WeWork Bankruptcy: A Friendly Reminder of Coworking's Awesome Value
WeWork, the giant of coworking filed for bankruptcy this week. It's got people talking, and the news is flying with talk of how inevitable it all was, how the office sector is in trouble and how the world is ending for coworking as a concept.
But they’re wrong.
So, so wrong.
WeWork’s bankruptcy filing is a fantastic reminder of just how amazing value coworking spaces are and why they're worth every penny. And here’s why…
WeWork's Wake-Up Call
WeWork's rise and fall turned some heads for sure, but what if we dive deeper and take a closer look at what’s going on. Because the reality is that they’ve been subsidizing the workspace of every single member company they’ve ever served over the past 10 or so years.
Seriously.
They’ve been charging less than it cost to pay their bills and losing money every single day. Since inception. How can that be when they’re raking in billions?
I’ll tell you how.
It’s all about what’s included and just how expensive it is to include, and how much value it truly brings.
Ready-to-Roll Workspaces:
Coworking spaces are the "plug and play" of the office world. They’re fully furnished and equipped with everything you need to walk in, plug in and work. No need to sweat the small stuff. No need to worry about setting up shop from scratch. You think this stuff’s cheap? WeWork were spending over $200/ft just to build out. That’s $200,000 per 1,000 sq.ft. of space. Sheesh! If you think you can build something beautiful for cheap? Think again.
Move-In Magic:
Ever been stuck in a never-ending lease agreement? Surprise charges? Property management headaches? Yeah, we get it.
Coworking removes ALL the drama and shouts "No more!" We’re built to empower you to do nothing else but your hustle. Plus, you can scale up or down without the commitment drama giving your business the ultimate flexibility and chance to thrive.
Aesthetic Awesomeness:
Coworking spaces are basically the Instagram of offices. They're stylish, modern, and designed to boost creativity. Working in an aesthetically pleasing environment does wonders for productivity, your team’s relationships and your business network (which is instantly bigger when you step foot in one).
And “I want to work in an ugly building” said no one ever! It’s why we all want to live in nice neighborhoods, and not use $99 cell phones. Because we ‘get it’ in things we’re used to. We just need to learn to ‘get it’ when it comes to our office space too.
Prime Real Estate:
WeWork and other serious providers build and set up shop in swanky locations you'd usually need to take out a second mortgage to afford.. Or worse, you just can’t get into because the landlord needs users to take at least 10,000 or more square feet and you only need 1,000.
They didn’t build in old, run down office buildings like you’ll find in the bargain bucket office space ads. Why? Because they ‘got it’. They understood that people serious about business, and serious about growing their business want to work in the best places, surrounded by the best entrepreneurial community around.
Putting your business in premium locations is SO valuable it’s hard to put a $$$ amount on it. Who wants to do business with a company working out of a rundown space?
Nobody. That’s who.
Personal Support Crew:
Forget about office management headaches.
Forget about dealing with Comcast when your internet goes down.Coworking spaces come with a support team that handles all the boring stuff. No need to pay for a receptionist when they’ve got one built in to meet and greet your clients.
Save $50,000 a year?
Yes please!
Oh wait… That just paid for the office!!!
All-Inclusive Goodies:
Traditional office leases sneak in extra costs for utilities, internet, amenities and so much more. Heck, you may even be on the hook for some of the maintenance and upkeep too!
You never really know how much until it’s too late. But by then, they’ve got you by the you know whats…
WeWork (and other coworking spaces) rolled all those into one convenient membership fee, making life easier, more predictable and your budget happier.
Isn’t that the goal? An easy life where possible to free up bandwidth for what matters?
The True Value of Coworking
To me, WeWork's bankruptcy tells us that the value from coworking spaces is off the charts!
We're talking about a truckload of benefits, way beyond what you'd expect or could ever get from a typical office setup. It's like a buffet where you pay for a salad but get a three-course meal and it’s a reminder that going at it alone in the world of office space might not be as great as it seems.
If they can’t figure out how to balance all those costs across thousands of businesses and make a profit, there’s no way one small business guy or gal is going to pull it off.
It’s just not possible.
The only way is to sacrifice.
Lose out on the quality of your office space.
Lose out on the environment you put your team in.
Lose out on all the amenities.
Lose out on the collaboration that comes from working around other amazing people.
Lose out on new business friendships.
Lose out on possible business you’d pick up from those friends.
Lose, lose, lose.
There’s no other option. Because the value proposition is just so strong.
The idea of saving a few bucks might sound appealing, but it absolutely leads to losing out, and wasting time and energy in doing things you just don’t need to be doing.
Like ordering toilet paper. Or coffee.
Because we both know you will be.
WeWork's financial tumble isn't the end of the coworking world; it's a rebirth! It’s a reminder that coworking spaces are the real deal. That what they offer in overall value FAR OUTWEIGHS the monthly investment. That their fully equipped and creative work environments really do supercharge your business and that being in a coworking space, is guaranteed to be better for your business health than not.
Just because WeWork built in some outrageously expensive real estate and couldn’t balance their books doesn’t mean every other coworking provider did the same. Us little guys had to care about spending less than we make, so we did. And still do.
We don’t give away beer on tap at WorkLodge. We figured we’d save the money and still be in business.
So go check out your local coworking space (and if you’re in North Houston then come say hi to WorkLodge Vintage Park or WorkLodge Woodlands) and find out what you’re missing.
You might be surprised at how much value you can enjoy, and how easy we make it.
It's like getting the cherry on top.
Every single day.
