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The Top 6 Challenges of Co-working Industry and How to Overcome Them

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The culture of the way we do business is quickly changing all around the world. The coworking industry is growing by leaps and bounds as startups, location-independent workers and entrepreneurship continue to take hold in our world.

Whether you’re already an established corporation looking to expand its geographical footprint, a startup looking to keep overhead costs to a minimum, or someone looking to get into the coworking industry, there are some challenges that come with these wonderful communal collaboration spaces.

1. Data Security

With so many people and entities using coworking wifi, servers, and other pieces of technology, it is easier for secure data to get mixed up. Cybersecurity is one of the most important parts of the infrastructure in the coworking industry.

Coworking members need to know that their data is secure so they can pass this assurance on to their own clients. By incorporating top coworking software into the infrastructure of these spaces, everyone can work confidently.

2. Asset Insurance

Having shared assets can get out of hand when a number of private individuals have access and authorization to use them. Those who are not tech-savvy or unfamiliar with a piece of equipment can unintentionally render it out of order.

The simplest fix for this problem is to properly ensure assets and to make sure that members know how to properly use things.

3. Long Term Rental for Short Term Clientele

One of the biggest challenges is the rental and subleasing that comes with coworking spaces. These spaces typically sign long-term leases while encouraging freelancers, small businesses, and startups to sign memberships or short-term leases.

The nature of those who are in need of coworking spaces creates a high turnover rate of clientele for the creators of coworking spaces. Overcoming this obstacle takes some innovation and ingenuity to attract a steady flow of clientele.

4. Edging out Competition

Because remote working has become more common than it used to be, there are more co-working spaces popping up around the world. This means more competition.

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In order to be more attractive than the next membership, coworking suppliers have to separate themselves by catering to women-owned businesses, BIPOC owned businesses, technology-based businesses, or artists.

By creating a niche market, those in the coworking industry can stand out in a market that is growing quickly.

5. Distractions

Some of the things that people love about coworking can also be some of the drawbacks. Because everyone in the space is separate, there can be a lot of distractions.

Business A could be hosting a pop-up shop while Business B is trying to seal a major deal and Business C is trying to have a private meeting.

With so many things going on it can be hard to focus. To combat this, sign-up sheets for certain types of events can be useful, as can having spaces that can be made more private.

6. Privacy

With so many things happening at once, it can be difficult to find some privacy. When a business wants to keep things confidential, it is important that these spaces offer a way to do that.

Whether it’s access to private rooms or offices or non-disclosure agreements for all members.

No matter the challenges that come up for the industry, there are always new and inventive ways to tackle them and keep things moving forward.

As long as businesses and freelancers need more than a local coffee shop to gather, coworking spaces will be there to serve a basic need.

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