet being one of, if not the most essential component of any coworking space, staff can perform their duties in a more relaxed working environment, at their own time, with all the work resources they require, and also have time to carry out their other personal responsibilities once their work obligations have been executed.
In conclusion, besides being trendy, coworking has also been a source of financial relief when it comes to office rentals especially for small or new businesses. It is forecasted to grow as the population steers more towards entrepreneurship and flexible working arrangements.