coworking business plan example

Business Plan Checklist for Your Coworking Space

The coworking industry is becoming a lucrative worldwide phenomenon , and now is the perfect time to break into the business. And as COVID-19 induced lockdowns and social distancing hopefully become a thing of the past, remote workers will be looking to find ways to connect with like-minded individuals now more than ever. A coworking space is a perfect place to do that!

Below, we've put together a step-by-step checklist to help you envision, assemble, and scale your own unique space. Whether you're brand new to the industry or you already know the ropes, you can use these tips to improve efficiency, define your brand and strengthen your space's community.

Looking for our full coworking space business plan?

We offer a comprehensive guide to operating a coworking space. Download it free here .

1. Define Your Vision

Why do you want to open the new space? To make a living? To cross-finance your own startup? To create a national coworking chain? To help your local community?

All are valid answers, but this important first step will help define your entire strategy. You will have to adapt your strategy over time, but your vision should stay intact to make sure your brand is consistent and your members feel valued. Take WeWork for example. Their initial vision — to create spaces for people to come together and innovate — still hasn't changed, even as their business has scaled up .

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2. Solve a Specific Problem

There needs to be a niche for your new coworking business, and thankfully there are plenty of options available. Maybe your area has a high demand for coworking spaces beyond coffee shops and libraries. Maybe the existing spaces in your area are too focused on one type of worker. On the other hand, maybe the other spaces around you are too broadly focused.

You're now in the business of problem-solving, so starting with a focus and expanding from there should be your main goal. For example, Google started out as a simple search engine that used links to determine the importance of individual pages on the internet. Today, they still dominate their niche, but they also offer dozens of services on top of that: Think products and services include mail, calendars, maps, and even phones. To create something bigger, you need to begin with one small thing. Start by analyzing your competitors and conducting a competitive analysis .

3. Define Your Space

Envision your target market's dream coworking environment . Is your space a premium facility for companies or an affordable solution for freelancers? Is your primary audience big business or small teams? Will your facility integrate with your city's business environment through events and partnerships, or will it be an independent space open to anyone?

Answering these questions will help you more easily plan out your membership pricing, amenities, marketing, and location. Being generic doesn’t cut it in the coworking market. Think deeply about how to stand out against the rest and add value to your new space.

4. List Your Business Goals

This is the tough work that will help you the most in the long run. If your space is fully leased, plan out the number of desks you can offer and monetize. Shoot for using 30 to 40 percent of your total space as desk space. Then, use this figure to calculate how much revenue your space can generate, including comparing the number of hot desks against the number of permanent desks.

Start to formulate a financial plan for your vision. Use our very own free financial ramp-up calculator to get started. The next step is to think about goals further down the line. When will you break even? How much revenue will you generate? How much turnover do you expect? Which amenities and cosmetic choices can you afford?

Now think about the investment you'll need. This includes set up costs, like furniture and internet service; opening costs, like a launch event; and ongoing operations, like maintenance and salaries. There are more costs than you might initially imagine, so research more with coworking guru Alex Hillman's online guide .

Additionally, you should define your value proposition, cost structure, revenue streams, customer segments, key channels, and marketing strategy. You'll need to know these answers inside and out.

Preview of our coworking revenue forecast tool

5. Pick Your Team

Every great business starts with a great team . Consider every side of the plan: a technology expert, an operations manager, and a marketing person are essential, whether you hire them, do those jobs yourself, or outsource to freelancers.

Similarly, you’ll need to look into real estate partners, investors, and other day-to-day employees to round out your core group. A solid team will increase your space's value and pave the way for future growth.

6. Coworking Business Model

What is your unique selling point what value do you bring.

Do you offer lots of space for large teams to rent out, or individual desks to pay for by the hour? Do you offer bare-bones facilities like wifi and a seat at a desk, or cold brew on tap and gym access? You should always aim to offer the work necessities that aren’t available in free spaces like coffee shops: printers, reliable high-speed internet, writing utensils, scanners, and other office supplies. You may want to cater to a specific industry, like offering a space where entrepreneurs can network and bounce ideas off of each other. Are you geared towards providing networking opportunities, or a quiet space for optimal productivity? Or do you cater to bigger clients who want more private meeting spaces or long-term rentals? The answers to all of these questions will begin to define how you sell your space.

Who is your audience?

Are you catering to individuals, businesses, or both? How will you accommodate those who will stop in sporadically versus members who need a steady 9-5 workspace? Will you lease specific desks and offices or just grant people entry as needed? Are there entire floors that companies can rent out, or private meeting spaces for remote teams? Or maybe you don’t exist in a physical place but are more of a club? These parameters will help you think about what type of space you should occupy.

If you’re offering a space primarily for people to meet outside of the usual 9-5, maybe you operate out of a building that is in use only outside of normal business hours, like a restaurant or church. If you’re catering more to the 9-5 crowd, think about how you can utilize your space outside of business hours. Perhaps you’ll host nighttime events like book readings or networking cocktail hours. Maybe you’ll cater to parents by offering childcare or irregular hours.

What are your revenue streams?

Most revenue will come from membership fees, but those can take several forms. You can have members pay monthly or annually, or charge hourly for the use of workspace. You can offer both hot desks, which can be rented out for specific times, and dedicated desks, where a member can leave their things and return at their leisure. A mix of both will ensure you’re filled to maximum capacity. Also consider offering corporate memberships, which can be a great way to get tons of people in the door and allow companies to extend perks to remote teams.

You can also bring in revenue through amenities like a cafe, and build different levels of membership based on these smaller perks. For example, a higher-tier member might get unlimited coffee, free guests, or free access to events.

Another popular revenue stream for coworking space is something called a “virtual office,” in which startups or remote teams pay for a business address where they can send and receive packages, even while working from a different place, like their homes.

What are your marketing strategies?

A good marketing strategy is key to getting your coworking space off the ground. It’s also highly connected with who your audience is. You may run advertisements on local news or in niche magazines that cater to your audience. You should definitely have an attractive website and a strong social media presence. Many places find success in offering perks to existing members for referring friends.

Try and get creative! Can you work with influencers that your audience might follow? Should you have a booth at industry fairs, or offer freebies to those passing by at a local farmers market or on a busy street?

What partnerships can you form?

To get off the ground, many coworking spaces rely on investors. They provide an initial revenue stream and source of capital, plus they provide a networking tool that can be sold to members. If your coworking space hosts a number of entrepreneurs or start-ups, you may want to consider offering to connect them with your investor for a small fee.

Think about smaller-scale partnerships as well, such as different local businesses and entrepreneurs you can collaborate with. Perhaps a local coffee shop would be interested in opening a cafe in your space, or a local restaurant could offer customers special discounts. You could offer members discounts at a nearby gym, or host instructors for fitness classes right in your coworking space.

If you plan on hosting events, begin to compile a shortlist of people who would make a good fit. Are there local entrepreneurs who could give an inspiring talk, or authors who might draw a crowd? Perhaps artists would be interested in having their work on display, or a local library could sponsor a small lending library in your space.

7. Coworking Business Model Template

There are tons of helpful coworking business model canvases out there that are helpful to estimate your startup costs, brainstorm partnerships, cater towards your target audience, and build your business. You can save this checklist, as well, to help you start planning your space.

Target Audience : Who is your dream client? Who do you wish to attract?

Partners: Will you be looking for investors? Who will be your internet service provider? Will you partner with local businesses, or bring in local experts for events?

Added Value: What’s your selling point? A quiet space for remote workers to use instead of a home office? Networking opportunities? Speakers and events?

Key Resources: What do you need to be successful? An entire building or just an open floor? Wifi? Cold brew? Fax machines?

Advertising: How will you spread the word? Through local businesses, social media, billboards, or word of mouth?

Key Activities: What will your space be used for? Workspace for startups? Collaboration for entrepreneurs? Events open to the whole community?

Revenue Streams: Will membership fees be fixed or will there be different plans? Will you recruit investors? How many hot desks versus conference rooms? Will you charge a fee for events?

Customer Segments : What different customers do you hope to attract? Freelancers? Remote workers? Entire companies?

Download this Coworking Space Business Model Canvas today and start planning!

Remember: This is a broad overview. While these are some of the main questions you'll need to address when shaping your business plan, there will be plenty of other things to evaluate more in-depth. We've collected a more extensive overview of how to launch and run a coworking space in 2021 with our updated guide, which you can download for free .

And get excited! Coworking is showing signs of massive growth, and this is your chance to improve the world of business while setting yourself up for success.

Carlo Belloni

Carlo is the Project Manager and SEO Specialist at Kisi.

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Coworking Space Business Plan Template

Written by Dave Lavinsky

Coworking Space Business Plan

You’ve come to the right place to create your Coworking Space business plan.

We have helped over 1,000 entrepreneurs and business owners create business plans and many have used them to start or grow their Coworking Space companies.

Below is a template to help you create each section of your Coworking Space business plan.

Executive Summary

Business overview.

Work Together is a new coworking space located in Las Vegas, Nevada. The space will provide a comfortable and clean setting for professionals of all industries to work in. Professionals who are interested in renting our offices can rent a private office, conference room, or a shared space depending on their needs. They can also rent offices by the day or at a monthly rate. No matter the type of office they rent or the length of their lease, all of our clients are guaranteed a clean, respectful, and professional setting for them to work in.

Work Together is led and founded by Dustin James. Dustin has been a commercial broker for ten years, and has seen an increasing demand in flexible coworking spaces. Since this is an increasing need in a world that is offering more remote and flexible working options, Dustin has decided to specialize in leasing coworking spaces to meet the working needs of the professionals and entrepreneurs of the Las Vegas area.

Product Offering

Work Together provides several offices for professionals to work in. Clients who are interested in renting our offices, can rent private offices, conference rooms, or shared spaces. They can also rent these spaces at a daily rate or monthly rate, depending on their needs.

Customer Focus

The clients of Work Together are typically business owners, investors, business executives, and realtors seeking flexible work spaces. Some clients will just need space for themselves, while others will need space for a small team of up to 15 people. Work Together will offer a variety of office space options to satisfy this diverse demographic.

Management Team

Success Factors

Work Together will be able to achieve success by offering the following competitive advantages:

Location: Work Together’s location is near the center of town and is convenient to access for all commuters and nearby residents. It’s visible from the street with many working professionals walking to and from work on a daily basis, giving passersby a direct look at our offices.
Client-oriented service: Work Together will have a full-time assistant to primarily keep in contact with clients and answer their everyday questions.
Management: Dustin has been extremely successful working in the real estate sector and will be able to use his previous experience to better assist his clients. His unique qualifications will serve customers in a much more sophisticated manner than Work Together’s competitors.
Relationships: Having lived in the community for 25 years, Dustin knows many of the local leaders, newspapers and other influences. Furthermore, he will be able to draw from his ties to the community in order to build up a list of loyal and satisfied clients.

Financial Highlights

Work Together is currently seeking $500,000 to launch. The capital will be used for funding capital expenditures and location build-out, hiring initial employees, and working capital. Specifically, these funds will be used as follows:

Office Design/Build: $200,000
Marketing and Advertising: $50,000
Inventory and Supplies: $50,000
Three Months Of Overhead Expenses (Rent, Salaries, Utilities): $100,000
Working Capital: $100,000

The following graph outlines the pro forma financial projections for Work Together.

Company Overview

Who is work together.

Work Together History

Dustin incorporated Work Together as an S-Corporation on May 1st, 2023. The company is currently being run out of Dustin’s home office but will move to a commercial location once the lease has been finalized. Dustin has also identified several office locations to lease and turn into coworking spaces.

Since incorporation, Work Together has achieved the following milestones:

Found a location for the main office and signed a letter of intent to lease it.
Developed the company’s branding image, social media, and website.
Began recruiting key staff.

Work Together Services

Industry analysis.

The evolution of the coworking space concept has grown exponentially over the past ten years. According to Mordor Intelligence, over the next five years, the coworking space industry will grow at a CAGR of 11%. Several factors will contribute to this growth, as industry reports suggest:

Higher costs associated with land acquisition and building
Higher costs for individual office build-outs
Higher costs for building materials overall
Increased demand for “team or group community spaces”
Increased purpose in resource “sustainability”
Increased goal to minimize expenditures across the board

At the same time, as noted by Work Together, the coworking space will need to innovate more spatial designs and layouts for teams or groups that require collaboration. The team or group concept is now dominating the business world and it is anticipated that it will continue to do so for many years to come.

Customer Analysis

Demographic profile of target market.

The clients of Work Together are typically business owners, investors, business executives, and realtors seeking flexible work spaces in the Las Vegas area. Some clients will just need space for themselves, while others will need space for a small team of up to 15 people. Work Together will offer a variety of office space options to satisfy this diverse demographic.

The demographics of Las Vegas, Nevada are as follows:

Customer Segmentation

Work Together will primarily target the following customer profiles:

Entrepreneurs
Remote workers
Small teams and companies

Competitive Analysis

Direct and indirect competitors.

Work Together will face competition from other companies with similar business profiles. A description of each competitor company is below.

King & Hartfield Group

King & Hartfield is a commercial broker that designs coworking spaces for small and large organizations. These rentals are on an annual basis, and they rarely allow for monthly or temporary leases. Since many professionals and teams need accommodations that are more flexible than this, we expect many local professionals to seek out our more flexible lease options.

Clarkson Coworking Connections

Clarkson provides temporary coworking offices for professionals who only need to rent offices for a few days or weeks at a time. They are specifically designed for entrepreneurs, artists, and others who only need a private space for temporary projects. Since Clarkson Coworking Connections does not offer more permanent services, many professionals and teams will seek out our offices for monthly or annual rentals.

Moss & Associates

This company has been in existence for five years and has created a short list of successful coworking space build outs. The company does not design or build out space for more than six people, working from the platform that too many people in community spaces are not beneficial to their clients. Given this limit, Work Together is positioned to succeed in the larger projects and teams that need coworking accommodations.

Competitive Advantage

Work Together offers several advantages over its competition. Those advantages are:

Marketing Plan

Brand & value proposition.

Work Together will offer the unique value proposition to its clientele:

Quiet and clean office spaces
Affordable daily and monthly rates
Client-focused services, where the company’s interests are aligned with the customer
Service built on long-term relationships and personal attention

Promotions Strategy

The promotions strategy for Work Together are as follows:

Social Media

Dustin James will create the company’s social media accounts and invest in ads on all social media platforms. The company will use targeted marketing to appeal to our target demographics.

Work Together will develop a professional website that showcases pictures of the office spaces we provide. It will also invest in SEO so that the company’s website will appear at the top of search engine results.

Billboard Advertising

We will drive attention toward Work Together by leasing a billboard alongside major highways. Advertising on heavily traveled commute routes is an opportunity to alert large numbers of individuals who are in need of flexible working options.

Publications

The company will also invest in advertising in selected local and national publications such as professional magazines, newspapers, and other publications to build brand awareness and draw in new customers.

Work Together will charge moderate rates for its coworking spaces so clients feel they are getting a great value when renting out our offices.

Operations Plan

The following will be the operations plan for Work Together. Operation Functions:

Dustin James will be the President of Work Together. He will oversee the general operations of the organization, rent out offices to clients, and hire and train all staff. Over the next several months, Dustin will focus on hiring the following staff:
A full time Administrative Assistant who will manage the company website and listings and assist clients with their questions and concerns.
A Director of Marketing who will run and manage all marketing and advertising efforts.
Janitorial staff to ensure that the offices are in clean and perfect condition every day.

Milestones:

Work Together aims to achieve the following goals in the next six months.

6/1/202X – Finalize lease agreement
7/1/202X – Design and Build Out Underway
8/1/202X – Design and Build Out Completed
9/1/202X – Hire and Train Staff
10/1/202X – Grand Opening
11/1/202X – Reach Break-Even

Financial Plan

Key revenue & costs.

The key revenues for Work Together will come from charging clients for the offices they rent from us.

The major cost drivers include labor expenses, cleaning expenses, rent, utilities, supplies, and marketing expenses.

Funding Requirements and Use of Funds

Key assumptions.

The following table outlines the key assumptions required in order to achieve the revenue and cost numbers in the financials and pay off the business loan.

Number of clients per month:
Year 5: 100
Annual lease: $150,000

Financial Projections

Income statement, balance sheet, cash flow statement, coworking space business plan faqs, what is a coworking space business plan.

A coworking space business plan is a plan to start and/or grow your coworking space business. Among other things, it outlines your business concept, identifies your target customers, presents your marketing plan and details your financial projections.

You can easily complete your Coworking Space business plan using our Coworking Space Business Plan Template here .

What are the Main Types of Coworking Space Businesses?

There are a number of different kinds of coworking space businesses , some examples include: Industry specialized coworking space, Business incubator, Private coworking space, and Open coworking space.

How Do You Get Funding for Your Coworking Space Business Plan?

Coworking Space businesses are often funded through small business loans. Personal savings, credit card financing and angel investors are also popular forms of funding.

What are the Steps To Start a Coworking Space Business?

Starting a coworking space business can be an exciting endeavor. Having a clear roadmap of the steps to start a business will help you stay focused on your goals and get started faster.

1. Develop A Coworking Space Business Plan - The first step in starting a business is to create a detailed coworking space business plan that outlines all aspects of the venture. This should include potential market size and target customers, the services or products you will offer, pricing strategies and a detailed financial forecast.

2. Choose Your Legal Structure - It's important to select an appropriate legal entity for your coworking space business. This could be a limited liability company (LLC), corporation, partnership, or sole proprietorship. Each type has its own benefits and drawbacks so it’s important to do research and choose wisely so that your coworking space business is in compliance with local laws.

3. Register Your Coworking Space Business - Once you have chosen a legal structure, the next step is to register your coworking space business with the government or state where you’re operating from. This includes obtaining licenses and permits as required by federal, state, and local laws.

