I recently had an interesting conversation with a business associate I had not seen in over 5 years. I found it interesting that he assumed since he has not seen me for awhile that he though my company went out of business. The reason for his assumption might be something of interest to you.
When my associate and I last met my company, SyncLab Media, was located in a coworking type office space. Though we were in a private office suite the wide open floor space outside our offices was being used as an area where people who felt they could not use a fixed office space. These people hanging around outside our office produced a negative image of the overall office space.
Sign of Struggling
To my acquaintance, who is CEO of a growing boutique consulting company, our officing in a coworking space was a sign we were struggling. Apparently, having an office in a co-working or executive office space facility does not produce the professional image that is being advertised and could explain why our business did not take off until we got out of that facility.
The question then became, does setting up shop at a coworking, executive suite office space facility hurt your brand or not?
Image is Everything
Naturally, there are success stories for each side of this debate. For freelancers, residing in a coworking space is a 100% improvement over doing business out of their kitchen. But for a professional business offering a high-end product and who processes a large volume of client meetings a week, the coworking facilities gives off a lesser professional image, especially when the common area of a coworking space where clients wait for their appointment is filled with pool tables and pinball machines.
Setting up our business in a coworking space sounded good at the time and for a short period of time did work. However, the coworking space business model lacked the focus needed to nurture the interest of their larger tenants brand image.
Downside to Coworking Space
Open Coworking space has been around for almost 10 years. The downsides of officing in a coworking space are now starting to leak out. What initially started out being places for creative individuals to work is now seen by consumers as a weakness in a company’s business plan. Consumers are not taking a company officed in a coworking or executive suite facility seriously.
In the consumer’s eyes, a business stuffed into a small windowed office is not taking themselves seriously and appear to prospective clients as the company leadership is only testing the waters as a business.
For Some, it Doesn’t Matter
Again, for individuals freelancers who work only for other business, that business is their image. Unfortunately, for them, they could work in the medium of LBJ Freeway and it would not make any difference to them how they came across to others.
But, for a business, who services 50+ clients a year who all pay on average $10k a month each, the image of being officed in an office environment that does not take professional image serious is quickly going to hurt the business retaining those clients.
Queue Commerical Real Estate Brokers
It should be encouraging to the commercial real estate brokers of the area to know that Small office space is of interest to more businesses needing to get out of the coworking environment.
At least that is what we are finding as being true.
Where You Work = Who You Are
Your business image is reflected in the office space your use. Take your brand image seriously. A client who spends a million dollars a year with your company is expecting you to have an image holding to a million dollar standard.
If you are a business currently stationed in a coworking facility and monthly are finding you are scratching your head wondering why you can’t keep clients you might find that the coworking environment is working against you. Moving to your own space could help..surely it could not hurt.
Let me know how I can help.
