Coworking is an arrangement in which
workers for different companies share an
office
An office is a space where an organization's employees perform administrative work in order to support and realize objects and goals of the organization. The word "office" may also denote a position within an organization with specific d ...
space. It allows cost savings and convenience through the use of common infrastructures, such as equipment, utilities and receptionist and custodial services, and in some cases refreshments and parcel acceptance services. It is attractive to
independent contractor
Employment is a relationship between two parties regulating the provision of paid labour services. Usually based on a contract, one party, the employer, which might be a corporation, a not-for-profit organization, a co-operative, or any ot ...
s,
independent scientist
An independent scientist (historically also known as gentleman scientist) is a financially independent scientist who pursues scientific study without direct affiliation to a public institution such as a university or government-run research and ...
s,
remote workers,
digital nomad
Digital nomads are people who travel freely while working remotely using technology and the internet. Such people generally have minimal material possessions and work remotely in temporary housing, hotels, cafes, public libraries, co-working spac ...
s, and people who travel frequently. Additionally, coworking helps workers avoid the feeling of
social isolation
Social isolation is a state of complete or near-complete lack of contact between an individual and society. It differs from loneliness, which reflects temporary and involuntary lack of contact with other humans in the world. Social isolation c ...
they may experience while
remote working or traveling and eliminate distractions in
home office. Most coworking spaces charge membership dues. Major companies that provide coworking space and
serviced offices include
WeWork and
IWG plc.
Types
Coworking is not only about providing a physical place, but also about establishing a community. Its rapid growth has been seen as a possible way for city planners to address the decline of high street retail in urban centres. Its benefits can already be experienced outside of the physical spaces, and it is recommended to start with building a coworking community first before considering opening a coworking place.
However, some coworking places have no community building; they just get a part of an existing one by combining their opening with an event which attracts their target group.
Coworking tends to fall into two sides: Those that are real-estate-centric (all about selling desks and offices first) while others are community-centric (focused on building community that happens to also have offices or desks.) Players target freelance professionals, remote workers, and small to medium enterprises (SMEs) who need a space and seek a community with a collaborative spirit. Customers also often benefit from professional services such as printing or incorporation or consulting.
Coworking is distinct from business accelerators,
business incubators
Business incubator is an organization that helps startup companies and individual entrepreneurs to develop their businesses by providing a fullscale range of services starting with management training and office space and ending with venture cap ...
, and
executive suites. These spaces do not fit into the coworking model because they often miss the social, collaborative, and informal aspects of the process. In coworking, management practices are closer to that of a
cooperative
A cooperative (also known as co-operative, co-op, or coop) is "an autonomous association of persons united voluntarily to meet their common economic, social and cultural needs and aspirations through a jointly owned and democratically-contro ...
, including a focus on community rather than profit. Some coworking participants are also involved in an
unconference such as
BarCamp.
Some coworking spaces are geared towards particular niches. For example, CoWorking With Wisdom, in
Berkeley, California
Berkeley ( ) is a city on the eastern shore of San Francisco Bay in northern Alameda County, California, United States. It is named after the 18th-century Irish bishop and philosopher George Berkeley. It borders the cities of Oakland and Emery ...
, combines coworking with
meditation,
mindfulness, and
yoga programs,
The Wing was founded for "the advancement of a certain type of woman", and Work and Play in
South Orange, New Jersey has onsite childcare for entrepreneurial parents. Coworking spaces with a religious aspect include Epiphany Space, a Los Angeles space for artists, and SketchPad, a Chicago space for Jewish not-for-profit organizations.
History
Between 2006 and 2015, a few studies showed that the number of coworking spaces and available seats have roughly doubled each year.
Coworking was preceded by European hacker spaces of the 1990s, where programmers would exchange skills and best practices.
Some coworking places were developed by
remote workers and
entrepreneurs seeking an alternative to working in
coffeehouse
A coffeehouse, coffee shop, or café is an establishment that primarily serves coffee of various types, notably espresso, latte, and cappuccino. Some coffeehouses may serve cold drinks, such as iced coffee and iced tea, as well as other non-ca ...
s and cafes, or to isolation in independent or home offices.