4. Identify Financing Options - It’s likely that you’ll need some capital to start your coworking space business, so take some time to identify what financing options are available such as bank loans, investor funding, grants, or crowdfunding platforms.

5. Choose a Location - Whether you plan on operating out of a physical location or not, you should always have an idea of where you’ll be based should it become necessary in the future as well as what kind of space would be suitable for your operations.

6. Hire Employees - There are several ways to find qualified employees including job boards like LinkedIn or Indeed as well as hiring agencies if needed – depending on what type of employees you need it might also be more effective to reach out directly through networking events.

7. Acquire Necessary Coworking Space Equipment & Supplies - In order to start your coworking space business, you'll need to purchase all of the necessary equipment and supplies to run a successful operation.

8. Market & Promote Your Business - Once you have all the necessary pieces in place, it’s time to start promoting and marketing your coworking space business. This includes creating a website, utilizing social media platforms like Facebook or Twitter, and having an effective Search Engine Optimization (SEO) strategy. You should also consider traditional marketing techniques such as radio or print advertising.

How to Write a Winning Coworking Business Plan

So often we see aspiring coworking owners and operators looking to start their business without a good understanding of the coworking business model or how their space is going to reach and maintain profitability.

Creating a business plan before you go on the journey of starting a coworking space is the best way to map out your business strategy and how you intend on making money as a business.

A well-crafted business plan can help guide decision making and give you the confidence you need to succeed. Of course plans can always change, but having a strong starting point is critical to success.

In this guide, we’ll go through what a coworking business plan is, why you need one, and how to create a plan that covers all your bases. By the end of this article, you’ll have everything you need to be successful in crafting a comprehensive business plan.

What is a coworking business plan?

A coworking business plan is a document that outlines exactly how you will start your coworking space and create a sustainable and profitable business. If you are applying for a loan or looking to receive funding, then a business plan is not just a formality, it’s a necessity.

Even if you aren’t looking for funding , a business plan is a good way of getting your thoughts together and making sure you have a viable business long before opening your doors or securing your location.

Benefits of a well-crafted coworking business plan

In short, having a business plan for your coworking space gives you a greater chance of overall success. Creating a business plan before opening your coworking space is needed to:

Get a loan or receive funding
Guide short-term and long-term strategy
Help you make important business decisions

Here is another way of looking at it. Let’s say Steve wants to start a coworking space. He finds a property to rent in his area and starts building out the space. He looks at some of the other coworking spaces in the area and uses it to inform what he offers and how he prices it. He opens his doors a year later and…crickets.

Because Steve didn’t have a business plan in place, he did not consider:

Who he is targeting
Whether this location is a good right fit for his market
If the products he is offering are interesting to his target audience
How he will acquire his first members
If the cost of his services are be enough to be profitable on a monthly, quarterly, or annual basis

It may feel like having a business plan isn’t necessary, especially for small or rural spaces , but as you can see, it’s easy to get off track and make the wrong decisions without a solid plan of action in place.

You don’t just need a plan when starting a business however. You’ll also want to consider creating a business plan when you are looking to grow or expand your coworking business , as your business needs may change slightly from when you first opened your space.

What are the components of a business plan for a coworking space business?

Now that you understand the importance of having a strong business plan in place, let’s take a look at the components that make up the best coworking business plans.

Business plans are generally pretty standard, regardless of the industry. The typical components are:

Executive Summary: summary of the document in its entirety
Company Description: description of your company including the mission statement and objectives
Market Analysis: write-up of the market, both local and more broadly
Competitive Analysis: deep dive into your competitors, both local and more broadly
Description of Management and Organization: outline your team and how the organization will operate together
Breakdown of your Products and Services: description of what you will be selling
Marketing and Sales Strategy: how you plan to market your space and acquire customers
Financial Projections: a breakdown of your finances and your path to profitability
Fundraising Strategy/Sources: how you will fund your business

Each section is roughly 1-3 pages long (remember, more does not necessarily equal better). When writing your plan, optimize for clarity and completeness, while still being concise. This article from Harvard Business Review is an excellent guide to creating a general business plan that can be applied to many different industries. Let’s take a look at each section below and how it relates specifically to coworking.

Women working on laptops in a coworking space

How to write a coworking business plan

Below we’ll break down each aspect of a business plan and how it applies specifically to your coworking space.

1. Executive Summary

The executive summary is a one-page overview that summarizes your entire business plan at a high level. It should cover who you are, the business you’ll be creating, how you’ll make money, and all other elements of the plan at large.

Focus on creating impactful sections across the board, and then come back to your executive summary at the end. Much like an introductory paragraph of an essay, it will be easier to write an executive summary at the very end.

2. Company Description

Think of your company description as the “About” page of your business plan. Here, you’ll describe your:

Mission Statement

Why are you starting your coworking space? What do you hope your space will be able to achieve in the broader community? Consider your purpose for creating the space and weave it into your mission statement.

For Jason Jet, Founder at Grindhaus Studios , his mission is to give artists the tools and access they need to be able to scale what they do in an economical way. This guides how he makes all major decisions for his business.

If you’re a brand new space, the history of your company may cover your personal resume and the skills you’ve acquired that will help you be successful in your role as a coworking space owner and operator.

If you’re expanding your business, then the history will cover the history of your business up to that point, including all major milestones and successes.

Consider this section an opportunity to build the confidence needed to be successful in your business.

The biggest difference between your mission statement and your objectives is: your mission statement maps out why you do what you do, and the objectives map out what you hope to accomplish on a more tactical level.

Let’s take Jason as an example. If his mission statement is to give artists the tools they need to be successful, then his objective would be to create the number one coworking space for musical artists in the United States.

Overall, keep your company description clear and concise, and don’t get bogged down in the details. The mission statement could be two or three lines, and the history and objectives can easily be addressed through bullet points or brief paragraphs.

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3. Market Analysis

Your market analysis will outline key facts and findings about the coworking market you’ll be playing in, including the local market and the coworking sector more broadly.

This is a very important step in creating your coworking business strategy, and something that you will want to do regardless of if you are creating a business plan or not. Here are some tips for completing a thorough market analysis of the coworking market:

Look for reports from reputable sources in the industry, such as the Deskmag annual Global Coworking survey , to get important facts and figures related to the industry
Find communities online, like the We Run Flex community , where people are discussing coworking trends and challenges on an individual level
Talk to operators and gauge their experience and perspective on the industry to inform your findings

Some important elements to talk about are the growth of the market, current overall trends, and your target customer and how you came to that conclusion.

For example, based on your market analysis, you found that remote workers are making up 20% of coworking space occupants with that number expected to increase. Therefore, you intend to target your coworking space towards remote workers in your area.

Another tip for this section (and your business plan overall) – support all facts and findings with credible sources. If ever a question on where a number comes from pops up, be sure you are able to back it up.

4. Competitive Analysis

The competitive analysis of your business plan breaks down the competitors in your market. You’ll want to focus specifically on coworking spaces and flexible workspaces in the area where your business will be located, as well as broader competitors that may be a potential threat.

Let’s say Georgia is opening a coworking space in her home town of Vancouver. In her competitive analysis, she’ll want to mention all of the coworking spaces in Vancouver and how she will differentiate herself, as well as large coworking brands that are expected to move into Vancouver in the near future.

Your competitive analysis is ultimately about mapping out how exactly you will win in comparison to the spaces you’re going up against.

It’s worth mentioning that many coworking space owners and operators don’t like to think of themselves as having “competitors”. It is true that collaboration can (and does) exist in the coworking sector. However, understanding the other coworking spaces in your area is critical to understanding the viability of your business and should not be overlooked.

5. Description of Management and Organization

The description of management and organization section is an opportunity to describe the team of people you will have working with you, with a focus on their credibility and why they will help you be successful.

For many just starting off in the world of coworking, they may be a team of one or two. If that is the case, it’s worth mentioning how you will ensure success in your space in the absence of a larger team.

This could be a good opportunity to mention the coworking technology you will use to help you streamline operations and manage your space. Optix coworking software helps reduce overhead and take care of many of the day-to-day operations so that you’re able to operate a leaner team.

Integrating with an automated access control system like Kisi means you could have an even smaller team overall. This section would be a great opportunity to expand into these details, especially if you plan on operating as a small organization.

6. Breakdown of Your Products and Services

In your Products and Services breakdown, you’ll want to describe the products or services you’ll be offering in your space. For coworking businesses, this may look like:

The core products you’ll offer ( hot desking , drop-ins, private offices, virtual offices)
Other additional services ( childcare , marketplace, etc.)
Amenities you’ll offer in your coworking space
Opportunity for after hour event rentals or events in your coworking space

Finding the right mix of products to drive profitability in your space can be a challenge for new operators. We always recommend approaching it from a point of experimentation, starting with some kind of offering, and iterating on it from there.

We also have a comprehensive guide to coworking membership plans you can offer in your space if you’re looking for inspiration on what kinds of plans to offer and how to price them. All of this will be helpful in determining the breakdown of your products and services in your business plan.

7. Marketing and Sales Plan

Investors want to know you have a plan to promote your business. This section should outline the marketing channels you’ll plan to use and give a high-level overview of your overall customer acquisition strategy.

Marketing your space is a beast in and of itself, with a lot of pieces to figure out. We wrote a comprehensive guide to marketing your coworking space that includes 23 marketing ideas for you to refer to. Use this as a starting point.

Keep in mind that your marketing strategy should be centered around your customer – who they are, what messaging will resonate with them, and where you can reach them online and in-person. With your customer at the center of the experience, you won’t go wrong.

8. Financial Projections

Create a clear and accurate picture as to how much revenue you think you will be able to generate in your first years of business. The reality is, an investor will want to see opportunities for growth with your coworking business , so make sure your numbers are increasing, while remaining realistic.

Revenue projections is an imperfect science, but there are good places to start. The Coworking Growth Calculator by Coworking Resources can help you in creating some realistic financial projections, while giving you a better idea as to how much you can expect to make from your space.

9. Fundraising Strategy/Sources

Finally, the last section of your business plan is dedicated to how you will fund your coworking space.

If you have received any funding up to this point, you’ll need to disclose the information for transparency. If you are seeking funding, use this section as an opportunity to outline your strategy including how much you are seeking.

A business plan can be a powerful tool in growing a successful coworking space. However, they will only get you so far. This article does a great job at outlining the pros and cons of business plans if you’re curious on what your plan can (and can’t) do for you.

Remember, the success of your business will ultimately come down to the execution and implementation of your plan. Don’t treat your business plan like an end-all be-all. We’ve seen a wide variety of clients succeed after changing their plan significantly. Execution is the name of the game when it comes to growing a successful business, and it’s best not to lose sight of this.

Tips for writing a business plan for a coworking space

Ready to get started with crafting the perfect business plan? Follow these tips to ensure you create a cohesive plan for your coworking space from start to finish.

1. Always start with your research

The research you do around the market and your competitors should be the basis of your entire business strategy. You can’t know where to open and who to target without understanding the market first.

Be sure to answer some or all of these questions before beginning your business plan.

Market Research:

What is the size of the market?
What is the growth trajectory?
What are trends in the industry?
What is the primary demographic that it serves?

Competitor Research:

Who are your direct competitors?
How big are they (number of members, locations and revenue)?
Who do they serve?
What is their messaging and positioning?
How do they differentiate themselves?

There are many ways to go about conducting research, as we discussed above. Coworking Resources also has a comprehensive guide on how to conduct a competitive analysis specifically in the coworking industry that serves as a great reference if you’re looking for a framework to start off with.

2. Crowdsource knowledge from the community

The wonderful thing about the coworking community is how willing people are to share their knowledge with one another.

If you’re feeling lost on where to start with your business plan, consider reaching out to a coworking operator who has opened a successful space in the past. This can give you a sense of how to approach the project.

You can also look at other successful coworking businesses and take inspiration from them as to their:

Business model
Marketing tactics
Products and services

Every space is different, but gathering insight from other coworking spaces that have been successful can be a great place to start.

3. Think about who is receiving the business plan and what is important to them

As you go through the process of creating a business plan, you may find yourself becoming unfocused and unsure how to edit your information.

Put yourself in the shoes of who is going to be receiving your plan. Who are they? What do they care about? What information are they hoping to receive from your document?

Use this to help tailor your coworking business plan to fit their specific needs.

Pay special attention to the things that are going to drive business results including:

Market research (is there room in the market to be successful)
Competitor research (how saturated is the space and how will you differentiate yourself)
Products and services (what is your business model and how will it generate revenue)
Financial projections (is your business able to grow and scale over time)

Read your entire business plan from start to finish through the eyes of who it is intended for before submitting it.

4. Be conservative with your numbers

It’s easy to get excited with your numbers. You need to show that your business is going to succeed and you want the numbers to back it up.

The problem with overestimating these numbers is that it can set you up for a tremendous amount of stress later on if your business fails to meet expectations.

It’s best practice when creating a business plan to always be conservative with your numbers and remain realistic in your expectations. This includes:

Financial forecasts
Market size

This article outlines ten common mistakes people make when creating a business plan, including being unrealistic with numbers and forecasts.

It’s always better to underpromise and overdeliver rather than the opposite.

5. Set measurable objectives

Goals and objectives are an integral part of any business. Throughout your business plan, you will want to make sure you are creating clear KPIs and objectives to drive your business forward.

One way of creating measurable objectives is by following the SMART goal framework. SMART goals are goals that are:

Specific (narrow enough to be achieved)
Measurable (quantitative)
Attainable (realistic in the given time frame)
Relevant (furthers your overall business goals)
Time-based (can be measured in an amount of time)

Here’s how to apply the SMART goal framework to your coworking business plan.

Marketing Objective: Acquire 50 new hot desking users in the first 6 months
Management Objective: Hire a part time community manager in the first 60 days of opening

Measurable goals can help move your business forward and ensure you’re staying on track to achieve them.

Plan for success with your coworking business

At the end of the day, a plan will only get you so far. Focus on executing on the plan and remaining flexible in order to ensure you’re giving yourself the greatest opportunity to succeed.

Looking to start a coworking business? Don’t miss out on these 15 essential costs of starting a coworking space. Want to learn more about Optix and how it can help you start your coworking business? Connect with a member of our team today.

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The Ultimate Guide to Crafting a Winning Business Plan for Your Coworking Space

This means writing down a detailed business plan is vital for both your team and outside investors looking to finance your coworking space. In this article, we’ll go over the essential topics your coworking business plan must cover and give you an outline for structuring the document in a logical way.

First, let’s start with a quick overview of business plans.

Business Plans 101 (High-Level Outline Template)

A business plan is a document describing how you plan to start, grow, and manage a business.

You can think of it as a high-level road map that shows where your business is today, where it will go, and how you plan to get it there.

There are tons of useful resources online on how to write a business plan, so we won’t reinvent the wheel here. You can check out QuickBooks’ guide to writing business plans , which proposes a 10-step structure:

Executive summary , which is a one-page overview of the business.
Company description , which includes things like history, objectives, and mission statement.
Market research and potential , which describes your target market, including things like names, demographic info, location, company size (for B2B), and so on. When it comes to naming your coworking space, check out this article on some creative coworking space name ideas .
Competitive analysis , which identifies other businesses selling similar goods or services to your target market.
Product or service description , which explains what you’re planning to sell, how it works, and its unique benefits.
Marketing and sales strategy , which goes over how you plan to get your product or service to your target market and convince them to buy.
Business financials , which can include a whole host of documents like income statements, balance sheets, cash flow statements, and so on.
Organization and management , which lays out your organizational structure and key role inside your company.
Funding requests, which is an optional element for companies looking to raise funds.
Appendix for official documents , which can be all sorts of documents useful to potential investors, like patents, certificates, deeds, licenses, and so on.

This outline can be a good starting point for any organization looking to build a business plan. In the next sections, we’ll cover 6 topics that are specific to coworking spaces and should be heavily featured in your business plan .

#1 Target Market and Differentiators

Your coworking business plan should answer two key questions near the start:

Who’s your target market? For example, some coworking spaces focus on enterprise businesses looking for stable, long-term offices. Others target startups that need a small office and a meeting room but have the potential to expand rapidly.
What differentiators are going to attract customers from that market to your space? This typically starts with location . Are you going to be near the city center, with lots of amenities nearby, or in a more quiet and secluded suburban area? If you want more details, we have an entire guide on how to choose the right location for your space. Amenities and price can also be additional differentiators.

#2 Main Coworking Product Mix

Your coworking product mix is made up of the products you sell.

As we said in our article on creating a strong product mix , new coworking spaces should focus on three main products:

Open spaces
Private offices
Meeting rooms

It’s important for your business plan to establish what percentage of the space will be allocated to each product . Additionally, it should also include information about how much you plan to charge for them and why.

For example, desks in open spaces may be available for rent on a pay-as-you-go basis, while private offices should be included in membership plans. Meeting rooms can also be included in membership plans or be available for rent by the hour.

#3 Extra Revenue Generators

The bulk of your revenue typically comes from your main product mix. However, there are also plenty of ways to add extra revenue streams.

For example, you can diversify your regular membership plans and charge more for them based on 24/7 access, for example. Or, you can create virtual memberships for businesses that want to establish a legal presence and get a reliable correspondence address.

You can also consider a host of value-added services to help you generate more revenue like:

Secure lockers
Half-day or day passes
Mailroom services
Office relocation services
Printing and copying services
Custom office design, and more

For more details on this topic, check out our article on generating more revenue for your coworking space .

#4 Marketing and Sales Plan

Once you’ve established your revenue generators, it’s time to get into the details of how you plan to get customers through the door.

