Post-pandemic many businesses and startups have come to a halt as the world is facing the biggest crisis since World War II. The economists and business experts are comparing the recent memory of the pandemic with the Great Depression of the 1920s.
For business, regardless of any domain and spectrum, they have and are still suffering major losses. They owe a hefty rent on their offices. Businesses and conglomerates are still paying rent for their offices in order to retain their base until the lockdown is lifted. In such tiring times, many businesses have been temporarily shut while some may never see the light of the day.
Tiring Times
Startup’ founders who vested their hard-earned money to purchase a lease, are indulged in a major loss. They owe rent on their offices. Most businesses will be paying rent for offices that will not be used for at least a few weeks, and possibly even longer.
Offices that were part of life for employees and clients have turned into huge liabilities. Thanks to the expensive leases and agreements as the founders are still paying expenses even though the premises are still deserted and not being used anymore.
Normalcy will take its own pace to get things on track, as the proper date of lifting the lockdown is still a question. In such difficult times, more and more founders and entrepreneurs are still venturing outdoors, as it may extend for even longer.
Start ups’ founders who are in the mode of cutting costs and minimizing risks may follow a suitable recourse path. Rather than going for a conventional rent lease agreement, they would be switch to a flexible coworking office space where they can enjoy a plethora of facilities while keeping their administrative costs at bay.
Coworking Space Over Traditional Office
Cowkring office space has a myriad of advantages in comparison to the traditional office space, as they are laced with all sorts of amenities and facilities that any startup requires. From high-speed internet to the conference rooms, plush interiors to the shared or personal desks, printers, and scanners to 24*7 IT support, as they are loaded with all the office essentials that any small business or startup to scale their business operation.
Renting conventional office space, and that too in a prime location is a sulking cost. Add to that, the administrative cost to add the office essentials at your disposal. In comparison, coworking spaces are nimble and agile, as their adaptability makes them ideal for startups whose consistent growth demands the office-essential resources made available by default.
Also, any Startup blossoms on the ecosystem of networking, which constantly needs access to the best talent for collaboration. Such favourable environments are found in abundance at the coworking space only.
Wait Until Normalcy Returns! But When?
Once the lockdown is lifted, and things would get back to normal, many startups and small businesses will analyze the expenditures with serious considerations. A serious thought would be given to renting a coworking space as they are immune to the pandemic-induced lockdown because of their flexible rental subscriptions.
Remember, this Covid-induced lockdown is not the last, but the begging of the series in tandem, as there would be many in the future. In other words, startups have to take this fact into account- in the future, their business may be adversely affected by lockdowns.
Importantly, Covid-19 will change the customer behavioural dynamics in the long run, for instance, the social distancing norms are going to be the walk and talk of the town for ages.
Visitors will think twice about entering any building premises and are mindful of the threat posed by the airborne viruses. Coworking spaces, since their inception, have taken vigilant steps to ensure the safety of those working inside as they are the home to many startups and businesses conglomerates.
Coworking spaces will likely keep the safety infrastructure measures in the long run. Compared to the traditional office space, they need to execute the tectonic shift to add the safety resources to do the same.
One of the fruitful advantages of leasing office space in coworking bay is that they have zero downtime, as startups have their own advantage of the time to continue, and when to discontinue.
Conclusion
Once the lockdown is lifted, it will keep the employees in high spirits as the companies having an offices space at coworking spaces will rapidly reach the same level of efficiency they had before the pandemic. The same cannot be said of businesses working from conventional office space offices due to the lifelong challenges of traditional Real Estate leasing conditions.
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