As an entrepreneur, you are faced with important and challenging decisions from day one. From learning how to run a successful business, finding the right people to hire, costs down, and navigating all the complexities experienced with growth.
A fundamental decision that is overlooked is deciding where you and your employees should work from, and the type of work model to offer. Finding the right solution for you and your team can seem like a daunting task, especially when taking into consideration how to keep costs as low as possible in order to focus on expenses required to drive business growth.
After salaries, office expenses are one of the largest cost items to a company. Traditionally, renting office space is calculated on a per square meter basis which often is not the most affordable to a small, high growth business. In addition, these businesses cannot forecast their growth over the next few years to justify investing and locking in a lease in an office that they will undoubtedly outgrow before the lease expiry date.
The adaptation of the hybrid work model that came out of the Covid-19 pandemic created a seismic shift in how we think about work and the way employees want to work. It presented an opportunity for business owners who choose a more flexible approach to take a different outlook on the traditional office footprint, and choose more cost-effective alternatives.
But a big question raised with this shift to hybrid working is how do you combine the all-important company culture of face-to-face work with low cost for your business? The answer is simple…coworking spaces like Tank Stream Labs. These spaces provide affordable, community driven, high quality fit out and services with facilities to cater for the hybrid working models of businesses all at flexible terms. Long gone are the requirements for small, high growth businesses to lock into long term office leases!
In 2021, the average cost of renting a private office space in the Sydney CBD was $1,038 per sq m, the highest out of all Australian cities. This cost is very expensive to businesses, with coworking offering far more affordable options.
If you have not previously considered coworking as an alternative for your business office requirements, a recent report conducted by flexible workspace software platform Robin might give you some food for thought. The report Flexible Offices for a Flexible Future: 2022 Office Space Report points to the significant cost savings achieved by hybrid workspaces. From the surveys conducted with business owners, they found that an average business owner could save up to US $10,767 per employee in a hybrid arrangement.
Whether you prefer all your employees to be in every day, or offer a flexible hybrid model - coworking allows you the flexibility to choose the option that suits your company's needs. It also allows the opportunity for your business to grow or contract as required. This provides a crucial cost-saving measure in an economic downturn. And most importantly, it could be a solution that saves the business financially without having to resort to letting go the talent that drives your business growth.
And if you are still on the fence about implementing a hybrid work model for your team, the data from Robin might sway your opinion. The report found that "83% of businesses currently operating with a hybrid work model are doing so as a cost-saving measure and 73% would shift to hybrid work to save money before considering other cost-saving measures such as layoffs".
Being part of a coworking facility like Tank Stream Labs allows for flexibility for employees and decision-makers allowing them to implement any type of work model, whether it being a remote-first, at-will or dedicated days in the office. If companies are looking for a more flexible office solution, Tank Stream Labs caters for all businesses regardless of team sizes.
If you have any questions on this content or want to speak with a member of the Tank Stream Labs team and flexible office space, feel free to reach out at firstname.lastname@example.org.