Here are some of the key questions you’ll need to answer here:

Which marketing channels do you plan to use and why? This typically includes a mix of physical and digital touchpoints, like word of mouth, flyers, social media ads, and search engine optimization (SEO).
How much will it cost for you to attract one customer (CAC)? CACs are highly dependent on the channel, so you’ll need to run a few initial tests before you can answer this one.
How much will you earn from one customer over their lifecycle with your brand (CLTV)? You can break this down by customer segments, e.g., freelancers, startups, and enterprise companies. Keeping a pulse on your CLTV will also help you refine your ideal target persona over time.
How much will you spend on marketing and sales every month? This is usually a pretty straightforward calculation if you have a few months of experience under your belt.

If you’re just getting started and don’t have any experience with marketing and sales, check out our article on the 14 proven strategies for attracting more coworking space members .

#5 Expenses

For most coworking spaces, the biggest recurring expense is the monthly lease (except for operators using management agreements ).

You also want to include other key costs here, such as:

Space maintenance
New purchases (desks, chairs, etc.)

#6 Revenue and Cost Projections

The goal of listing your revenue generators and expenses is to get a good idea of how much revenue you’ll need to cover your costs and turn a profit.

For instance, say you have $5000 of regular expenses every month. Your projections should show how long it would take for revenue to reach and surpass that number. This is perhaps the most important part of any business plan, especially if you’re looking to attract outside investors.

In general, it’s better to be conservative than to set unrealistically high expectations and fall way below them . It’s also a good idea to factor in some unexpected expenses in your calculations.

For example, if your regular expenses are $5000, you want to reach $5500-6000 of monthly revenue before considering the space profitable on a monthly basis.

This coworking revenue calculator is a useful resource for projecting profits and losses, as well as building charts for investor decks.

Establish and Grow Your Coworking Space with OfficeRnD’s Flex Startup Program

Writing a business plan is only one step in building a successful coworking space. You also need to find the right location, promote your space, and before everything else, choose the right coworking management software .

To help you out, we created the OfficeRnD Flex Startup program . It’s geared towards aspiring flex and coworking entrepreneurs and offers an attractive 20% annual discount on OfficeRnD Flex’s startup plan .

Apply for the Flex Startup program here.

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Coworking Space Business Plan Essentials

Starting a coworking space can be an incredibly rewarding endeavor, but it’s not without its challenges. Before you take the plunge, it’s essential to have a solid business plan in place. This step-by-step checklist will help you get started.

Click here to download a free business plan template.

1. Define Your Business Model

Think about what kind of coworking space you want to create and what services you’ll offer. Ask yourself:

What services are you offering? (e.g., hot desking, private offices, meeting rooms, event space)
Who’s your target market? (e.g., freelancers, startups, remote workers, small businesses)
What does your pricing model look like? (e.g., membership fees, hourly rates, monthly packages)

These are a few of the components that will make up the foundation of your coworking space business plan. As you learn more about the market and what works for your particular niche, you can revisit it and make updates as needed.

2. Do Your Research

Now that you’ve defined your business model, it’s time to do some research. This step is all about understanding the market for coworking spaces and getting a better sense of the competition. Since some spaces will have different demands in different markets, you need to make sure there is a market need for what you offer.

Additionally, you need to understand your target customers and what they’re looking for in a coworking space. Here are some specific research tasks you should consider.

Market Analysis

First, look at the bigger picture to help understand the overall trends in the coworking industry. Then you can overlay those trends on your local market to get a better sense of what’s happening in your area.

While local trends often follow national trends, there can be significant variation from one city to the next, especially if your city offers something unique that’s appealing to coworking space users.

Competitor Analysis

Once you understand the general trends in the coworking industry, it’s time to take a closer look at your local competition. This will help you know what’s already being offered in your area and where there might be gaps in the market that you can fill.

For example, maybe you’ve noticed that there are no coworking spaces specifically targeting freelancers, but there’s a large population of freelancers nearby. If that’s the case, you could consider catering your space toward that segment of the market.

Customer Analysis

In addition to understanding your competition, it’s also essential to understand your target customers, including their needs, wants, and pain points. One of the best ways to do this is to reach out directly to your target market and ask them about their coworking experiences.

You can do this through surveys, interviews, or focus groups geared toward:

Needs : These are the basic requirements your target market has for a coworking space. For example, they might need a place to work outside of their home with reliable Wi-Fi and a comfortable chair.
Wants : These are the things that would make your target market’s coworking experience even better. For example, they might wish for a space close to public transportation with a kitchen where they can make their own food.
Pain points : These are the things that make your target market’s current coworking experience less than ideal. For example, they might be unhappy with the noise level or the lack of privacy.

By understanding your target market’s needs, wants, and pain points, you’ll be able to create a coworking space that’s tailored to them and meets their specific needs.

3. Assemble Your Team

No business can succeed without a great team in place, and your coworking space is no exception. As you start to put together your team, it’s important to keep your target market in mind. For example, if you’re targeting freelancers, you might want to hire a freelance accountant to help with the financial side of things.

You should also consider the skills and experience of your team members. As another example, if you’re planning to offer coworking memberships to small businesses, you might want to hire someone with experience in business development or sales.

These are all critical questions to answer as you assemble your team. By taking the time to find the right people and put together a strong team, you’ll be setting yourself up for success.

4. Create a Budget

Now that you understand the market and what your target customers are looking for, you can start putting together a budget . This will help you know the estimated costs of starting and running your coworking space. Some of the necessary expenses you should consider include:

Rent or mortgage

5. Membership Fees

Once you’ve calculated all of your costs, you can decide how much you’ll charge for your space. You’ll need to ensure your prices are high enough to cover your expenses and leave you with a profit, but not so high that people are deterred from joining.

There are different ways you can approach this. You might want to offer different membership levels, such as a basic membership that gives access to the space during business hours or a premium membership that includes access to the area 24/7.

You may also want to consider discounts for longer-term memberships or people who sign up for multiple memberships. For example, you could offer a 10% discount for six-month memberships and a 20% discount for 12-month or more memberships.

Keep in mind that as you add more tiers, you will have more billing and invoices to keep track of. Therefore, you will need a management software that can handle billing and payments seamlessly. No matter how complex your pricing model is, a software like CoWello automates payment collection for you.

6. Marketing

You’ll need to market your coworking space to attract customers and grow your business. The cost will vary depending on the type of marketing and how much you spend. For example, if you plan to do a significant amount of online marketing, you might want to invest in a website and pay for online advertising.

Your marketing efforts will also vary depending on who your target audience is. Start by identifying your ideal customer and then craft your marketing message accordingly. For example, maybe you’ve realized there is a market for coworking spaces that offers services like childcare or pet-sitting. In that case, you want to make sure your marketing and messaging reflect that.

7. Use Technology to Make Your Life Easier

There are a lot of different software programs and apps that can help you run your coworking space more efficiently. For example, you might use an app to manage membership fees and bookings or help with marketing and promotion.

You can also use technology to make it easier for people to find and book your space. For example, you might use coworking space management software like Cowello to help manage bookings and payments.

You might also want to invest in some security cameras and access control systems to help you keep an eye on your space and make sure only members have access.

Starting a coworking space can be a great way to bring people together and create a community. But it’s important to remember that it’s also a business, and you need to treat it as such.

Do your research, create a solid business plan, and price your membership fees correctly. If you do all of these things, you’ll be well on your way to running a successful coworking space.

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How to Create a Coworking Space Business Plan

Blog > how to create a coworking space business plan, table of content, introduction:, i. understanding the rise and advantages of coworking spaces, ii. conducting market research and analysis, iii. defining your mission, vision, and value proposition, iv. developing your business model and revenue streams, v. selecting the perfect location and facilities, vi. crafting an effective marketing and sales strategy, vii. streamlining operations and management, viii. financial projections and funding, ix. navigating legal and regulatory requirements, x. mitigating risks and fostering sustainability, xi. building a vibrant coworking community, conclusion:, our other categories.

Business Plan 101
Company Valuation
Pitch Deck Essentials
Raising Capital
Startup Guide

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Are you considering venturing into the thriving world of coworking spaces? A well-crafted business plan is the foundation for success. Welcome to Stellar Business Plans , your trusted startup consultant service provider. In this comprehensive guide, we’ll walk you through the process of creating an effective business plan for your coworking space venture. Let’s explore the essential steps and strategies to ensure your coworking space stands out in the competitive market.

Coworking spaces have experienced exponential growth, with a 43% increase in the number of spaces worldwide in the last two years alone. As the modern workforce seeks flexible work arrangements, coworking spaces offer numerous advantages, such as:

Increased Productivity: Studies show that 68% of people experience improved focus in coworking environments. The collaborative atmosphere and the absence of traditional office distractions contribute to enhanced productivity levels.

Enhanced Networking Opportunities: 82% of coworkers report expanding their professional network since joining a coworking space. The diverse community of professionals allows for organic networking, collaborations, and potential business partnerships.

Cost-effectiveness: Coworking spaces can save businesses up to 25% on operational costs compared to traditional office spaces. Shared resources and flexible membership plans provide cost-efficient solutions for businesses of all sizes.

Before diving into your business plan, understanding your target market and competitors is crucial. Conduct thorough market research to:

Identify Your Ideal Members: Determine your target demographic, such as freelancers, startups, remote workers, or specific industries. Consider their unique needs and preferences to tailor your offerings.

Analyze the Demand for Coworking Spaces in Your Chosen Area: Evaluate the local market demand for coworking spaces. Consider factors such as the concentration of businesses, freelancers, remote workers, and the overall economic climate.

Evaluate Competitors’ Offerings and Pricing: Conduct a comprehensive analysis of existing coworking spaces in your target location. Assess their strengths, weaknesses, pricing models, amenities, and marketing strategies.

To differentiate your coworking space and attract members, craft a compelling mission, vision, and value proposition:

Mission Statement: Our mission at Stellar Coworking is to provide an inspiring and collaborative environment that empowers our members to thrive in their professional endeavors. Our passion for fostering innovation and creativity drives our commitment to excellence.

Vision Statement: Our vision is to build a diverse community of innovators, fostering creativity and driving growth in every industry we serve. We aspire to be the go-to destination for professionals seeking a supportive and inspiring coworking ecosystem.

Value Proposition: Stellar Coworking offers a modern and fully-equipped workspace with tailored services to meet the unique needs of our members, enabling them to focus on what truly matters – their success. Our community-driven approach, state-of-the-art facilities, and vibrant events create a dynamic space for collaboration and personal growth.

Choose the right business model and explore additional revenue streams beyond memberships:

Business Model: Opt for a membership-based model with flexible plans to cater to different needs and budgets. Consider offering part-time or virtual memberships to accommodate various work styles.

Revenue Streams: In addition to membership fees, explore other revenue streams to enhance your coworking space’s financial sustainability. These may include:

Event Space Rentals: Offer your space as a venue for corporate events, workshops, seminars, and networking functions.

Meeting Room Bookings: Provide well-equipped meeting rooms for rent on an hourly or daily basis.

Value-Added Services: Consider providing add-on services such as printing and copying facilities, mail handling, virtual office solutions, and administrative support.

Collaborative Partnerships: Form strategic alliances with local businesses, professional associations, and educational institutions to expand your network and generate additional revenue through mutual referrals and collaborative events.

The location and facilities can significantly impact your coworking space’s success:

Location: Choose a convenient and accessible location that aligns with your target market’s needs. Consider proximity to public transportation, major business districts, dining options, and other amenities that appeal to your potential members.

Facilities: Offer essential amenities that enhance productivity, comfort, and convenience for your members. Consider providing:

High-Speed Internet: A reliable and high-speed internet connection is a fundamental requirement for modern professionals.

Comfortable Seating and Workstations: Ergonomic furniture and spacious workstations contribute to a productive and comfortable work environment.

Private Offices: For businesses or individuals requiring more privacy and dedicated workspace, private offices are a valuable offering.

Meeting Rooms: Equipped meeting rooms with audiovisual capabilities are essential for hosting professional meetings and client presentations.

Kitchenette and Refreshment Area: A well-stocked kitchenette with complimentary coffee, tea, and snacks creates a welcoming atmosphere.

Common Areas: Create communal spaces where members can relax, collaborate, and socialize.

Design and Layout: Thoughtful interior design and layout play a significant role in enhancing the overall coworking experience. Consider incorporating vibrant colors, natural lighting, and flexible spaces that encourage interaction and creativity.

To attract potential members and convert leads, create a robust marketing and sales plan:

Marketing Plan: Utilize digital marketing channels, including social media platforms, SEO-optimized content, and email marketing campaigns, to reach your target audience effectively. Share engaging content that showcases your coworking space’s unique features, events, and member success stories.

Branding and Visual Identity: Develop a distinctive brand identity that reflects the ethos of your coworking space. Consistent branding across all marketing collaterals, including website, brochures, and signage, helps build brand recognition.

Website Optimization: Design a user-friendly and visually appealing website that provides essential information about your coworking space, membership plans, facilities, and upcoming events. Incorporate a seamless booking system to enable potential members to schedule tours or sign up for memberships easily.

Content Marketing: Leverage content marketing to establish your authority in the coworking industry. Publish informative blog posts, e-books, and video content that address common challenges faced by professionals and highlight the benefits of coworking.

Social Media Engagement: Engage with your audience through social media platforms. Respond promptly to comments, share member testimonials, and promote upcoming events and promotions.

Email Marketing Campaigns: Build an email list and nurture leads through targeted email campaigns. Send personalized invitations to events, exclusive membership offers, and newsletters with valuable insights.

Referral Programs: Implement a referral program that incentivizes current members to refer new members. Offer rewards such as discounted membership fees or exclusive access to premium amenities for successful referrals.

Collaborative Events: Organize industry-specific workshops, networking events, and webinars that align with your target market’s interests. Collaborate with local businesses or industry experts to host events that add value to your coworking community.

Local Partnerships: Forge partnerships with nearby businesses, co-working spaces, or local organizations to cross-promote services and expand your reach within the community.

Testimonials and Case Studies: Showcase success stories and testimonials from satisfied members. These authentic experiences can help build trust and credibility among potential members.

Efficient operations and management ensure a seamless coworking experience for members:

Organizational Structure: Establish a clear organizational structure, defining roles such as community manager, operations manager, and marketing manager. Each role should be dedicated to fostering member engagement, managing day-to-day operations, and promoting the coworking space.

Staffing and Training: Hire qualified staff and provide comprehensive training to ensure excellent member support. Encourage staff to be proactive in addressing member needs and inquiries promptly.

Member Onboarding Process: Design a streamlined onboarding process to welcome new members and familiarize them with the coworking space’s facilities, policies, and community events.

Membership Management Software: Implement an efficient membership management software system to automate billing, track membership data, and provide members with a self-service portal.

Health and Safety Measures: Prioritize the health and safety of members by adhering to relevant health guidelines and implementing safety protocols. Display health and safety measures prominently to instill confidence among members.

Feedback and Satisfaction Surveys: Regularly collect feedback from members to gauge satisfaction levels and identify areas for improvement. Implement feedback-driven changes to enhance the overall coworking experience.

Prepare realistic financial projections and explore funding options for your coworking space:

Startup Costs: Calculate startup expenses, including real estate, furniture, marketing, staff salaries, and operational costs. Research local market rates to estimate initial investments accurately.

Financial Projections: Create detailed financial projections for the first three to five years of operation. Forecast revenues, expenses, and profits based on membership growth, pricing strategies, and market trends.

Budget Allocation: Allocate financial resources strategically across various areas, such as marketing, facility maintenance, staff training, and community events.

Funding Sources: Consider various funding options to secure the necessary capital for your coworking space:

Personal Savings: Invest personal savings to kickstart your coworking space venture.

Bank Loans: Apply for business loans from banks or financial institutions with favorable terms and interest rates.

Angel Investors: Seek investment from angel investors who align with your vision and can offer expertise and mentorship.

Venture Capital: Approach venture capital firms that specialize in supporting coworking and real estate ventures.

Crowdfunding: Launch a crowdfunding campaign to raise funds from a large pool of potential investors.

Ensure compliance with legal and regulatory obligations:

Legal Entity: Register your coworking space as a legal entity, such as an LLC or corporation, to protect your business and personal assets. Consult legal experts to determine the most suitable legal structure for your venture.

Permits and Licenses: Obtain necessary permits, business licenses, and safety certifications required to operate a coworking space. Comply with zoning regulations and building codes to avoid legal complications.

Insurance Coverage: Secure comprehensive insurance coverage to protect your coworking space from unforeseen events, liability claims, and property damages.

Membership Agreements: Draft clear and comprehensive membership agreements that outline terms, policies, and member responsibilities. Seek legal advice to ensure that the agreements are legally binding and enforceable.

Data Protection and Privacy: Prioritize data protection and privacy by implementing secure data storage systems and adhering to relevant data protection regulations.

Identify and manage potential risks while fostering sustainability:

Risk Assessment: Analyze potential risks, such as market fluctuations, competition, member retention challenges, and economic downturns. Develop contingency plans to address these risks effectively.

Business Continuity Plan: Create a business continuity plan that outlines steps to manage crises and ensure the uninterrupted operation of your coworking space during emergencies.

Sustainability Initiatives: Implement eco-friendly practices to appeal to environmentally conscious members. Consider incorporating energy-efficient lighting, recycling programs, and eco-friendly office supplies.

Green Certifications: Pursue green certifications such as LEED (Leadership in Energy and Environmental Design) to demonstrate your commitment to sustainability and attract environmentally conscious businesses.

Nurturing a supportive community can enhance member satisfaction and retention:

Networking Events: Host regular networking events, workshops, and industry-specific sessions to encourage collaboration and knowledge-sharing among members. Invite industry experts and thought leaders to facilitate engaging discussions.

Social Activities: Organize team-building activities, social gatherings, and themed events to strengthen connections within the community. Celebrate milestones and member achievements to foster a sense of belonging.

