Here’s a peek behind the pricing curtain, plus tips for lessening the financial burden on your business.
February 28, 2020
7 min read
Coworking spaces aren’t just taking over the real estate market. They’re transforming the way we work, and that transformation comes at a (literal) cost.
Since 2010, the coworking and flexible real estate sector has grown an average of 23 percent per year; in fact, it’s responsible for four billion square feet of office space across 54 major metro areas, according to real estate firm CBRE.
In the U.S., over half a million people worked from coworking spaces in 2017, and that number is expected to double by 2022.
Yes, coworking memberships are tax-deductible, but they’ll still set you back a pretty penny. The majority of coworking companies don’t list fully transparent pricing on their websites, and even if they do list a general breakdown, you can’t know the cost of your chosen location until after a consultation with a representative. This is usually only possible after you hand over data such as your phone number or email address — even if you’re just looking for information from a website chatbot.
Entrepreneur did the legwork so you don’t have to. We asked 12 of the most popular national coworking companies what a base-level community membership would cost per month, assuming it’s for one individual who’d be working there in-person every day. Most of the companies gave us a price range depending on location, and when we calculated the averages for both the lower and higher ends of those ranges, we were left with the average price range for a base-level community membership: about $260 to about $430.
The high price tags associated with coworking memberships are opening up entirely new markets. Salaryo, a coworking financing startup backed by Techstars, raised $5.5 million last year, bringing its funding total to $6.3 million to date. The company’s business model includes security deposit financing and flexible credit lines for memberships at spaces like WeWork, Industrious and The Yard.
Depending on your preferences, there are a whole host of free alternatives: a hotel lobby, library, museum or, of course, a coffee shop. And if you’re comfortable working from home but looking for the same community feel as a coworking space — without the accompanying price tag — then virtual coworking is worth considering. Many of these online communities operate their own Slack channels, where members can chat, motivate each other or simply feel connected to a group while working remotely. Two free examples: The Hive and Online CoWork.
But if you’re looking for a peek behind the curtain at the real month-to-month costs of a membership at one of the coworking giants without having to give your contact info to a chatbot or schedule a consultation, we’ve got you covered. Read on for a breakdown.
Pls find the link to the original article below
Here’s How Much Membership Will Cost You at 12 Coworking Spaces
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