The concept of a shared office is no longer limited to start-ups. The advantages of co-working spaces are enticing the big players as well to hire a co-working space to run their daily activities. The high rentals in posh localities, setting up the complete office infrastructure and developing other amenities are prompting the small and medium enterprises and companies to operate from the co-working spaces.
The northern states in India are observing entrepreneurial ambitions and more and more entrepreneurs have triggered the need of more and more co-working spaces in the region. Gurugram, Ludhiana, Chandigarh are the cities that have seen a splurge in the development of co-working spaces. This is so because the co-working spaces can save up to 25 – 30% of the cost as against the cost involved in the traditional workspaces.
The installation of amenities such as the basic infrastructure, internet conference room, panty, meeting rooms, fundraising, mentorship, plug-n play workstations and so on involves a huge overhead costs for the business. All these amenities are available at the co-working spaces at very reasonable prices. The company can use the space needed, pay for the same space, and save a lot on the monthly bills. These facilities make co-working space the best for the businesses today. Another advantage of a co-working space is the creative exposure and the opportunity of massive collaboration.
The co-working space has reduced the cost of those heavy deposits companies needed to put for taking a traditional office space on hire. The flexibility a co-working space provides has taken this industry to a level ahead in the northern cities of India.
The Delhi-NCR region that is the most sought out destination for start-ups and SMEs, the number of registered co-working spaces have crossed the mark of 200 in the last two years. Gurugram tops the chart for the habitation of the maximum number of start-ups.
Gurugram, the millennium city along has approximately 22,000 co-working seats. The city has given space to the world’s largest co-working giant – GoWork – which alone is an owner of 12,000 co-working space spread over 8 lakh sq. ft. WeWork is the second largest co-working space owner with 3,000 co-working spaces in London.
The Tricity – Panchkula, Mohali and Chandigarh too are enjoying the co-working boom. There are dozens of co-working spaces in the city. The city of Ludhiana is nowhere behind. The co-working spaces in the tier II and tier III cities are offering one co-working space for Rs. 2,500 – 6,000, which is quite reasonable for start-ups and small entrepreneurs. These co-working spaces in these cities possess great business potential.
Let’s talk about shared offices in Mohali, the Software Technology Parks of India offers around 100 seats with a data centre for 160 racks spaces. This is one of the biggest in the Delhi-NCR region and this calls for a tremendous development and it reflects more potential to develop further spaces in the city.
As per a research done by JLL, CII and WeWork, the co-working industry is India is going to attract investment of around $400 million by the end of 2018. The potential seats of the co-working spaces are close to 12 – 16 million and these seats are bifurcated among the big business houses, SMEs and freelancers.
However, the co-working space developers are facing difficulties too. The growing demand and supply of co-working spaces have triggered a number of requirements to be fulfilled without which, a co-working space will not be worth in the market.