Coworking Memberships: Offer various coworking membership options, such as dedicated desks, hot desks, private offices, and virtual memberships, to cater to diverse work preferences and budgets.

Flexible Working Hours: Accommodate members with flexible working hours by offering 24/7 access to your coworking space or extended operating hours.

Member Involvement: Encourage member involvement in shaping the coworking community. Consider establishing a member advisory board to gather feedback and ideas for enhancing the coworking experience.

Online Community Platform: Create an online platform, such as a member portal or a private social network, where members can interact, share insights, and collaborate virtually.

Creating a successful coworking space business plan requires meticulous planning, in-depth research, and a deep understanding of your target market. With Stellar Business Plans as your consultant service provider, you can craft a compelling business strategy that aligns with your vision and attracts a thriving coworking community. Embrace the dynamic coworking industry, and let your Stellar Coworking Space shine as a beacon of productivity, collaboration, and success.

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Updated On : August 11, 2023

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BusinessPlanTemplate.com - The World's Leading Business Plan Template Directory

Coworking Space Business Plan Template [Updated 2024]

Coworking Space Business Plan Template

If you want to start a coworking space business or expand your current coworking space business, you need a business plan.

Fortunately, you’re in the right place. Our team has helped develop over 100,000 business plans over the past 20 years, including thousands of business plans for coworking spaces.

The following coworking space business plan template and example gives you the key elements you must include in your plan. In our experience speaking with lenders and investors, the template is organized in the precise format they want

You can download our Business Plan Template (including a full, customizable financial model) to your computer here.

I. Executive Summary

Business overview.

[Company Name] was started ten months ago to meet the surging demand for flexible, comfortable and reliable coworking office space. Several businesses in the regional area have been seeking coworking space locations for over a year; however, most are already in use. With this in mind, [Company Name] was formed by [Founder Name], [Founder Name] and [Founder Name] to meet these specific office space needs.

[Founder Name] and [Founder Name], licensed commercial real estate brokers, began to hear the same questions repeatedly from their corporate clients during this past year: Should we take a 5-year lease on office space in a building? Should we take the risk of buying land and building our offices? Do any of our employees need an isolated workspace? Will groups or teams collaborate frequently on various projects? Will projects be analyzed by individuals or research and development teams? Answers to these questions have highlighted the critical need for the plan and leasing program we’ve developed: flexible, comfortable and reliable coworking space for everyone.

The changing nature of our economy today calls for companies to consider the use of assets wisely as they determine the type of office building or workspace that best suits their needs. One of the largest overhead costs is that of office space, particularly when land must be purchased and a building raised. Our clients recognize that their assets can be put to better use in other areas, such as innovation, technology and company growth overall. With this understanding, [Company Name] has been recently established as the new leader of coworking spaces that actually work.

Within the next 5 years, we fully anticipate perfecting and polishing our working model, adding amenities as we listen to client needs. At that time, our long-term plans include creating a franchise opportunity for buyers across the US to adopt the consummate coworking space business model found in [Company Name].

Services & Products Offered

At [Company Name] our process begins with finding the perfect location for our clients. We then secure the lease or oversee the purchase of the workspace. Our next steps include: surveying employees (to determine their needs/wants), building spaces to maximize comfort, allotting community spaces for team collaboration, and building out fixtures, furnishings and any office amenities, such as a kitchen or exercise room.

In a recent study by Grand Canyon University, almost 84% of people who are situated in coworking spaces report a very high degree of satisfaction with their working conditions when their employer has addressed their needs. This is why [Company Name] offers workspaces that are conducive to high productivity and a valuable degree of community, as we meet the needs of employees.

Customer Focus

The clients of [Company Name] are typically business owners, investors, business executives, and realtors seeking work spaces for 10-50 workers. They are focused on placing employees in the best environment available to encourage high-performance team production.

The clients of [Company Name] also recognize the wants and needs of their employees, so they may also seek full kitchens and workout rooms in addition to coworking spaces. [Company Name] strives to maximize their investment, whether by buying or leasing, by ensuring that production remains high and team enthusiasm matches production.

The demographics of current and potential clients within the US include:

Over 1 million business owners looking for coworking spaces
Almost 2 million employees currently work in coworking spaces
Over 58,000 investors are looking to invest in coworking spaces

Management Team

[Founder Name], [Founder Name] and [Founder Name] have been working together within the commercial real estate industry for over ten years.

[Founder Name] and [Founder Name] began working together as commercial real estate brokers ten years ago and [Founder Name] completed their circle of success as an escrow officer specializing in commercial building and leasing. This background of compatible roles has created the basis for our clients’ trust and confidence. We have created [Company Name], a profitable company, within the past six months that proves our company motto: Coworking Space Works .

Success Factors

[Company Name] can point to two highly-successful projects that have already been completed profitably within the past six months:

The Hillside Project, for a twenty-employee human resource management firm, became the cornerstone of our success. [Company Name] successfully provided coworking space and sound-proof partitions for the employees, with a kitchen area added as an employee bonus.
[Company Name] developed a conjoined space, The Broadstone Building, for our second client with equal success. A ten-person team of engineers was positioned strategically within a twenty-person programming group. The collaboration of the combined team has already produced stellar results for our client. In lieu of this success, our client has requested that [Company Name] assist with another large coworking space project.

Financial Highlights

In light of our early and profitable success, [Company Name] is currently seeking $280,000 to meet growth expectations. Specifically, these funds will be used as follows:

Working capital: $180,000 for 2 additional commercial real estate brokers and 1 administration director for a period of one year
3D printer and CAD program for design and development plans: $100,000.

Top line projections over the next five years are as follows:

II. Company Overview

Who is [company name].

[Company Name] was started ten months ago to meet the surging demand for flexible, comfortable and reliable coworking office space. Several businesses in the regional area have been seeking coworking space locations; however, none are available. With this in mind, [Company Name] was formed by [Founder Name], [Founder Name] and [Founder Name] to meet these specific office space needs.

The changing nature of our economy today calls for companies to consider the use of assets wisely as they determine the type of office building or workspace that best suits their needs. One of the largest overhead costs is that of office space, particularly when land must be purchased and a building raised. The clients of [Company Name] recognize their assets can be put to better use in other areas, such as innovation, technology and company growth overall. With this understanding, [Company Name] has been recently established as the new leader of coworking spaces that actually work.

[Company Name]’s History

The history of [Company Name] began informally long before the company was actually formed. The founders of the company, [Founder Name, Founder Name and Founder Name] noticed about ten years ago that commercial real estate clients began to question the wisdom of buying land and building offices for employees. They began to question more recently about the availability of coworking space for their employees. This line of questioning became the dominant request of all clients. Ten months ago, [Company Name] was formed as a C corporation to provide the answers.

[Company Name]’s Products/Services

[Company Name] is engaged in proactively finding the best employee coworking spaces available. This is our primary service. From there, [Founder Name] begins the escrow or leasing process and the final contracts are signed, typically within one month.

[Founder Name] and [Founder Name] then determine the best layout, design and style for the build out of the property and oversee the implementation of the coworking plan. Within a few short months, the employees of clients are situated comfortably in their new coworking space.

The combined elements offered by [Company Name] include:

Superior property acquisition or leasehold
Accurate escrow and documentation processes
Proper space and environment designs
Build out of all spaces, including amenities
Timely execution of the plan according to client needs

All of the above services and products contribute to the ongoing growth and success of [Company Name].

III. Industry Analysis

The evolution of the coworking space concept has grown exponentially over the past ten years. Over the next five years, the CAGR reports growth in the coworking space industry will be at 17.5%. Several factors will contribute to this growth, as industry reports suggest:

Higher costs associated with land acquisition and building
Higher costs for individual office build-outs
Higher costs for building materials overall
Increased demand for “team or group community spaces”
Increased purpose in resource “sustainability”
Increased goal to minimize expenditures across the board

At the same time, as noted by [Company Name], the coworking space will need to innovate more spatial designs and layouts for teams or groups that require collaboration. The team or group concept is now dominating the business world and it is anticipated that it will continue to do so for many years to come.

IV. Customer Analysis

Demographic profile of target market.

[Company Name] is initially serving regional clients in the area within one hundred miles of the city location. However, [Founder Name, Founder Name, and Founder Name] see the vast potential in creating a profitable franchise opportunity to be applied anywhere in the US. [Company Name] sees a long-term strategy in this offering to come.

[Company Name] serves executives, business owners, real estate brokers and investors, who are seeking to adapt current properties or invest in new ones that offer coworking spaces. The largest market is found in investors, who see the potential for profit:

Current global demographics suggest 24M coworking space opportunities by 2024, which translates into a need for properties and those who invest in them.
Because of the high rate of growth in the coworking space arena, the need for investments and land acquisitions will continue to build in the foreseeable future.

Future franchising opportunities may include investments that begin at [Company Name] in the land acquisition stage and continue through to additional elements of building, thus adding another layer of profitability to franchising.

Customer Segmentation

Clients of [Company Name] include primary and secondary targets:

Primary Client Base:

Business owners
Corporate executives

Secondary Client Base:

Commercial real estate brokers
Commercial real estate developers
Commercial real estate builders
Coworking space franchisees

V. Competitive Analysis

Direct & indirect competitors.

King & Hartfield Grouop – direct competitors Although considered a direct competitor sharing in a similar business, King & Hartfield does not design coworking spaces. All models or build-out plans are purchased from a repository held by furnishing companies that create designs for coworking spaces. There are 11-12 plans from which clients must choose in order for King & Hartfield to provide build outs and other processes. [Company Name] creates each build out plan and design on a custom basis for our clients.

Clarkson Coworking Connections – indirect competitors Clarkson provides their lists of available coworking personnel with jobs that are situated in coworking spaces. This is done in an attempt to place suitable personnel in coworking situations that may be familiar, albeit uncomfortable or noisy.

Moss & Associates – direct competitors This company has been in existence for 5 years and has created a short list of successful coworking space build outs. The company does not design or build out space for more than 10 people, working from the platform that too many people in community spaces are less beneficial overall than those that may house only 5 or 10 people. Given this limit, [Company Name] is positioned to succeed in the larger projects requiring more accommodations and, thus, larger revenues and gains.

Competitive Advantage

[Company Name] holds several compelling advantages over competitors, listed as follows:

A decade of experience in commercial real estate by [Founder Name], [Founder Name] and [Founder Name] adds a unique, definable value to [Company Name]. Having sold over 36M in land and properties, the founders are fully experienced in buying and leasing of commercial properties.
The scope and purpose of each client’s plan is another competitive advantage for [Company Name]. Each coworking space is custom-designed, measured for space allowances, fit with furnishings and brought through to completion on time. No other coworking space business can make this claim.
The founders of [Company Name] are building today on a long-term strategy for tomorrow: franchising the current design-and-build model throughout the US by 2025.

VI. Marketing Plan

The [company name] brand.

[Company Name] displays a motto, “Coworking that Works,” which expresses the brand strategy for the company. Many of the coworking spaces that have been built do not offer a comfortable, noise-free environment; [Company Name] does.

Each customized plan for our clients is designed for comfortable, reliable and noise-reduction partitions. Included in each plan are community spaces for collaboration-in-comfort , another pivotal point in our brand strategy overall.

Promotions Strategy

[Company Name] targets all real estate brokers, investors, corporate executives and owners within the 100-mile radius of our location. The use of several mediums is involved on an on-going basis because our primary customer segments are differentiated: some traditional, some stuck on social media, others uninterested unless a direct mail piece is delivered. For these reasons, [Company Name] uses every resource to build interest and promote the company:

Social Media [Company Name] currently buys monthly media spots and call-outs; as business grows, this effort will increase. The emphasis will be on the experience of the founders, the unique nature of the company processes, and the availability of speed and customization for clients.

Public Relations [Company Name] uses the services of Carmichael Public Relations to put out quarterly press releases and garner blog and press spots for the founders. Social Media marketing is included on a case-by-case basis, depending on the project involved.

Website Although most clients review [Company Name] by Google results, this company does maintain an interactive website with videos that demonstrates our abilities in designing, building, furnishing and customizing coworking spaces for our clients.

National and International Conferences The National Board of Commercial Real Estate Brokers holds two conferences yearly. The founders of [Company Name] are pursuing speaking opportunities at both.

Investor Dinners [Company Name] invites 10-12 investors to attend gourmet dinners with others in the community and the founders of our company to highlight our focus on quality and customization for coworking spaces. This results in new and strengthened relationships that result in investments in [Company Name].

Corporate Owners & Executives Tours From time to time, as determined by the founders,the [Company Name] will host a tour of featured coworking spaces that are known for quality, design and beauty. These tours will be at the expense of [Company Name], however they result in high-end sales and repeat business with our primary clients.

Coworking Space Trade Shows [Company Name] has participated in one major US trade show and will participate in the next annual trade show again. This puts [Company Name] into the industry headlights and allows the founders to highlight their successes and unique models for success. Within the next few years, franchise opportunities will be offered at the trade shows, as well.

Pricing Strategy

[Company Name] wasn’t founded to be a bottom-of-the-barrel coworking space facilitator, but a company that listens and acts at the direction of our clients. Each project is customized and profitability is secured by the land or building acquisition process, number of employees, spatial needs, environment qualifiers, decor and furnishing choices. The desires of our clients and their budgets are set prior to the inception of any project.

VII. Operations Plan

Functional roles.

Although already seeing successes, [Company Name] needs to fill additional roles within [Company Name]. Filling these roles will assist in the short-term and long-term goals of our company:

Administrative Functions

Administrative Director

Sales & Marketing Functions

Commercial real estate brokers (2)

VIII. Management Team

Management team members.

[Company Name] is registered as a C Corporation with the founders, [Founder’s Name], [Founder’s Name] and [Founder’s Name] as shareholders. [Founder’s Name] holds 51% of the private stock, [Founder’s Name] holds 31% of the private stock, and [Founder’s Name] holds 18% of the private stock.

[Founder’s Name] brings over ten years of commercial real estate knowledge and experience to the role of President and CEO of [Company Name]. His role is to plan and execute the long-term strategy of franchising and to encourage investors in the company by selling limited shares of stock in the franchising model, as agreed upon. He holds a Master’s Degree in Business Administration from Purdue University.

[Founder’s Name], Director of Sales and Marketing, is also a commercial real estate broker, and has a wealth of knowledge in coworking spaces, as her former brokerage concentrated on the sale of property for the building of coworking spaces. She brings managerial experience and oversight to [Company Name]. She holds a platinum key from Real Estate Brokers of America and a Bachelor’s Degree in Business Administration.

[Founder’s Name], the Director of Finance, is a real estate escrow officer, with an in-depth knowledge and experience in this role and brings years of association with him into [Company Name] as a result of his many contacts. He graduated with a Bachelor’s Degree in Accounting from Northwestern University.

Hiring Plan

A major factor in seeking funding is that of increasing sales and marketing personnel. The current hiring plan includes hiring two experienced commercial real estate brokers to add to our team at [Company Name]. This will accelerate growth further and faster in proportion with our short-term and long-term goals.

Additionally, one Administrative Director will be hired within the next six weeks to oversee the current office and administrative personnel. The Administrative Director will be under the supervision of [Founder’s Name], the accountant and Director of Finance.

IX. Financial Plan

Revenue and cost drivers.

Revenue for [Company Name] will exceed expenses in approximately six months if the current marketing and sales plan is placed into motion.

Major sources of revenue include:

Profit generated from brokerage of properties
Profit generated from customized plans for coworking spaces
Profit generated from furnishings and decor
Profit generated from additional build out and amenities as requested

Major Cost Drivers include:

Costs associated with brokerage of properties
Costs associated with design plans and coworking space needs
Costs associated with 3D printing and CAD extensions
Costs associated with furnishing, decor and additional amenities
Costs associated with overhead; capital expenditures

Capital Requirements and Use of Funds

[Company Name] is seeking $280,000 in funding to add personnel to the administrative and sales team within the next six weeks. The capital expenditures will amount to $180,000 in funding.

The additional funding request will be allocated to an oversized 3D printer with multiple properties for design printing to create prototypes. In addition, CAD programs to extend the abilities of our designers are needed. Together these expenditures will amount to $100,000.

Key Assumptions

5 Year Annual Income Statement

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Here is a free business plan sample for a coworking space.

Are you considering launching a coworking space and seeking guidance on how to structure your business plan?

In the content that follows, we will present you with a comprehensive sample business plan tailored for a coworking space.

Creating a solid business plan is crucial for any aspiring entrepreneur. It serves as a roadmap, outlining your vision, objectives, and the strategies you'll employ to carve out your niche in the competitive world of shared workspaces.

To craft a compelling plan with ease and precision, you're invited to utilize our coworking space business plan template. Additionally, our team of experts is available to review and refine your plan at no extra cost.

How to draft a great business plan for your coworking space?

A good business plan for a coworking space must reflect the unique aspects of this type of business.

To start, it is crucial to provide a comprehensive overview of the coworking industry. This includes offering up-to-date statistics and pinpointing emerging trends in the coworking sector, as illustrated in our coworking space business plan template .

Then, you need to articulate your business concept effectively. This encompasses your vision, identifying your target market (such as freelancers, startups, remote workers, or small businesses), and the distinctive features of your coworking space (modern design, networking opportunities, niche focus, etc.).

The subsequent section should delve into market analysis. This requires a thorough understanding of local demand, the competitive landscape, and the preferences of potential members.

For a coworking space, particular emphasis should be placed on the services and amenities you plan to provide. Detail the variety of workspaces - open desks, private offices, meeting rooms - and explain how they cater to the needs and work styles of your target clientele.

The operational plan is equally important. It should outline the location of your coworking space, the layout of the work and communal areas, technology infrastructure, and the management of day-to-day operations.