Another major factor that drives demand for coworking is the growing role of
independent contractors and
digital nomad
Digital nomads are people who travel freely while working remotely using technology and the internet. Such people generally have minimal material possessions and work remotely in temporary housing, hotels, cafes, public libraries, co-working spac ...
s.
In Asia Pacific
Coworking in Asia has become very popular as space is limited in regions like
China,
Hong Kong,
India, the
Philippines,
Saudi Arabia,
Singapore,
Taiwan, and
Vietnam.
The major metropolitan cities in each of these regions are every day coming up with new coworking ideas and spaces, promoting emerging startups and business to adopt the trend. Research from commercial brokerage firm
JLL found that flexible work space in Asia-Pacific, including both
serviced offices and coworking, surged 150% from 2014 to 2017.
In Pacific countries such as
Australia and
New Zealand, coworking has been made popular as the prices of commercial spaces and bills rise, with coworking being up to 25% cheaper for most freelancers and businesses.
In Hong Kong for example, dozens of coworking spaces have been set up to foster the rapidly growing startup community; according to ''
Forbes'' it is among the leading tech locations in the world, along with
New York City and
Silicon Valley. Spread across almost all districts, coworking places can be found everywhere while the majority of places are situated on
Hong Kong Island
Hong Kong Island is an island in the southern part of Hong Kong. Known colloquially and on road signs simply as Hong Kong, the island has a population of 1,289,500 and its population density is 16,390/km2, . The island had a population of a ...
and there predominantly in the
Central
Central is an adjective usually referring to being in the center of some place or (mathematical) object.
Central may also refer to:
Directions and generalised locations
* Central Africa, a region in the centre of Africa continent, also known a ...
and
Sheung Wan
Sheung Wan is an area in Hong Kong, located in the north-west of Hong Kong Island, between Central and Sai Ying Pun. Administratively, it is part of the Central and Western District. The name can be variously interpreted as ''Upper Di ...
districts.
The
Malaysian state
The states and federal territories of Malaysia are the principal administrative divisions of Malaysia. Malaysia is a federation of 13 states (''Negeri'') and 3 federal territories (''Wilayah Persekutuan'').
States and federal territories
Elev ...
of
Penang
Penang ( ms, Pulau Pinang, is a Malaysian state located on the northwest coast of Peninsular Malaysia, by the Malacca Strait. It has two parts: Penang Island, where the capital city, George Town, is located, and Seberang Perai on the Malay ...
, long regarded as the ''Silicon Valley of the East'', has also witnessed an increase in coworking spaces.
Aside from privately owned
startups
A startup or start-up is a company or project undertaken by an entrepreneur to seek, develop, and validate a scalable business model. While entrepreneurship refers to all new businesses, including self-employment and businesses that never intend t ...
, the
Penang state government
The Government of Penang ( ms, Kerajaan Negeri Pulau Pinang) refers to the government authority of the Malaysian state of Penang. The state government adheres to and is created by both the Constitution of Malaysia, the supreme law of Malaysia, and ...
has embarked on a drive to convert colonial-era buildings in the capital city of
George Town into coworking spaces.
As well as tech startups, coworking is becoming increasingly common amongst
digital nomad
Digital nomads are people who travel freely while working remotely using technology and the internet. Such people generally have minimal material possessions and work remotely in temporary housing, hotels, cafes, public libraries, co-working spac ...
s in Asia. A 2011 survey found most coworkers are currently in their late twenties to late thirties, with an average age of 34 years. Two-thirds are men, one third are women. Four in five coworkers started their career with a university education. The majority of coworkers work in
creative industries or
new media
New media describes communication technologies that enable or enhance interaction between users as well as interaction between users and content. In the middle of the 1990s, the phrase "new media" became widely used as part of a sales pitch for ...
. Slightly more than half of all coworkers are freelancers.
Coworking is popular in
India. According to a 2017 report by real estate firm
CBRE, there are 350 shared office operators present in India spread across more than 800 locations. Leasing activity by coworking and business center operators more than tripled on 2016.
In
Australia,
WeWork and Spaces are present, challenging locally owned and operated companies. Hub Australia is the largest, privately owned Australian coworking operator. With many independent operators opening smaller specialist sites (including in rural and regional areas of the large country), some larger providers have expanded nationwide, with the distance between major cities an asset to both the coworking provider and the community.
