The conventional workspace in which we work is now changing. The new multinational firms who are joining the market are keen on bringing new novelties and technologies to the said market. They are here to challenge conventional methods of working and imbibing new ones. The concept of shared office space has gained popularity in recent times. This concept, favoured mostly by western economies, is now being adapted to the Indian business ecosystem.
What Is Shared Office Space?
The shared office space is a new concept wherein the employees do not work in conventional office spaces. It is a fully equipped office with a more relaxed setting and comfortable environment. It is not necessary that the place has to be hired by a single company or firm. The shared office space in Gurgaon is built in such a way that more than one company can work in the same space. It can be hired by multiple entities or a single individual for a flexible time period.
The time for sharing the shared office space in Gurgaon can range from a few hours to even two or three years. It provides the flexibility to rent the space for a limited period of time ranging from six months to three years. Even if you are a freelancer and do not want to spend that much time, then you have the option to choose from hourly rentals.
This idea of an office space being shared by many people started as a concept. In the early stages of its inception, the idea was exclusive for startups and young business entrepreneurs. Later on, with the arrival of new ways of modern marketing and cost-effective methodologies, more multinational firms shifted their gaze towards a shared office space.
What started as a startup venture now encompasses entrepreneurs, freelancers, work from home individuals, frequent travellers, small and medium enterprises and corporate houses. More than 32% of the business revenue comes from the corporate sector. The corporate is investing heavily in co-working spaces.
The majority of coworking spaces which are available in India are being developed by startups. These startups are big players and cater to the demand of the corporate. The largest revenue is from the corporate as it constitutes more than 30% of the market share. No major company or firm has tried to establish their market but they are working behind the curtain as a venture capitalist.
Benefits Of Coworking Space
There are several benefits to acquiring a shared workspace. The cost of infrastructure reduces to a minimum. There are many operations and maintenance costs required to run an office. When you opt for a shared office space the facilities are provided by the workspace organizer. Facilities, such as housekeeping staff, food, common front desk, reception area, and tech facilities such as wifi, printer, scanner, copier, telephone are all pre-arranged.
The average cost for these facilities can range from Rs. 3000- Rs. 4000 for a small-scale user. A medium-level user has to pay between Rs. 6,500 to Rs. 8000, while a premium customer has to make a payment of Rs. 9,500 to Rs 13,000 per month. In comparison to the cost of operating the same level of workforce or operations capability in the conventional office, the cost can range from anywhere between Rs. 20,000 to Rs. 35,000.
The most lucrative benefit of coworking spaces is that the cost gets divided among the occupants. There are many additional facilities which can be acquired by paying some extra fee. These services include exclusive cabins, boardrooms, parking space, lockers, video conferencing, pantry and gaming areas.
A shared working space provides convenience. In a shared working space, the person can totally focus on primary objectives and they do not have to worry about the overhead expenses or operations cost. A person can focus directly on making the profit and building the revenue without worrying about administrative work.
The other benefit is that it gives you the freedom to expand without worrying about the logistics, administration, land and operations cost. By sharing your office space or acquiring that of others’, you can actually have an office in every metro without paying any fixed charges. This also helps you remain flexible in the business.
A penny saved is a penny earned. This is true and essential for those who have just started in the business. For such entrepreneurs and freelancers, this is quite beneficial. It saves up a lot of costs, which is required to set up headquarters, operations office and logistics support. The amount of money saved can directly be used for escalating the cost of investment. The cost linked to infrastructure is almost 5% to 10% of the company’s turnover, thus corporations of all sizes are looking at it as a strategic component.