For a coworking space, it is vital to highlight the quality of the work environment, the robustness of the IT infrastructure, and the community-building activities.

Next, tackle your marketing and sales strategy. How will you draw in and keep members? Consider promotional tactics, membership benefits, and additional services (like workshops, events, or consultancy).

Online strategies, such as a professional website or an active social media presence, are also crucial in the digital age.

The financial framework is another fundamental component. This includes the initial investment, revenue projections, operational expenses, and the point at which the business becomes profitable.

In a coworking space, revenue streams can be diverse, so it is essential to plan carefully and have a solid grasp of your financials. For assistance, you can refer to our financial forecast for a coworking space .

Compared to other business plans, a coworking space plan must pay special attention to aspects such as the real estate market, the flexibility of membership plans, and the creation of a strong community culture.

A well-crafted business plan will not only help the entrepreneur to define their vision and strategies but also to attract investors or secure loans.

Lenders and investors are looking for comprehensive market research, realistic financial projections, and a clear understanding of the daily operations of a coworking space.

By presenting a thorough and substantiated plan, you showcase your credibility and dedication to the success of your venture.

To achieve these goals while saving time, you can simply fill out our coworking space business plan template .

A free example of business plan for a coworking space

Here, we will provide a concise and illustrative example of a business plan for a specific project.

This example aims to provide an overview of the essential components of a business plan. It is important to note that this version is only a summary. As it stands, this business plan is not sufficiently developed to support a profitability strategy or convince a bank to provide financing.

To be effective, the business plan should be significantly more detailed, including up-to-date market data, more persuasive arguments, a thorough market study, a three-year action plan, as well as detailed financial tables such as a projected income statement, projected balance sheet, cash flow budget, and break-even analysis.

All these elements have been thoroughly included by our experts in the business plan template they have designed for a coworking space .

Here, we will follow the same structure as in our business plan template.

Market Opportunity

Market data and figures.

The coworking space industry has seen a surge in popularity, particularly in the wake of changing work patterns.

Recent studies have valued the global coworking space market at approximately 26 billion dollars, with projections indicating continued growth as the gig economy expands and corporations adopt more flexible work arrangements.

In the United States alone, there are over 5,000 coworking spaces, contributing significantly to the economy by providing entrepreneurs, freelancers, and businesses with flexible workspaces.

These statistics underscore the integral role coworking spaces play in today's work environment and their growing economic impact.

The coworking industry is characterized by several key trends that reflect the evolving nature of work.

Hybrid work models are becoming the norm, with a blend of remote and in-office work that supports flexibility and work-life balance. This has led to an increased demand for coworking spaces that offer a professional environment close to home.

There is also a rise in niche coworking spaces catering to specific industries or communities, fostering networking and collaboration among like-minded professionals.

Technology integration is crucial, with high-speed internet and state-of-the-art office equipment becoming standard offerings in coworking spaces.

Additionally, there is a growing emphasis on creating spaces that promote well-being, with ergonomic furniture, natural lighting, and greenery.

Finally, the importance of community building through events, workshops, and social gatherings is a significant trend, as these activities add value to the coworking experience and help retain members.

Success Factors

Several factors contribute to the success of a coworking space.

Location is paramount, as spaces situated in accessible, vibrant neighborhoods are more attractive to potential members.

The design and functionality of the space are also critical, with a need for a variety of work areas, including private offices, open desks, meeting rooms, and lounge areas to cater to different work styles and preferences.

Community engagement is another key element, as fostering a sense of community can differentiate a coworking space and encourage member retention.

Offering flexible membership plans that cater to varying needs, from daily passes to long-term leases, can also be a decisive factor in attracting a diverse range of members.

Lastly, maintaining a high level of customer service and providing members with the resources and support they need to be productive are essential for the long-term success of a coworking space.

The Project

Project presentation.

Our coworking space project is designed to cater to the evolving needs of freelancers, entrepreneurs, and remote workers seeking a professional and collaborative work environment. Strategically located in an urban center with easy access to public transportation, our coworking space will offer a variety of workspaces, including private offices, open desks, meeting rooms, and lounge areas, all equipped with high-speed internet and modern office amenities.

The emphasis will be on creating a dynamic, inspiring, and community-driven atmosphere that fosters networking, productivity, and creativity among its members.

This coworking space aims to become a hub for innovation and collaboration, providing a flexible and cost-effective alternative to traditional office leasing, and supporting the growth and success of its diverse member base.

Value Proposition

The value proposition of our coworking space project is centered around offering a flexible, modern, and community-focused workspace solution. We provide a variety of membership options tailored to the unique needs of individuals and teams, ensuring that our members have access to the resources they need to thrive.

Our commitment to fostering a collaborative environment, coupled with our state-of-the-art facilities, offers a unique blend of productivity and networking opportunities, while also promoting a healthy work-life balance.

We are dedicated to building a diverse and vibrant community where members can connect, share ideas, and grow their businesses, and we aim to empower our members by hosting workshops, events, and mentorship programs.

Our coworking space aspires to be more than just a place to work; it aims to be a catalyst for professional development and a cornerstone of the entrepreneurial ecosystem in the area.

Project Owner

The project owner is an experienced entrepreneur with a passion for fostering business growth and community engagement.

With a background in business development and a keen understanding of the challenges faced by today's workforce, he is committed to creating a coworking space that stands out for its commitment to flexibility, innovation, and community.

Driven by a vision of creating a supportive environment for entrepreneurs and remote workers, he is determined to offer a space that not only meets the practical demands of modern professionals but also nurtures the spirit of collaboration and continuous learning.

His dedication to excellence and his entrepreneurial spirit make him the driving force behind this project, aiming to revolutionize the way people work and connect in a shared space.

The Market Study

Market segments.

The market segments for this coworking space are diverse and cater to various professional needs.

Firstly, there are freelancers and remote workers who seek a structured environment that fosters productivity away from home distractions.

Next, we have startups and small businesses that require flexible office solutions without the commitment and overhead of traditional office leases.

Additionally, the coworking space serves larger corporations looking for satellite offices or temporary project spaces for their teams.

Finally, entrepreneurs and professionals who travel frequently may use the coworking space as a base for their transient work needs.

SWOT Analysis

A SWOT analysis of the coworking space project highlights several key factors.

Strengths include a prime location, a variety of workspace options, state-of-the-art facilities, and a strong community network.

Weaknesses might involve the challenge of differentiating from other coworking spaces and the ongoing costs associated with maintaining cutting-edge amenities.

Opportunities can be found in the growing trend of remote work, the potential for hosting events and workshops, and the ability to offer additional services such as business consulting or networking opportunities.

Threats could encompass economic downturns affecting small businesses and freelancers, as well as the emergence of new competitors in the coworking industry.

Competitor Analysis

Competitor analysis in the coworking industry indicates a competitive landscape with a mix of local and international players.

Direct competitors include other coworking spaces, business incubators, and shared office providers.

These competitors strive to attract a diverse professional clientele by offering various amenities, community events, and membership perks.

Potential competitive advantages for our coworking space include a superior location, a strong emphasis on community building, flexible membership plans, and a robust support system for entrepreneurs and businesses.

Understanding the strengths and weaknesses of these competitors is crucial for carving out a unique position in the market and ensuring member loyalty.

Competitive Advantages

Our coworking space stands out due to its strategic location, flexible and innovative workspace solutions, and a vibrant professional community.

We offer a range of options from hot desks to private offices, catering to the varying needs of our members, all within a modern and inspiring environment.

Moreover, our commitment to fostering a collaborative community through networking events, workshops, and social gatherings creates a unique ecosystem that encourages growth and success for our members.

We pride ourselves on our adaptability to the evolving needs of the workforce and our dedication to providing top-tier services and amenities.

You can also read our articles about: - how to start a coworking space: a complete guide - the customer segments of a coworking space - the competition study for a coworking space

The Strategy

Development plan.

Our three-year development plan for the coworking space is designed to foster a community of innovation and collaboration.

In the first year, we will concentrate on building a strong member base by providing a versatile and inspiring work environment, coupled with networking events and professional development workshops.

The second year will focus on expanding our services, including private offices, dedicated desks, and virtual office packages, as well as enhancing our technological infrastructure to cater to the evolving needs of our members.

In the third year, we aim to establish additional locations in key business districts to create a network of coworking spaces, facilitating greater accessibility and convenience for our members.

Throughout this period, we will remain committed to creating a dynamic and supportive ecosystem for entrepreneurs, freelancers, and businesses, ensuring our coworking space is synonymous with productivity and professional growth.

Business Model Canvas

The Business Model Canvas for our coworking space targets freelancers, startups, and small to medium-sized enterprises seeking flexible and collaborative workspaces.

Our value proposition revolves around providing a professional work environment with high-speed internet, meeting rooms, and networking opportunities, all within a community-driven atmosphere.

We offer memberships through various plans, including hot desks, dedicated desks, and private offices, utilizing our key resources such as our well-designed spaces and community management team.

Key activities include space management, event organization, and community engagement.

Our revenue streams are generated from membership fees, event space rentals, and additional services such as printing and mail handling, while our costs are associated with leasing, space maintenance, and staff salaries.

Find a complete and editable real Business Model Canvas in our business plan template .

Marketing Strategy

Our marketing strategy is centered on building a strong brand presence within the local business community.

We aim to attract members by showcasing the benefits of coworking spaces, such as flexibility, cost-efficiency, and the opportunity for collaboration. Our approach includes targeted digital marketing campaigns, hosting industry events, and offering trial memberships.

We will also establish partnerships with local businesses and entrepreneurial organizations to increase referrals and provide exclusive benefits to our members.

Additionally, we will leverage social media platforms and influencer partnerships to amplify our reach and engage with a wider audience, while emphasizing the unique features and community aspect of our coworking space.

Risk Policy

The risk policy for our coworking space is designed to mitigate risks associated with real estate, market fluctuations, and member retention.

We will adopt flexible lease agreements to adapt to changing market conditions and maintain a diversified member base to reduce dependency on any single industry or client.

Regular member feedback sessions and satisfaction surveys will help us to continuously improve our services and address any concerns promptly. Additionally, we will maintain a conservative financial strategy to manage operational costs effectively.

We will also carry comprehensive insurance to cover liabilities related to property and general business operations. Our priority is to provide a secure and reliable workspace while ensuring the satisfaction and safety of our members.

Why Our Project is Viable

We envision creating a network of coworking spaces that cater to the dynamic needs of modern professionals and businesses.

With our focus on flexibility, community, and professional growth, we are confident in our ability to thrive in the coworking industry.

We are excited about the opportunity to empower individuals and businesses by providing them with the resources and environment they need to succeed.

We are adaptable and ready to evolve with the market to achieve our objectives, and we look forward to the promising future of our coworking space initiative.

You can also read our articles about: - the Business Model Canvas of a coworking space - the marketing strategy for a coworking space

The Financial Plan

Of course, the text presented below is far from sufficient to serve as a solid and credible financial analysis for a bank or potential investor. They expect specific numbers, financial statements, and charts demonstrating the profitability of your project.

All these elements are available in our business plan template for a coworking space and our financial plan for a coworking space .

Initial expenses for our coworking space include leasing a suitable location, outfitting the space with modern office furniture, high-speed internet, and communication technology, creating comfortable and versatile work areas, investing in security systems, and costs related to brand creation and launching targeted marketing campaigns to attract freelancers, remote workers, and startups.

Our revenue assumptions are based on a thorough analysis of the local demand for flexible workspaces, considering the increasing trend of remote work and the entrepreneurial boom that requires such facilities.

We anticipate progressively increasing membership subscriptions, starting modestly and growing as the awareness and reputation of our coworking space develops.

The projected income statement indicates expected revenues from membership fees, event space rentals, and additional services offered, minus the operating costs (utilities, internet, maintenance), and operating expenses (rent, marketing, salaries, etc.).

This results in a forecasted net profit crucial for evaluating the profitability of our business over time.

The projected balance sheet reflects assets specific to our business, such as office equipment, technology investments, and liabilities including debts and anticipated expenses.

It shows the overall financial health of our coworking space at the end of each period.

Our projected cash flow budget details incoming and outgoing cash flows, allowing us to anticipate our cash needs at any given time. This will help us effectively manage our finances and avoid cash flow problems.

The projected financing plan lists the specific financing sources we plan to use to cover our startup expenses.

The working capital requirement for our coworking space will be closely monitored to ensure we have the necessary liquidity to finance our daily operations, including lease payments, utilities, and salary payments.

The break-even point specific to our project is the level of occupancy or membership needed to cover all our costs, including startup expenses, and start making a profit.

It will indicate when our business will be profitable.

Performance indicators we will track include the occupancy rate of our coworking space, the average revenue per member, the liquidity ratio to assess our ability to cover financial obligations, and the return on investment to measure the effectiveness of our capital invested in the project.

These indicators will help us evaluate the financial health and overall success of our coworking space.

If you want to know more about the financial analysis of this type of activity, please read our article about the financial plan for a coworking space .

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Coworking First Steps

Coworking business plan, why a business plan.

A business plan is an essential document for any new business. You need a guiding document that can focus your team, your effort, and your financials.

Regardless of whether you want to focus on freelancers or corporates, look for investors or self-fund, you need a document that will focus your efforts and help you stay on-track for your goal. A business plan is your road map to a successful coworking or flexible workspace. An important note to keep in mind is “successful” is not the same as “profitable.”

The business plan can be as formal or informal as you like (depending on who you’ll be showing it to), but it should include some key pieces of information. What pieces of information depend on a number of factors, but there’s no better place to start than by looking at business plans from established coworking spaces. Some that we can recommend are :

New Work Cities
GCUC 2014 Financial Plan Example
Social Business City Wiesbaden

Typical Structure

A business plan does not have a required structure or length, so don’t fixate on getting the right word count. Instead, fixate on getting the boiled down, essential information with all the supporting details, outlines, and vision to make it sing. Before you start writing a 200 page business plan, we’d recommend that you check with the recipient to see if that’s what they’re expecting!

Some common elements to include in a business plan are:

Business Description

What is a coworking space? What problems are you trying to solve? What is special about your coworking space? Where will the money come from—what amount of your income will come from memberships, events, or recurring services? Don’t expect the reader to bring in outside information, sell them on why your idea stands out.

Industry Background

How is coworking growing in your country and area? Do you have any growth data? Getting in touch with other coworking space managers in your region is a good idea. Alternatively, you can always check the Google and LinkedIn coworking groups and check for old threads or better yet, ask the question yourself! There is an annual coworking survey done by Deskmag which is an excellent place to find information about growth.

Environment

Where will the space be? What makes this location great? What else is in the area? What is the demographic of people in this area? The more specific you can get, the better, but leave yourself room in case things change.

Competitor Analysis

Are there other coworking spaces in the area? Are there other open work cafes or business centres close by? What makes your space a better option and what is your competitive advantage? Be honest—you don’t want to downplay your competitors, you want to demonstrate your deep knowledge of their operations.

Market Analysis

Who is your target customer? How many of these customers are there in your area and how will you attract them? Where are your future customers currently working? How can you help them achieve their goals?

Marketing Plan

How will you reach your potential customers?

Think through a few steps:

What is your main message?
Who are you trying to reach and what do you have to offer them?
What channels are you going to use?
How do you convert someone who’s interested in your space into a recurring member?

Operations Plan

How will you manage the space? This is the place to dive into the functions of your space. How much staff will you need? What are your opening hours going to be? How will you manage access? How many desks are allocated to flex members? It’s important to show that you have thought of all the little details and have a thorough understanding of what it will take to operate your space.

Financial Plan

How much money do you already have to get started? How much money do you need to get started and how will you spend it? Where and how will you find the rest of the capital needed to start your coworking space? How will you return it? When do you expect to start being profitable? How much money do you think you will make each month? What can go wrong? What is your exit strategy?

Some of this will be guesswork, but you should be as realistic and data/numbers focused as you can be.

This section is especially important if you are looking for funding.

Check out our full collection of resources for starting up a coworking business. You can also read our blog and follow us on Twitter , Facebook or Instagram for more tips and news around coworking space management. You have additional questions or feedback? Suggest new topics at [email protected] .

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Coworking Space Business Plan Essentials

By dropdesk

Published: July 11, 2019

Before we break down the various aspects that comprise your coworking space business plan, it’s crucial to understand the advantages of such an environment.

If you’re a freelancer, consultant, remote employee, or a professional without an office, you will benefit from a space consisting of like-minded individuals who will motivate you with their interaction. Also, working alone from home comes with an array of disadvantages because it’s directly linked to the many pitfalls of workplace isolation .

Furthermore, coworking spaces are a primary catalyst for human approach designs, which foster collaboration, innovation, and productivity. There are seemingly an infinite number of reasons to start your own coworking community , but ‘wanting’ and ‘doing’ are entirely different things. Bringing your vision to life necessitates producing a well-structured and insightful business plan.

Coworking Space Business Plan Check List

1. finding the right fit – literally.

We are not talking about the importance of finding the right culture fit for your community in this section – instead, we’re discussing how crucial it is to purchase an optimally sized space that comfortably fits all the members of your community and helps you flourish as an owner.

A workplace between 1,000-3,000 square feet is likely too small and makes covering the cost of rent/mortgage, operations, and personnel completely unfeasible. Conversely, anything over 5,000 square feet, with a reasonably high occupancy rate, usually generates larger profit margins.

Small coworking spaces of 70-80 seats and more sizeable locations with a few hundred seats are ideal for earning back more than your operational costs.

2. Create A Vision That Scales

You need a definitive purpose for your coworking space. Otherwise, you will have a bunch of random people (if you’re lucky) showing up to work without any rhyme or reason. The best coworking spaces have a defined set of values that draws in each community member.

