The business world is changing. More and more startup companies are sprouting up every day. Uber, Instagram, Indiegogo, Spotify, Hootsuite, Weebly, and Duolingo are all examples of places that started out as small startups with big ideas and an unconventional way of achieving their goals. Another thing all of these companies have in common is that they all used coworking spaces coworking spaces in their early stages. Why did each of these tech giants choose to work in shared spaces? Here are a few reasons why shared spaces go hand in hand with startups:

Creative Environment

There are so many different types of startup companies out there, but they all have one thing in common: a desire for innovation. It makes sense that so many of the most successful startup companies chose an office environment that reflects that. Coworking spaces allow people to move around to different areas while they work. Most people would find it hard to be creative or innovative from behind the grey walls of a cubicle. There are private areas for when an employee wants to zone out and focus, and even open spaces for groups of people to brainstorm and bounce ideas off of each other. Don’t underestimate the advantage of working in an environment that was designed to encourage creativity and productivity.

Cost Effective

Whether or not a startup becomes successful is dependent on a lot of factors. One of the biggest factors startups have to consider is financial planning. In the early stages of a company, when the future isn’t quite as predictable, it’s important to make smart decisions with funding and save money where you can. Having everyone work from home is one way to cut back on costs. Unfortunately, it’s often a way to cut back on productivity as well. Coworking is the perfect middle ground between working from home, and having to rent office space. It’s cost effective, but still requires employees to come into work, which encourages productivity.

Networking opportunities

Something else all startups have in common is that meeting new people is essential. Any person you exchange business cards with could end up being your next employee, collaborator, or even investor. Coworking spaces provide an aspect of networking that renting an office just can’t give you. It offers the opportunity to network with people who are both motivated and creative thinkers. Open areas are great places to meet people you can discuss ideas with. You never know when you’re about to meet someone who could end up bringing your business to the next level.

Startups are run by people who make bold choices and aren’t afraid to do things a little differently. Wasting money on an office that’s too big for your needs isn’t necessary anymore. Instead, coworking is a smart business decision that pushes your company forward by inspiring innovation. To read more about how to select the perfect coworking space, check out our free eBook “What to Look For in a Co-working Space”