Why not just startups, MNCs too are opting for coworking spaces in India?
Every MNC and big enterprise wants to maintain a standard when it comes to the offices, but it requires additional money infusion.
A good office space plays an important role in maximising the productivity of employees. However, having your own office space like Google is not everyone's cup of tea. This is where coworking spaces are making a difference in India. There are about 300 coworking operators in the country, out of which only a handful are in the luxury coworking space, said Nakul Mathur, MD of Avanta India, which provides office places to companies. In India, coworking spaces are generally considered to be a hub for startups, though the statement is partially true. MNCs and well-established companies while opening their branches in tier-II and tier- III cities do prefer co-working/shared spaces, for being cost-effective and hustle free.
Every MNC and big enterprise wants to maintain a standard when it comes to the offices, but it requires additional money infusion. The burden comes down with coworking spaces, as they take care of the quality and yet, the cost is less as compared to the cost of setting up an independent office, Mathur said.
“These large enterprises want to maintain their values of caring for their employees by giving them office spaces, which are the hallmark of excellence. It is the first need and to make sure the need is met they used to spend a lot of money on setting up offices. But now, India has the option of coworking spaces that do not compromise on their standards. This has given them the base required to stick to their quality. The cut in cost is the main reason for them to opt for coworking space and another reason is the hassle-free shift, which means focus on business from day one,” Mathur said.
Companies such as EY, Thomson Reuters, Star India, Rolls Royce India, Google India, Verifone, Deutsche Bank, BOI, Louis Vuitton,etc, among others, are running offices from coworking spaces. These companies have utilised office space available at premium coworking options to maintain their class.
LC Mittal, Director, of Motia Group, said "With time, the trend of coworking spaces has been increasing and it has now altogether become another segment in the realty market. In India, coworking spaces are generally considered as hub for startups, though the statement is partially true. MNCs and well-established enterprises while opening their branches in tier-II and tier-III cities do prefer coworking/shared spaces, being it very cost effective and free from any hustle. Buying or leasing any office space in a different city not only involves cost but also requires manpower for the maintenance. With coworking spaces being fully equipped and efficient, it becomes really easy for a person to just plug in their laptops and focus on work."
When a company wants to start a small branch office in city with two-three employees, taking an entire office space on rent does not make any sense, coworking spaces provide convenience, save cost, and quality, said Dushyant Sinha, Director at DigiComm Marketing Services LLP.
"We are a Delhi/NCR-based company and we expanded our presence in other cities like Chandigarh, Mumbai, Lucknow with 2-3 employees. Since we were expanding the team size can increase or decrease in a short period of time and so as our requirements. Buying or leasing office space in a different city not only involves cost but also requires manpower for maintenance. With Co-Working spaces being fully equipped and efficient, it becomes really easy for a person to just plug in their laptops and focus on work", Sinha said.