Whether you aim to cross-finance your own Startup, build your own community, or start a national chain of coworking spaces, knowing ‘why’ acts as a guideline to your business strategy. As your coworking business grows, strategy amendments are a must, but a defined vision ensures those changes are done with a purpose, rather than pulling you in too many directions.

In this particular vein, we suggest reading the story of WeWork’s pitch deck . The read serves as a valuable anecdote for those looking to start their own coworking business . Despite experiencing exponential growth, WeWork never lost sight of their original vision.

3. Location, Location, Location

You may become enticed by the low cost of rent for a given piece of real estate, but before signing the dotted line, ask yourself – why is it such a steal? Where is the space located? If it’s in an area that guarantees an inconvenient commute for your potential community members, then look elsewhere – despite its attractive asking price.

Filling up desks in your coworking space is much more likely in a central location. The rest of your plan could be sound and logical enough to make Mark Cuban blush, but a poor choice of location will hamstring your coworking business before it starts. You will need an 80%-plus occupancy rate to succeed, and that won’t happen if your building is in a remote area.

4. Research Industry Insights

Gain a thorough understanding of how much the coworking industry is growing in your region, city, country, state, or province.

For instance, did you know that coworking spaces accounted for almost 10% of real estate leased in Manhattan in the first half of 2018? Sure, that’s only valuable for coworking professionals in Manhattan, but try to extract similar statistics from the coworking landscape in your region.

Correspond with other nearby coworking space managers and see what kind of stats and insights they’ll provide. Or, ask questions on Google and LinkedIn coworking group forums. Lastly, there are surveys with valuable data about coworking growth that are sure to provide invaluable nuggets of information.

5. Knowing Your Intended Community

What kind of occupants/community members are you targeting, and what is their ideal coworking environment? For example, many coworking facilities offer premium, affordable spaces for freelancers; others, cater to big businesses – while many communities focus on smaller teams.

You must decide whether you can work harmoniously alongside your city’s business infrastructure through leveraged partnerships, or if you can operate an independent space open to all professionals. The more specific you are about your ideal community member, the easier it is to plan pricing, marketing, amenities, and location.

6. Your Coworking Financial Plan

A financial plan is one of the most integral aspects of establishing your coworking space. Here’s what you need to consider:

Capital needed to get to get started
Areas your money will be spent
Obtaining the remaining capital needed to get started
The date you expect to become profitable
Expected total monthly revenue
Potential setbacks
Exit strategy

Of course, deciphering these numbers isn’t an exact science – but base your plan on realistic estimations based on data and research. Provided you’re trying to entice investors, you will need a robust financial plan.

7. Finding Balance in Your Price Model

Charging too much per desk will lead to a barren community that lasts about as long as it takes Usain Bolt to run 100 meters. Also, charging too little makes it extremely challenging to turn a profit, no matter how many members fill up your coworking space—and too low of a price also makes potential members think your offer is too good to be true.

Charge what your services are worth, within reason. If you’re providing premiere services, community members won’t mind paying a premium, if they reap the benefits – such as earning more money and being more productive.

8. Build Your Dream Team

Sure, running a business means DIY as much as humanly possible and this approach mitigates operational costs. Most people aren’t expert in everything, so you may need a reliable, efficient team to turn your coworking space into a profit-turning machine.

Generally, coworking spaces require coworking software experts, an operations manager, and a marketing person. If you are an expert in either of these fields, do them on your own, but either assemble an in-house team or hire freelancers to fill-ins the rest of the gaps.

Lastly, contemplate potential real estate partners, investors, and other staff members that will help increase your coworking space’s value and overall growth.

9. Develop A Coworking Marketing Strategy

Your coworking space isn’t just an environment for highly driven professionals to execute, innovate, and thrive—it’s also a product.

And like any product, a nuanced coworking marketing strategy is crucial when selling your business to your target market. Depending on your budget, you can run advertisements in the local news or niche magazines that are relevant to your audience. In addition, since it’s 2019, a professionally designed website and savvy social media presence are both marketing and advertising necessities.

Brand advocacy from existing community members is extremely effective as well since consumers tend to trust the words of ‘real’ people over traditional advertising. So, offer incentives to members who refer peers to your coworking space. Since 49% of consumers depend on influencer recommendations, utilizing industry-specific influencers is another marketing method worth considering.

Consider hosting a booth at industry fairs, where you can provide a litany of marketing materials to passers-by. Remember, no matter what you do, it should highlight your main message , so there’s always a streamlined focus to every single one of your marketing tactics.

10. Become Niche Focused

Without a niche, your coworking business is overly generic, making it entirely more challenging to figure out a quality business plan. Finding your niche requires a myriad of research to decide what will differentiate your coworking community from other businesses in the industry.

If your competitors cater too much on one type of worker, you should focus your services on the individuals they neglect. Assess what everyone else is doing and discover that profitable segment of the market other communities have yet to address with their services.

Need some inspiration? Google was initially just a search engine using links to rank the relevance of individual pages on the web. In 2019, while the search engine is still the king of its niche, it’s grown into a worldwide superpower offering a smorgasbord of other services including mail, calendars, maps, and phones. Google only grew into the massive entity it is today because it tapped into a lucrative niche.

Conclusion: Do You Want to Run a Coworking Space? It’s Time to Start Planning

Your coworking space isn’t going to build itself. It is time to start planning – equipping yourself with solutions that will transform your real estate into a living, breathing coworking space, such as Become A Host program.

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Home » Real Estate » Coworking Space

Coworking Space Business Plan [Sample Template]

In these modern times, freelancers, consultants, remote employees, or professionals without an office can all benefit from a space where they are surrounded by like-minded individuals who motivate them with their interaction and works.

Working alone from home comes with a range of disadvantages since it’s directly linked to the many dangers of workplace isolation.

Co-working spaces now serve as a primary catalyst for human approach designs, which help to enhance collaboration, innovation, and productivity. Today, there is a lot of reasons to start your own co-working space, but ‘wanting’ and ‘actually starting’ are two different things. Bringing the vision to life warrants that you pen down a detailed and organized business plan.

Steps on How to Write a Coworking Space Business Plan

1. executive summary.

At Wok Zone, we plan to create an entirely new marketplace that fills the gap that employers are leaving behind. Our objective is not to recreate the same quality of working life that employers have been providing for more than a century now, but to create a better quality of working life that will help carry the torch of Oakland startups into the future.

Company Profile

A. our services.

As the Silicon Valley tech scene expands beyond San Francisco, Oakland’s lower living costs and robust transit systems are becoming more and more appealing to prospective startups, and these consumers are searching for places to work, a computer, a pension, healthcare, someone to calculate and pay their taxes, food and drink and everything else employers used to provide on their behalf.

b. Nature of the Business

At Wok Zone, our business model differs from co-working: workspace isn’t the product that we intend to sell; instead, it is the market floor for selling everything else. We plan to design a better quality workspace than what exists currently in the market and bring it in public where people can walk in and out of it freely.

c. The Industry

Wok Zone will flourish and take up market shares in the co-working space industry that is massively growing by leaps and bounds.

d. Mission Statement

Our mission at Wok Zone is to create a new infrastructure that takes the place of employers.

e. Vision Statement

Our vision is to become a renowned leader in the co-working space business in the whole of California by revolutionizing the industry and expanding our services to cover the needs of our clients. We believe that the more we help people flourish in the work they are doing, the happier they are!

f. Tagline or Slogan

Wok Zone – Investing in the Future of Work

g. Legal Structure of the Business (LLC, C Corp, S Corp, LLP)

Wok Zone will be established and registered in the state of California as a Limited Liability Partnership. The partners/management team consists of Windy Grace, Felix Wilder, Martins Jones, and Bob Castle. This team has a vast range of knowledge that shall help build the business.

h. Organizational Structure

Floor Manager
Sales and Marketing Executive
Client Service Executive

i. Ownership/Shareholder Structure and Board Members

Wok Zone will be jointly and equally owned by Windy Grace, Felix Wilder, Martins Jones, and Bob Castle. Owing to their wide array of knowledge and expertise, they will also jointly manage Wok Zone.

3. SWOT Analysis

A. strength.

An affordable, professional place to work and meet
New technologies
A collaborative environment
Experience and knowledge of our team

b. Weakness

Number of members in a co-working space
Age of our space and the maturity of our community
No other well-defined sources of income

c. Opportunities

A viable location
The rising popularity of shared office spaces
More people embracing entrepreneurship

i. How Big is the Industry?

According to industry reports, the co-working space industry is growing by leaps and bounds. The massive demand for a remote workforce and the growth of the gig economy are propelling the need for workspaces. Globally, the co-working market was valued at $26 billion in 2019.

ii. Is the Industry Growing or Declining?

The co-working industry is growing massively. Co-working growth is evident in nearly every relevant metric, including the number of new leases, number of seats, dedicated square footage, and growth rate.

iii. What are the Future Trends in the Industry

According to reports, from cannabis co-working spaces to health and wellness-focused office space, it’s becoming clear that the entire flexible workspace industry has become increasingly targeted to cater to the specific needs of its customers.

Note that as the freelance and remote worker becomes a bigger percentage of the general workforce, businesses in this industry will have to be more accommodating and differentiating than ever before.

iv. Are There Existing Niches in the Industry?

A Co-Working Space Tailored to the Legal Profession
A Community-Based Space for Female Entrepreneurs
A Co-Working Space Geared to the Outdoor Industry
Musician-Focused Spaces
Wellness-Oriented Spaces
LGBTQ Spaces
Construction-Focused Spaces
A Co-working Space for Emerging Cannabis Startups
Band Rehearsal Space
A Co-working Space for Sustainability/Environmental Startups & Entrepreneurs
A Co-working Space for Fintech Startups
A Co-working Space for Foodtech Startups

v. Can You Sell a Franchise of your Business in the Future?

At Wok Zone, we do not have plans to sell a franchise in the future. As our customer base scales, we will start building new locations. At Wok Zone, we won’t exclusively sell our products and services; it will be an open marketplace that encourages others to become solutions that our advisors recommend and sell.

Rivalry among Competitors
Availability of Substitutes
The threat of New Entrants
Bargaining Power of Suppliers
Bargaining Power of Buyers

i. Who are the Major Competitors?

Industrious

ii. Is There a Franchise for Co-working Space Business?

Regus: $549,000-$998,000
Office Evolution: $373,950-$1,557,000
Venture X: $911,690-$3,602,710
Rent 24: Available upon inquiry.
Serendipity Labs: $331,200 – $1,559,100

iii. Are There Policies, Regulations, or Zoning Laws Affecting Co-working Space Business?

Yes, numerous code issues come into existence once you are trying to densify a floor for co-working, especially in older, smaller buildings.

Owing to that, it is always advisable to review the building’s Certificate of Occupancy (CofO), the permitted uses within the building’s zoning district, the live load of the floor, and the maximum number of persons per floor before settling for a location.

It is also necessary to study the egress of the floor to ensure a change is feasible and also carefully evaluate the fixture counts, live load, accessibility, and various other elements. Co-working spaces that inculcate restaurants will also have stricter regulations to face because offices and restaurants have different occupancy requirements.

Marketing Plan

A. who is your target audience.

i. Age range

Gen Z (18-22 years old): 40%
Millennial (23-38 years old): 20%
Gen X (39-54 years old): 30%
Baby Boomers (55+ years old): 10%

ii. Level of Educational

High school graduate or less: 2%
Some college or Associate degree: 28%
Bachelor’s degree: 32%
Postgraduate 38%

iii. Income Level

Our target audience at Wok Zone will earn $100,000 to $149,000 a year.

iv. Ethnicity

White: 75.0%
Hispanic or Latino: 10.3%
Asian: 8.3%
Black or African American: 3.3%
Unknown: 2.6%
American Indian and Alaska Native: 0.5%

v. Language

There are no language barriers or restrictions at Wok Zone.

vi. Geographical Location

Once a major destination on the transcontinental railroad; Oakland has long grown into a center for bold ideas and innovative thinking, boasting of a growing multitude of freelancers and startup owners.

vii. Lifestyle

Although some clients at Wok Zone will simply need any available desk, others may have additional space considerations, like a conference room or flexible office for client meetings or collaborations.

b. Advertising and Promotion Strategies

Begin with a quality website
Leverage social media to our advantage
Utilize content marketing
Advertise near transport hubs
Host engaging events
Gift memberships strategically
Create a timeline for marketing .

i. Traditional Marketing Strategies

Offer Membership Perks
Create a Health Insurance Program
Offer Daycare Services
Help our Members Succeed
Advertise to Current Members.
Host Events at Your Co-working Space
Partner with Local Businesses
Advertise Toward Commuting Workers

ii. Digital Marketing Strategies

Advertise our Co-working Space Using PPC Advertising (Pay-Per-Click)
Content Marketing For our Co-working Space
Social Proof & Reputation Management
Create a Website
Co-working Space SEO (Search Engine Optimization)
Co-working Listing Websites
Ask Members & Partners for Backlinks

iii. Social Media Marketing Plan

Facebook ads, Twitter & LinkedIn followers
Ask question platforms (Quora, Reddit)
Email list (Newsletter)
In-app notifications (social media sharing buttons, newsletter subscription)
Promotion in relevant communities
Re-purpose content for different media (videos, podcasts, etc.)

c. Pricing Strategy

At Wok Zone, our reservations will be priced at $2.50 per half hour. This is cheap enough for people to reserve for even the longest work sessions ($10 for the 235-minute session) but expensive enough to discourage them from blocking out the table all day ($60 for 24 hours)

Sales and Distribution Plan

A. sales channels.

Ensuring a better quality work-life is the idea our marketing plan at Wok Zone will buttress and our workspace will be the medium for conveying it. We realize that people rarely dream about pensions. Instead, they want a better quality work-life.

Our space at Wok Zone will be a local mass-market medium. We will ensure it is in a prime real estate in San Francisco. All other media channels we use will help people to see it, especially those who aren’t standing right in front of it.

b. Inventory Strategy

In terms of inventory strategy and management, we will get co-working software solutions that will help us cover the needs of our workspace that will enable members book a meeting room online, manage their membership plan, provide IoT devices, and enabling card payments.We believe all these will contribute to the usability of our co-working space.

c. Payment Options for Customers

Below are the payment options we intend to make available to our clients;

Payment via bank transfer
Payment via credit cards
Payment via online bank transfer
Payment via check
Payment via mobile money transfer

d. Return Policy, Incentives, and Guarantees

At Wok Zone will operate a no refund policy. This entails that we will not provide compensation for services rendered at our workspace.

e. Customer Support Strategy

At Wok Zone, we understand that our long-term success depends on our ability to establish a community of clients. Owing to that, we intend to publish a newsletter, create photo boards and also host regular events to help everyone get to know each other and benefit from the group’s cumulative knowledge.

Operational Plan

The most successful brands are known to influence the way people feel in their spaces, by carefully controlling all the variables in the environment.

After extensive research, we realized that a handful of workspaces have applied a few of the principles, but nobody has made it a core of their design. We at Wok Zone do not intend to make these mistakes, as we have analyzed and inculcated environmental psychology into the design of our workspaces, and also into the products and services we offer.

a. What Happens During a Typical Day at a Co-working Space Business?

The essential work of the business is to make sure the lights are on. Clients are known to use co-working spaces as offices, and they expect the lights to be functioning, the roof to not be leaking and internet access to be fully functional. Should any utility develop any form of issue, resources are expected to be immediately channeled to resolve the problem as quickly as possible.

Aside from those possible crises noted above, managing a co-working space daily involves keeping the area clean, socializing with clients, and meeting potential clients. Also note that there are bills to pay and administrative matters to consider.

b. Production Process

The only production process at Wok Zone is the production of drinks sold at our space. We intend to source raw ingredients and make them ourselves.

c. Service Procedure

At Wok Zone, we understand that we need a small team of employees from the outset. Our space will remain open round the clock, therefore we will employ a client service executive to be available to attend to our clients and also be called for emergencies.

d. The Supply Chain

At Wok Zone, we believe that the more we help people with the work they love doing, the more people will see our co-working space as a big deal.

e. Sources of Income

Private office rental
Desk rental
Combined membership plan
Conference room services
Virtual office services
Food and drinks

Financial Plan

A. amount needed to start your coworking space business.

Owing to our extensive research, we will require $900,000 to launch Wok Zone and an additional $220,000 to cover the first-year salary of our core team.

b. What are the Costs Involved?

Security deposit: $75,000
Environmental equipment (air quality, sound, etc): $79,220
Food & drink equipment: $56,270
Other equipment (fire, security, etc.): $17,205
Technology: $48,000
Furniture: $153,600
Renovation: $850,000
First month’s rent: $25,000
Estate agent fees: $3,750
Utilities: $700
Inventory (2 months): $41,729
Recruitment, training, uniforms: $7,420
Miscellaneous: $100,000

c. Do You Need to Build a Facility?

Our plan at Wok Zone is to start our business from a rented luxury office space in the city hub of San Francisco . Initial investments will be made to set up an office, website, and management software to schedule, manage and welcome our clients. Additions to space will be made as the company expands operation.

d. What are the Ongoing Expenses for Running a Co-working Space Business?

Security & after-hours
Member’s benefits
Training, development, uniforms, etc.
Occupancy costs
Repairs & maintenance
Waste & recycling
Payment processing
Environment (air quality, landscaping, etc)

e. What is the Average Salary of your Staff?

President: $0
Floor Managers: $56,720/Year
Advisors: $0
Sales and Marketing Executive: $51,980/Year
Accountant: $46,711/Year
Food Technician:$43,562/Year
Baristas: $41,000/Year
Client Service Executive: $38,900/Year

f. How Do You Get Funding to Start a Coworking Space Business

Wok Zone will be started, managed, and fully funded by its four founding members. They won’t seek outside funding, instead will generate the startup capital to have full ownership of the business.