In
India, Coworking business is very popular in metro city as Tier 2 and Tier 3 Cities of India. In India during 2017 and 2018 indicates a marked increase. While in 2017, the space leased was 1.9 million sq. ft., it increased more than two times to 3.9 million sq. ft. in 2018. India has the third-largest startup ecosystem after China and the US with more than 5,200 startups. Now many major cities like Mumbai, Hyderabad, Bangalore, Delhi,
Ahmedabad
Ahmedabad ( ; Gujarati: Amdavad ) is the most populous city in the Indian state of Gujarat. It is the administrative headquarters of the Ahmedabad district and the seat of the Gujarat High Court. Ahmedabad's population of 5,570,585 (p ...
and Chennai have coworking spaces and they are increasing by the day due to the startups.
In Europe
In 2017, Europe ranked third as a region in terms of the number of coworking spaces, behind the United States (3,205) and Asia (3,975).
France opened its first coworking space in 2008, La Cantine, located in
Paris.
The
U.K.
The United Kingdom of Great Britain and Northern Ireland, commonly known as the United Kingdom (UK) or Britain, is a country in Europe, off the north-western coast of the continental mainland. It comprises England, Scotland, Wales and North ...
is among the most responsive European country to the idea of collaborative working, with a special focus on
London. In the city, the Shoreditch area leads the coworking market, not only for the large number of coworking places it offers but also for the variety of places that exist to fit the differing needs among start-ups, entrepreneurs and freelancers.
Camden Collective is a regeneration project in London that re-purposes previously vacant and underused properties that opened its first ‘wire-less, wall-less’ coworking space in 2009.
In June 2013, the
Government of the United Kingdom announced it would be applying coworking principles to a new pilot scheme for its 'One Public Sector Estate' strategy covering 12 local authorities in England, which will encourage councils to work with central government departments and other bodies so that staff share buildings. This will enable the authorities to encourage collaboration as well as re-use or release property and land deemed surplus to requirements, cutting spending and freeing up land for local development.
Estonia At the beginning of 2022, the Pärnu Start-Up Center coworking space opened in Pärnu. Their aim is to connect remote workers and small entrepreneurs who usually work in a café or at home, offering them a comfortable business centre where they can work in peace and meet their clients. Helping local business community to grow and make new contacts. Believing in the power of community and collaboration, and knowlage that together they can make the impossible possible. The building Hommiku 5 was renovated and funded for digital professionals by Chi Keung Ivan Wong from Hong Kong.
Coworking is also common in continental Europe, in places such as
Berlin.
Smaller urban areas with many young and creative people and especially
College town
A college town or university town is a community (often a separate town or city, but in some cases a town/city neighborhood or a district) that is dominated by its university population. The university may be large, or there may be several sma ...
s may offer coworking places, with ''Cowork
Greifswald'' in Germany being one example. Cooperation between coworking spaces and academic environments are focused.
In North America
Since Neuberg started the coworking movement in 2005, San Francisco continues to have a large presence in the coworking community and is home to a growing number of coworking spaces. Also in the
Bay Area
The San Francisco Bay Area, often referred to as simply the Bay Area, is a populous region surrounding the San Francisco, San Pablo, and Suisun Bay estuaries in Northern California. The Bay Area is defined by the Association of Bay Area Gove ...
,
Anca Mosoiu
Anca Moșoiu (born 1973) is a technical consultant and web developer who established the Oakland, California co-working space Tech Liminal in 2009. She is credited with helping to build the tech industry in Oakland. She has been described as a "t ...
established Tech Liminal in 2009, a coworking place in
Oakland.
The coworking model for office space is extremely popular in
Miami. In fact, a 2018 study done by Yardi Matrix, recognized Miami as the US city with most co-working spaces per square foot. Coworking has also spread into many other metropolitan areas, with cities such as
Seattle, Washington,
Portland, Oregon,
Toronto,
Wichita, Kansas, and
Columbus, Ohio
Columbus () is the state capital and the most populous city in the U.S. state of Ohio. With a 2020 census population of 905,748, it is the 14th-most populous city in the U.S., the second-most populous city in the Midwest, after Chicago, and ...
now offering several coworking venues. In recent years there has been an increase in the number of suburban and rural coworking spaces including Amarillo, Texas, Des Moines, Iowa, Independence, Oregon and Indianapolis, Indiana.