Financial Projection

A. how much should you charge for your product/service.

Since we will be offering flexible office solutions, we will have multiple subscription options. For example, our clients can pay by the day, week, or month. The cost for our monthly membership will be $220. We will charge more for a dedicated desk, an office, or a locker. We will also charge clients to use our meeting room and every other amenity.

b. Sales Forecast?

First Fiscal Year (FY1): $420,000
Second Fiscal Year (FY2): $790,000
Third Fiscal Year (FY3): $1.332 million

c. Estimated Profit You Will Make a Year?

At Wok Zone, we expect to make;

First Fiscal Year (FY1): $189,000 (45% of revenue generated)
Second Fiscal Year (FY2): $186,000 (60% of revenue generated)
Third Fiscal Year (FY3): $732,900 (55% of revenue generated)

d. Profit Margin of a Coworking Space Business

Profit margins in this business tend to fluctuate, especially since businesses in the industry are not in for the money, but primarily to sustain their space and grow their community. In addition, there are many variable and fixed costs in the business . Even when the business expands, there will be additional expenses and factors that will further affect the potential profit.

Growth Plan

A. how do you intend to grow and expand .

At Wok Zone, we do not have plans to sell a franchise in the future. As our customer base scales up, we will start building new co-working spaces.

b. Where do you intend to expand to and why?

San Francisco

We at Wok Zone have chosen to expand to these areas because the Bay Area tech industry raked in $45.9 billion in funding in 2019 — a full 44 percent of the nation’s tech investments — and the city still hosts the world’s deepest tech and freelance talent pool.

And although some of its larger technology companies continue to draw skepticism from lawmakers, these areas boast of a ton of alternative employment options for smaller, mission-driven startups.

At Wok Zone, we strongly believe that acquisition and mergers will suit our business interests. Since we won’t exclusively sell our products and services; we believe that acquisition and mergers will lead us more into the open marketplace and encourage others to become solutions that our advisors recommend and sell.

More on Coworking Space

Coworking Space Business Plan [Sample Template]

By: Author Tony Martins Ajaero

Home » Business ideas » B2B Industry » Coworking Space

Are you about starting a coworking space business ? If YES, here is a detailed sample co-working space business plan template & feasibility report you can use for FREE .

Entrepreneurs always wish to cut overhead cost as low as they can and still maintain professionalism in their businesses. One of the easiest ways of cutting overhead cost is by renting a coworking space. With the increase in demand for co-working spaces, any investor that decides to start his or her own coworking space business is sure going to make good returns on his or her investment.

A Sample CoWorking Space Business Plan Template

1. industry overview.

Co-working space business falls under the serviced office leasing (SOL) industry and operators in this industry rent or lease fully furnished office space to businesses on a part-time or as-needed basis.

The serviced office leasing (SOL) industry also provides virtual office and conference room leasing options to their clients. It is important to state that firms that provide conventional commercial leasing options are not part of the serviced office leasing (SOL) industry.

For $49.99 a month, anyone can work on Wall Street. The rising trend of the virtual office, which effectively functions as a high-cost PO box, is one of the services offered by the $2.4-billion Serviced Office Leasing (SOL) industry.

If you a close observer of the Serviced office leasing (SOL) industry, you will agree that the industry struggled during the recession when corporate profit declined and businesses closed shops . On the other hand, as the economy recovered, the industry experienced an upsurge in demand for its services.

Going forward, the revenue generated by players in this industry will continue to grow as the number of telecommuters in the workforce increases.

The Serviced office leasing (SOL) industry is indeed a growing industry and pretty much active countries like the united states, Japan, Singapore, Switzerland, United Kingdom and United Arab Emirates. Statistics has it that in the United States of America alone, there are about 781 licensed and registered companies in this industry, employing about 3,358, and the industry rakes in $2bn annually.

The industry is projected to continue to grow at 12.7 percent rate going forward. Regus PLC has the dominant market share in this industry. A recent publication released by IBISWorld shows that the Serviced office leasing (SOL) industry is in the growth stage of its life cycle.

The report projected that industry value added, which measure’s the industry’s contribution to the economy will raise at an estimated average annual rate of 7.5 percent from 2011 to 2022. The report further stated that GDP will grow at an annualized rate of 2.2 percent during the same period, indicating that the industry is growing faster than the economy as a whole.

Businesses are increasingly turning to industry companies to rent or lease workspaces, including fully furnished offices, virtual offices and conference rooms. Renting or leasing office space is a cost-effective alternative to buying commercial property.

One of the major reasons why people subscribe to co-working spaces is because they want to maintain a business address in a high – profile business district at the lowest possible cost.

So, if your intention is to start a coworking space business and also to maximize profits, then you must ensure that your lease office facility in a high – profile business district. It will make it easier for you to market and attract clients. It is expensive to lease office facility in such areas, but you stand the chance of recouping your investment and also making profits.

From all available statistics, it is safer to say the Serviced office leasing (SOL) industry is growing steadily despite the competitive nature of the industry. One thing is certain, if the offices you offer for rent are well positioned, you have the required business skills, and business networks, you are likely not going to struggle to compete in the Serviced office leasing (SOL) industry.

The serviced office leasing (SOL) industry is still open to any aspiring entrepreneur who has the startup capital to start his or her own co-working space business. As a matter of fact, it was projected that over the next five years, new technology will continue to emerge that will make it easier for more players to come into the industry hence increasing the competition in the industry.

2. Executive Summary

Monica Donavan® Co-Working Space Rentals, Inc. is a registered real estate business. We have been able to secure a standard and well – positioned facility in a central and busy district in Brooklyn Park – Minnesota.

We are a co – working space company that is set to compete in the fast – growing shared office rental industry not only in Brooklyn Park – Minnesota, but also throughout the United States market because we intend opening our co – working facilities in key cities across the United States.

Monica Donavan® Co-Working Space Rentals, Inc. will offer co-working space facilities to entrepreneurs and investors who may not want to shoulder the responsibilities of owning a standard office facility. Our business goal is to become one of the leading co-working space rental operators in the United States and we will make sure that we do all we can to compete favorably in the industry.

Our workers are going to be selected from a pool of certified, creative and highly experienced workers in and around Brooklyn Park – Minnesota. We will make sure that we take our workforce through the required trainings that will position them to meet the expectations of the company and to compete with leading co-working space operators in the United States.

At Monica Donavan® Co-Working Space Rentals, Inc., our client’s best interest will always come first, and everything we do will be guided by our values and professional ethics. We will ensure that we hold ourselves accountable to the highest standards by meeting our client’s needs precisely and completely.

Monica Donavan® Co-Working Space Rentals, Inc. is owned by Monica Donavan and other investors (shareholders).

3. Our Products and Services

Monica Donavan® Co-Working Space Rentals, Inc. was established with the aim of maximizing profits in the serviced office leasing (SOL) industry as a co – working space operator. We want to compete favorably with the leading co – working space operators in the United States which is why we have a competent team that will ensure that our facility meets and even surpass our customers’ expectations.

We will work hard to ensure that Monica Donavan® Co-Working Space Rentals, Inc. is not just accepted in Brooklyn Park – Minnesota, but also in other cities in the United States of America where we intend opening our chains of co – working facilities. Our facility and services are listed below;

Lease or rent fully furnished workspaces
Lease or rent virtual offices
Lease or rent conference and meeting rooms
Provide telecommunication services to leases
Provide other business services to leases

4. Our Mission and Vision Statement

Our vision is to be the standard bearer wherever we have our co – working space facility throughout the United States of America.
Our mission is to provide a standard co-working space that can attract some of the leading entrepreneurs who may not want to own their personal office facility.
We want to build a co-working space business that can favorably compete with other leading brands in the serviced office leasing (SOL) industry in the United States.

Our Business Structure

Monica Donavan® Co-Working Space Rentals, Inc. is a co-working space company that intend starting small in Brooklyn Park – Minnesota, but hopes to grow big in order to compete favorably in the industry in the United States. We are aware of the importance of building a solid business structure that can support the kind of world class business we want to own.

At Monica Donavan® Co-Working Space Rentals, Inc., we will ensure that we hire people that are qualified, hardworking, creative, customer centric and are ready to work to help us build a prosperous business.

As a matter of fact, profit-sharing arrangement will be made available to all our senior management staff and it will be based on their performance for a period of five years or more as agreed by the board of trustees of the company. In view of the above, we have decided to hire qualified and competent hands to occupy the following positions;

Chief Executive Officer
General Manager

Human Resources and Admin Manager

Sales and Marketing Executive

Facility Manager

Client Service Executive

5. Job Roles and Responsibilities

Chief Executive Officer – CEO:

Increases management’s effectiveness by recruiting, selecting, orienting, training, coaching, counseling, and disciplining managers; communicating values, strategies, and objectives; assigning accountabilities; planning, monitoring, and appraising job results
Creating, communicating, and implementing the organization’s vision, mission, and overall direction – i.e. leading the development and implementation of the overall organization’s strategy.
Responsible for fixing prices and signing business deals
Responsible for providing direction for the business
Responsible for signing checks and documents on behalf of the company
Evaluates the success of the organization
Reports to the board

General Manager:

Serve as project manager of the organization; works directly with employees
Develops strategic plan by studying the trends in the serviced office leasing (SOL) industry and financial opportunities; presenting assumptions; recommending objectives.
Accomplishes subsidiary objectives by establishing plans, budgets, and results measurements
Maintains quality service by establishing and enforcing organization standards.
Coordinate employee efforts, and facilitate communications between management and the workforce
Ensures that the organization works in line with international best practices.
Model demographic information and analyze the volumes of transactional data generated by customer
Identifies development opportunities; follows up on development leads and contacts; participates in the structuring and financing of projects
Responsible for handling business research, market surveys and feasibility studies
Create new markets cum businesses for the organization
Empower and motivates the sales team to meet and surpass agreed targets

Sales and Marketing Manager

Accountant/Cashier:

Responsible for preparing financial reports, budgets, and financial statements for the organization
Provides managements with financial analyses, development budgets, and accounting reports
Performs cash management, general ledger accounting, and financial reporting for one or more properties.
Responsible for developing and managing financial systems and policies
Responsible for administering payrolls
Ensuring compliance with taxation legislation
Handles all financial transactions for the organization
Serves as internal auditor for the organization
Responsible for making sure that our co-working space meet the needs of the people that work in them
Overseeing services including security, parking, cleaning, catering, technology and so on
Supervising multi-disciplinary staff including cleaning, maintenance, grounds and security
Ensuring that basic facilities such as water and heating, are well-maintained
Ensuring that facilities meet government regulations and environmental, health and security standards
Overseeing building projects, renovations or refurbishments
Welcomes clients and potential clients by greeting them in person or on the telephone; answering or directing inquiries.
Ensures that all contacts with clients (e-mail, walk-In center, SMS or phone) provides the client with a personalized customer service experience of the highest level
Through interaction with clients on the phone, uses every opportunity to build client’s interest in the company’s products and services
Consistently stays abreast of any new information on the organizations promotional campaigns to ensure accurate and helpful information is supplied to clients when they make enquiries

6. SWOT Analysis

Monica Donavan® Co-Working Space Rentals, Inc. engaged the services of a core professional in the area of business consulting and structuring to assist our organization in building a well – structured co-working space business that can favorably compete in the serviced office leasing (SOL) industry in the United States.

Here is a summary from the result of the SWOT analysis that was conducted on behalf of Monica Donavan® Co-Working Space Rentals, Inc.;

Our world – class facility is indeed a plus to the business. Another positive that we have is the fact that we have a well – balanced team running the business.

Part of what may likely hinder us from optimizing our potentials in this business is that we may not be able to raise capital to acquire choice properties that can attract high – paying clients for our co – working space.

Opportunities:

In this age and time where entrepreneurs are looking for means to cut down startup expenses, a business such as co-working space facility comes in handy. The rising popularity of shared office spaces is driving industry growth and influencing workplace transformations. The fact that more people are embracing entrepreneurship means that there are great opportunities for us.

A major threat to our business is the rise of the concept of virtual office. Aside from the fact that it is cheaper, most virtual office rental businesses tend to provide communication and physical address services without bearing the financial burden to maintain the office facility.

7. MARKET ANALYSIS

Market Trends

A major trend shows that workplace transformations use tech and design to maximize office space and increase productivity, providing for cost-savings from a bottom-up perspective. Co-working spaces are designed to reduce the square footage a company needs per employee.

A recent trend shows that some operators in the industry are scaling the co-working model to fit the operational and cultural needs of service-based industries.

The incentives of workplace transformations are twofold. The first is cost-effectiveness while the second, less tangible yet arguably more impactful incentive is the commoditization of modern workplace culture as characterized by Silicon Valley startups.

Even though cost-savings have long-been the most obvious incentive of co-working spaces, the perk of enabling large corporations to rebrand themselves in a piecemeal way is turning heads among Fortune 500 companies operating in the most traditional of industries.

Lastly, long term, the cost-efficiency of workplace transformations will likely remain the primary incentive. Reducing square footage per employee while maintaining or even boosting employee satisfaction is a win-win, no matter the industry.

However, the cultural incentives of workplace transformations will continue to expand and evolve with the business environment itself.

8. Our Target Market

Before starting our co – working space rental business in Brooklyn Park – Minnesota, we conducted a thorough market survey and feasibility studies and we are certain that there are loads of budding entrepreneurs who need small office spaces to run their business.

In view of that, we have created strategies that will enable us reach out to various groups of people who we know will need our facilities especially service – based business.

Our competitive advantage

Because of the grow competition in this line of business, there is an increasing degree of related business activities, with big players dominating the market.

Our competitive advantage is anchored on the state of the art office facility that we have. So also, we have a team of certified, creative and highly trained workers. Aside from the synergy that exists in our carefully selected workforce, our services will be guided by international best practices in the industry.

Another strength that counts for us is the location of our co-working space; they are located in one of the highly suitable areas for such business in Brooklyn Park – Minnesota.

Lastly, all our employees will be well taken care of, and their welfare package will be among the best within our category in the industry. It will enable them to be more than willing to build the business with us and help deliver our set goals and objectives.

9. SALES AND MARKETING STRATEGY

Sources of Income

Monica Donavan® Co-Working Space Rentals, Inc. is established with the aim of maximizing profits in the serviced office leasing (SOL) industry and we are going to ensure that we do all it takes to meet and surpass the expectations of our clients.

Monica Donavan® Co-Working Space Rentals, Inc. will generate income by offering the following facility and services;

10. Sales Forecast

One thing is certain, there would always be entrepreneurs who need to cut cost of starting the business hence the need to rent a small office space in a shared office facility.

We are well positioned to take on the available market in the industry and we are quite optimistic that we will meet our set target of generating enough income/profits from the first six months of operation and grow our business to enviable heights.

We have been able to examine the shared office leasing (SOL) market, we have analyzed our chances in the industry and we have been able to come up with the following sales forecast. Below are the sales projections for Monica Donavan® Co-Working Space Rentals, Inc. It is based on the location of our facility and of course our target market;

First Fiscal Year: $550,000
Second Fiscal Year: $950,000
Third Fiscal Year: $2 million

N.B : This projection was done based on what is obtainable in the industry and with the assumption that there won’t be any major economic meltdown and there won’t be any competitor offering same facility as we do within same location. Please note that the above projection might be lower and at the same time it might be higher.

Marketing Strategy and Sales Strategy

Our marketing strategies will be directed towards achieving specific objectives that support the strategic goals of the organization. The truth is that all that we do will be geared towards creating new market channels, increasing sales and our market share.

Our unique selling proposition is that we are well positioned, we offer a state of the art facility and people can easily access our facility. Monica Donavan® Co-Working Space Rentals, Inc. is set to make use of the following marketing and sales strategies to attract clients;

Advertise our co-working space business on national dailies, local TV and radio station
Promote our co-working space facilities online via our official website and all available social media platforms
Introduce our business by sending introductory letters alongside our brochure to budding entrepreneurs, established entrepreneurs and key stake holders in Brooklyn Park – Minnesota
Print out fliers and business cards and strategically drop them in offices, sport facilities, libraries, public facilities and train stations et al.
Position our signage / flexi banners at strategic places in and around Brooklyn Park – Minnesota

11. Publicity and Advertising Strategy

We have been able to work with our brand and publicity consultants to help us map out publicity and advertising strategies that will help us walk our way into the heart of our target market.

We are set to become the number one choice for entrepreneurs and business people in the whole of Brooklyn Park – Minnesota and other cities in the United States of America where we intend opening our shared office facilities which is why we have made provisions for effective publicity and advertisement of our business.

Below are the platforms we intend to leverage on to promote Monica Donavan® Co-Working Space Rentals, Inc.;

Place adverts on both print (newspapers and real estate magazines) and electronic media platforms
Sponsor relevant community based events / programs
Leverage on the internet and social media platforms like; Instagram, Facebook, twitter, YouTube, Google + et al to promote our business
Install our billboards in strategic locations all around Brooklyn Park – Minnesota
Distribute our fliers and handbills in target areas
List our co – working space business in local directories / yellow pages
Advertise our coworking space facility in our official website and employ strategies that will help us pull traffic to the site.

12. Our Pricing Strategy

Our pricing system is going to be based on what is obtainable in the industry, we don’t intend to charge more and we don’t intend to charge less than what our competitors are charging their clients in Brooklyn Park – Minnesota.

Payment Options

The payment policy adopted by Monica Donavan® Co-Working Space Rentals, Inc. is all inclusive because we are quite aware that different customers prefer different payment options as it suits them but at the same time, we will ensure that we abide by the financial rules and regulation of the United States of America.

Here are the payment options that Monica Donavan® Co-Working Space Rentals, Inc. will make available to her clients;

Payment via bank transfer
Payment via Point of Sale Machine (POS)
Payment via online bank transfer
Payment via check
Payment via bank draft

In view of the above, we have chosen banking platforms that will enable our clients make payment for renting our co – working office facility without any stress on their part.

13. Startup Expenditure (Budget)

When it comes to calculating the cost of starting a coworking space facility business, there are some key factors that should serve as a guide.

The number of facilities needed to kick start the business and the size and location of the facility determines the total cost of setting up the business. Below are some of the basic areas we will spend our startup capital in setting up our co-working space rental business;

The total fee for registering the business in the United States of America – $750.
Legal expenses for obtaining licenses and permits – $15,500.
Marketing promotion expenses (8,000 flyers at $0.04 per copy) for the total amount of – $10,000.
The total cost for hiring Business Consultant – $5,000.
The amount needed for the purchase of insurance policy covers (general liability, workers’ compensation and property casualty) coverage at a total premium – $30,800.
The total cost for the purchase of accounting software, CRM software and Payroll Software – $3,000
The total cost for leasing facility for the business – $450,000
The total cost for facility remodeling to fit into the type of co – working space facility – $150,000
Phone and utility deposits – $3,500
Operational cost for the first 3 months (salaries of employees, payments of bills et al) – $140,000
The cost of launching a Website – $600
Miscellaneous – $5,000

Going by the report from the market research and feasibility studies conducted, we will need about nine hundred and fifty thousand ($950,000) U.S. dollars to successfully set up a medium scale co-working space facility rental business in the United States of America.

Generating Funds/Startup Capital for Monica Donavan® Co-Working Space Rentals, Inc.

Monica Donavan® Co-Working Space Rentals, Inc. is a private business that is solely owned and financed by Ms. Monica Donavan and her partner. They do not intend to welcome any external business partner which is why she has decided to restrict the sourcing of the startup capital to 3 major sources.

Generate part of the startup capital from personal savings
Source for soft loans from family members and friends
Apply for loan from the bank

N.B: We have been able to generate about $350,000 (Personal savings $200,000 and soft loan from family members $100,000) and we are at the final stages of obtaining a loan facility of $600,000 from our bank. All the papers and documents have been signed and submitted, the loan has been approved and any moment from now our account will be credited with the amount.

14. Sustainability and Expansion Strategy

The future of a business lies in the number of loyal customers that they have, the capacity and competence of their employees, their investment strategy and the business structure. If all these factors are missing from a business (company), then it won’t be too long before the business closes shop.

One of our major goals of starting Monica Donavan® Co-Working Space Rentals, Inc. is to build a business that will survive off its own cash flow without injecting finance from external sources once the business is officially running.

We know that one of the ways of gaining approval and winning customers over is to lease / rent our co – working space facility a little bit cheaper than what is obtainable in the market and we are prepared to survive on lower profit margin for a while.

Monica Donavan® Co-Working Space Rentals, Inc. will make sure that the right foundation, structures and processes are put in place to ensure that our staff welfare are well taken of. Our company’s corporate culture is designed to drive our business to greater heights and training and re-training of our workforce is at the top burner.

We know that if that is put in place, we will be able to successfully hire and retain the best hands we can get in the industry; they will be more committed to help us build the business of our dreams.

Check List/Milestone

Business Name Availability Check:>Completed
Business Incorporation: Completed
Opening of Corporate Bank Accounts: Completed
Opening Online Payment Platforms: Completed
Application and Obtaining Tax Payer’s ID : In Progress
Securing a standard facility and reconstructing the facility to fit into the kind of facility we want to manage: Completed
Application for business license and permit: Completed
Purchase of Insurance for the Business: Completed
Conducting Feasibility Studies: Completed
Generating part of the start – up capital from the founders: Completed
Writing of Business Plan: Completed
Drafting of Employee’s Handbook: Completed
Drafting of Contract Documents: In Progress
Design of Logo for the business: Completed
Printing of Promotional Materials: Completed
Recruitment of employees: In Progress
Purchase of the needed furniture, office equipment, software applications, electronic appliances and facility facelift : In progress
Creating official website for the business : In Progress
Creating Awareness for the business: In Progress
Health and Safety and Fire Safety Arrangement : In Progress

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Coffeehouse Business Plan

Have you ever dreamt of owning a small or a large business one day? Apart from the usual kinds of businesses that people often opt for of course. These kinds of small businesses often get less attention since they are either most likely unheard of or a lot of people believe they are too risky to begin with. Of course, any kind of business always has its own risks, but it does not necessarily mean that you cannot go ahead and open one. For people who followed their dreams of owning a business, what kind of businesses do you often opt for?

Have you ever thought about owning a coffeehouse? Of course people who think of coffeehouses would think of this as a small and safe business since this can be a kind of business with lesser risks. What others may not have noticed is that all businesses have risks, but it is only risk free or at least the risks are called attention when business owners use a simple but effective tool to eliminate any problems. For a coffeehouse business, all you need to do is to write a coffeehouse business plan.

3+ Coffeehouse Business Plan Examples

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2. Simple Coffeehouse Business Plan

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3. Draft Coffeehouse Business Plan

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4. Coffeehouse Business Plan in PDF

What Is a Coffeehouse Business Plan?

A business plan is an essential tool when you want to plan how your business or your company may go. This is true even when your business happens to be a small business like a coffeehouse. A coffeehouse business plan caters to the necessary information or details concerning the specific type of business. This means that the document gives out the exact details of what you want to happen, how it will happen and when you can see results. Basically, it is also used as a guide in a way that it helps you focus on what you should be doing to make your coffeehouse business a success.

The general purpose of a coffeehouse business plan is to make sure that your strategies for making the business a success are doable. A business plan is simply like an action plan. But the main focus for this is your business and how you plan on keeping it from getting into risks and keeping it afloat. As all businesses should have a business plan. This plan helps you outline and see the bigger picture of how your coffeehouse business will flourish or will fail.

How to Write a Coffeehouse Business Plan

Making a business plan that caters to a coffeehouse business is easy. If you know what to expect and what should be written of course. Here are some tips for you to get started on that coffee dream.

1. Write a Clear and Concise Summary of Your Goal

So the first thing you can expect when writing a coffeehouse business plan is an introduction. Writing a clear and concise summary and introduction of your goal. Explain the reasons why you chose this type of business, where do you see this business in a specific year or years to come.

2. Do Your Research About Your Business

As always when you start off a new business venture, you must always do your research first. Research means that you have to see how popular or in demand the business is. If you choose a kind of business and do not do your research, chances are your plan won’t flourish. To avoid this, research. That’s the key. Understand what your customers may want, know the best location, and of course the profit and the capital.

3. Explain the Reason for Choosing

Give a short reason why you chose this kind of business. Of course others would say a childhood dream, while some may say it’s simply good business. Depending on how you see it, you should still explain why a coffeehouse business?

4. Understand the Objective of Your Business Plan

Write down your objectives for your coffeehouse business plan. The objectives you may be looking for should be made as much as possible for the long term. Of course you can write for a short term when you are going to be making the business plan.

5. Act On Your Complete Business Plan

Lastly, to be able to know how you have written your business plan, the best advice is to act on what you have written. From the objectives to the strategies. You will surely see the difference a good coffeehouse business plan makes through the results you are expecting.

What is a coffeehouse business plan?

A kind of business plan that focuses on the wants and needs and the demands of a coffeehouse business. This business plan maintains the necessary details that should be done to make the business flourish.

Why is a business plan important for every business?

Your business plan acts like a map. A map that helps guide you to the destination you want. A business plan is the map to a successful business. Without it, your business may not flourish, and would lead to a lot of risks.

What can be written and not written in an action plan?

Avoid unrealistic objectives and strategies. They are not going to help you with your business and they are not going to make your plan work either.

Some things to remember when starting out a new business. Make sure that you do your research, write your business plan. Your strategies must be doable, your objectives attainable. A coffeehouse business plan does all that for a specific type of business.

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Coworking Business Plan

The business plan template for a coworking space

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Fully editable 30+ slides Powerpoint presentation business plan template.

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This template is already completed and include everything you need in a business plan:

Executive summary
Business overview
Market research
SWOT analysis
Competitive landscape
Management team
Sales & marketing plan

The business plan shown here is an example from the Cryotherapy business plan template.

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is customised for your business instead.

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Name of the business
Square footage of the facility
Services and prices
Revenue projections

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Download the template and customise it as you please by adding your own business information (name of your business, location, etc.).

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Sales & marketing plan
Strategy & timeline
Financial plan

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We recommend you to change the photos, add your business information to make it truly yours.

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COMMENTS

How to Write a Coworking Business Plan: Complete Guide
Use this template to create a complete, clear and solid business plan that get you funded. 1. Executive Summary. This is the first part and the most important section of your business plan. This is the first thing lenders and/or investors will have a look at. Before we dive into the specifics, keep in mind the executive summary is a summary ...
Coworking Space Business Plan Template + PDF Download
4. List Your Business Goals. This is the tough work that will help you the most in the long run. If your space is fully leased, plan out the number of desks you can offer and monetize. Shoot for using 30 to 40 percent of your total space as desk space. Then, use this figure to calculate how much revenue your space can generate, including ...
Coworking Space Business Plan Template [Updated 2024]
Traditionally, a marketing plan includes the four P's: Product, Price, Place, and Promotion. For a coworking space business plan, your marketing strategy should include the following: Product: In the product section, you should reiterate the type of coworking space company that you documented in your company overview.
Coworking Space Business Plan: Guide & Template (2024)
If you are planning to start a new Co-Working space business, the first thing you will need is a business plan. Use our sample coworking space business plan created using upmetrics business plan software to start writing your business plan in no time.. Before you start writing your business plan for your new co-working space business, spend as much time as you can reading through some examples ...
Coworking Business Plan PDF Example
Coworking Business Plan PDF Example. Creating a comprehensive business plan is crucial for launching and running a successful coworking business. This plan serves as your roadmap, detailing your vision, operational strategies, and financial plan. It helps establish your coworking business's identity, navigate the competitive market, and ...
Coworking Space Business Plan Template (2024)
Office Design/Build: $200,000. Marketing and Advertising: $50,000. Inventory and Supplies: $50,000. Three Months Of Overhead Expenses (Rent, Salaries, Utilities): $100,000. Working Capital: $100,000. Easily complete your Coworking Space business plan! Download the Coworking Space business plan template (including a customizable financial model ...
How to Write a Winning Coworking Business Plan
Benefits of a well-crafted coworking business plan. In short, having a business plan for your coworking space gives you a greater chance of overall success. Creating a business plan before opening your coworking space is needed to: ... For example, based on your market analysis, you found that remote workers are making up 20% of coworking space ...
How To Create A Business Plan For Your Coworking Space [2023]
In this article, we'll go over the essential topics your coworking business plan must cover and give you an outline for structuring the document in a logical way. First, let's start with a quick overview of business plans. ... For example, some coworking spaces focus on enterprise businesses looking for stable, long-term offices. Others ...
How To Write A Bulletproof Coworking Space Business Plan
A coworking space business plan is an essential document to start building and will pave the way for you to secure your funding. It'll also teach you a lot about the industry, the market, and how you're going to be functioning in relation to both. We're going to show you a template for your very own coworking space business plan design in ...
Coworking Space Business Plan Essentials
6. Marketing. You'll need to market your coworking space to attract customers and grow your business. The cost will vary depending on the type of marketing and how much you spend. For example, if you plan to do a significant amount of online marketing, you might want to invest in a website and pay for online advertising.
How to Create a Coworking Space Business Plan: Complete Guide
Evaluate Competitors' Offerings and Pricing: Conduct a comprehensive analysis of existing coworking spaces in your target location. Assess their strengths, weaknesses, pricing models, amenities, and marketing strategies. III. Defining Your Mission, Vision, and Value Proposition. To differentiate your coworking space and attract members, craft ...
Coworking Space Business Plan Template
Features of our Coworking Space Business Plan Template: Market Analysis: Understand your target market's needs and preferences. Business Model: Define unique services and identify target clientele. Financial Projections: Predict revenue, expenses, and profitability.. Marketing Strategy: Develop effective plans to promote quality services. Benefits of Using Our Template:
Coworking Space Business Plan Template [Updated 2024]
Coworking Space Business Plan Template. If you want to start a coworking space business or expand your current coworking space business, you need a business plan. Fortunately, you're in the right place. Our team has helped develop over 100,000 business plans over the past 20 years, including thousands of business plans for coworking spaces. ...
Coworking Space Business Plan Template (Free)
A free example of business plan for a coworking space. Here, we will provide a concise and illustrative example of a business plan for a specific project. This example aims to provide an overview of the essential components of a business plan. It is important to note that this version is only a summary. As it stands, this business plan is not ...
Coworking Business Plan
A business plan is your road map to a successful coworking or flexible workspace. An important note to keep in mind is "successful" is not the same as "profitable.". The business plan can be as formal or informal as you like (depending on who you'll be showing it to), but it should include some key pieces of information.
Coworking Space Business Plan
Coworking Space Business Plan Check List. 1. Finding the Right Fit - Literally. We are not talking about the importance of finding the right culture fit for your community in this section - instead, we're discussing how crucial it is to purchase an optimally sized space that comfortably fits all the members of your community and helps you ...
Executive Summary of a Coworking Business (Example)
An effective executive summary for a coworking space business is key in attracting investors and partners. It concisely outlines the business model, diverse workspace offerings, and strategic market positioning, emphasizing how the space caters to the needs of modern professionals seeking flexible and community-oriented work environments.
PDF Co-Working Space Business Plan Example
YoWorks will have an active role in providing excellent co-working spaces and other relevant services. In year one, partners will invest $2.5 million in cash to jump-start the operation. The equity capital will be used to complete the development of the Company's space and initiate the operation. Based on our.
Coworking Space Business Plan [Sample Template]
Steps on How to Write a Coworking Space Business Plan. 1. Executive Summary. At Wok Zone, we plan to create an entirely new marketplace that fills the gap that employers are leaving behind. Our objective is not to recreate the same quality of working life that employers have been providing for more than a century now, but to create a better ...
Coworking Space Business Plan [Sample Template]
A Sample CoWorking Space Business Plan Template 1. Industry Overview. Co-working space business falls under the serviced office leasing (SOL) industry and operators in this industry rent or lease fully furnished office space to businesses on a part-time or as-needed basis.
Competitive Analysis for a Coworking Business (Example)
This analysis helps in identifying your coworking business's unique selling points, which are essential for differentiating your business in a competitive market. In addition, competitive analysis is integral in laying a solid foundation for your business plan. By examining various operational aspects of your competitors, you gain valuable ...
Coffeehouse Business Plan
4. Understand the Objective of Your Business Plan. Write down your objectives for your coffeehouse business plan. The objectives you may be looking for should be made as much as possible for the long term. Of course you can write for a short term when you are going to be making the business plan. 5.
Cherry Hill Mall adding six new tenants, including Alo Yoga
Signature Workspace, 11,251 square feet: The coworking space provider plans to open this summer, an example of the diversification of the mall's space beyond simply retail.PREIT has emphasized ...
Sales & Marketing Plan for a Coworking (Example)
Sales & Marketing Plan for a Coworking (Example) Edward. December 29, 2023. Business Plan, Sales & Marketing Strategy. Establishing and managing a thriving coworking business requires more than just providing a physical workspace; it also requires implementing effective sales and marketing strategies. This guide aims to assist in creating a ...
Coworking Business Plan
Management team. Sales & marketing plan. Download for $90. See an example. The business plan shown here is an example from the Cryotherapy business plan template. Naturally, the. Coworking Business Plan. is customised for your business instead.

Business Plan Checklist for Your Coworking Space

Looking for our full coworking space business plan?

1. Define Your Vision

2. Solve a Specific Problem

3. Define Your Space

4. List Your Business Goals

5. Pick Your Team

6. Coworking Business Model

Who is your audience?

What are your revenue streams?

What are your marketing strategies?

What partnerships can you form?

7. Coworking Business Model Template

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Coworking Space Business Plan Template

Coworking Space Business Plan

Executive Summary

Product Offering

Customer Focus

Management Team

Success Factors

Financial Highlights

Company Overview

Work Together History

Work Together Services

Customer Analysis

Customer Segmentation

Competitive Analysis

King & Hartfield Group

Clarkson Coworking Connections

Moss & Associates

Competitive Advantage

Marketing Plan

Promotions Strategy

Operations Plan

Milestones:

Financial Plan

Funding Requirements and Use of Funds

Financial Projections

What are the Main Types of Coworking Space Businesses?

How Do You Get Funding for Your Coworking Space Business Plan?

What are the Steps To Start a Coworking Space Business?

How to Write a Winning Coworking Business Plan

What is a coworking business plan?

Benefits of a well-crafted coworking business plan

What are the components of a business plan for a coworking space business?

How to write a coworking business plan

1. Executive Summary

2. Company Description

3. Market Analysis

4. Competitive Analysis

5. Description of Management and Organization

6. Breakdown of Your Products and Services

7. Marketing and Sales Plan

8. Financial Projections

9. Fundraising Strategy/Sources

Tips for writing a business plan for a coworking space

1. Always start with your research

2. Crowdsource knowledge from the community

3. Think about who is receiving the business plan and what is important to them

4. Be conservative with your numbers

5. Set measurable objectives

Plan for success with your coworking business

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The Ultimate Guide to Crafting a Winning Business Plan for Your Coworking Space

Table of Contents:

Business Plans 101 (High-Level Outline Template)

#1 Target Market and Differentiators

#2 Main Coworking Product Mix

#3 Extra Revenue Generators

#4 Marketing and Sales Plan

#5 Expenses

#6 Revenue and Cost Projections

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