The New York coworking community has also been evolving rapidly in
Regus
IWG plc, formerly Regus, is a British holding company.[IWG PLC]
Bloomberg. Accessed June 2021. It provide ...
and
Rockefeller Group Business Center.
WeWork and other services have a large presence. The demand for coworking in
Brooklyn neighborhoods is high due to the increased number of
millennials in the workforce; nearly one in 10 workers in the
Gowanus, Brooklyn area are
remote workers. The industrial area of Gowanus is seeing a surge in new startups that are redesigning old buildings into new coworking spaces. In Brooklyn, in 2008, the first green-focused coworking space in the US, called Green Spaces, was founded by Jennie Nevin, and it expanded in 2009 to
Manhattan and
Denver and has been a driving force for green entrepreneurship through the collaboration of coworking.
In Africa
In 2011,
Co-Creation Hub
Co-Creation Hub, commonly referred to as Cc-HUB or the HUB, is a technology-oriented centre located in Yaba, a district of Lagos. Founded in 2010 by Bosun Tijani and Femi Longe, it provides a platform where technology-oriented people share ide ...
was founded in
Yaba, Lagos by
Bosun Tijani
Olatunbosun Tijani (20 July 1977) is a Nigerian-British entrepreneur, co-founder, and CEO of Co-Creation Hub. Co-Creation Hub works at the forefront of accelerating the application of innovation and social capital for a better society.
Bosun ...
and Femi Longe, it is often referred to as Cc-Hub and it houses over 50 startups such as BudgIT, GoMyWay, Lifebank, Findworka, Autobox
IHub
iHub is an Innovation hub and hacker space for the technology community in Nairobi. It was started in March 2010 by Erik Hersman, a blogger, TED fellow, and entrepreneur and acquired by Co-creation Hub (CcHUB) in 2019. This coworking space, ...
is also an innovation hub and incubator space for startups founded by
Erik Hersman
Erik Hersman (born 1975) is a technologist, blogger and commentator who specialises in the impact and application of technology throughout Africa. Raised in Sudan and Kenya, he is a graduate of Kenya's Rift Valley Academy and Florida State Univers ...
in 2010. iHub was a pioneering coworking space in Africa, in 2019 Cc-hub announces the acquisition of
IHub
iHub is an Innovation hub and hacker space for the technology community in Nairobi. It was started in March 2010 by Erik Hersman, a blogger, TED fellow, and entrepreneur and acquired by Co-creation Hub (CcHUB) in 2019. This coworking space, ...
in Nairobi,
Kenya.
Ventures Park was founded in 2016 in
Abuja by Kola Aina. Its an artsy space for freelancer, entrepreneurs, professionals, and startups manage their operations and network. They launched a Campus Co-working space in
University of Abuja
The University of Abuja is a tertiary institution in the Nigerian capital, Abuja. It was established in January 1988 (under Decree No. 110 of 1992 as amended) as a dual-mode university with the mandate to run conventional and distance learning ...
known as Ventures Platform campus
See also
*
Coworker (company)
*
Coworking space providers
*
Hot desking
Hot desking (sometimes called "non-reservation-based hoteling") is an office organization system that involves multiple workers using a single physical work station or surface during different time periods. The "desk" in the name refers to a tab ...
*
Office sharing
*
Outsourcing
Outsourcing is an agreement in which one company hires another company to be responsible for a planned or existing activity which otherwise is or could be carried out internally, i.e. in-house, and sometimes involves transferring employees and ...
*
Collaboration
Collaboration (from Latin ''com-'' "with" + ''laborare'' "to labor", "to work") is the process of two or more people, entities or organizations working together to complete a task or achieve a goal. Collaboration is similar to cooperation. Most ...
*
SOHO China
SOHO China is a Chinese building developer, primarily in the office and commercial sector, with some residential and mixed-use properties in its portfolio. The company, which uses the name "SOHO" in both English and Chinese contexts, was founded ...
References
Further reading
*
*
*
{{Commons category, Coworking space
Business process
Workplace