Previously, the very thought of coworking spaces was repulsive to several companies and entrepreneurs. However, with the recession biting deep into the budgets of companies, more and more companies are looking to co-working spaces as a solution to accessing affordable office space.
This, in turn has led to the vibrancy of the real estate sector despite the lamentations of several other sectors during these harsh economic times. The cost of renting an exclusive office space in a choicy section of major cities nationwide is an Herculean task both physically and financially. Most of these locations are already filled up to the brim and any available space costs an arm and a leg, which is usually difficult for businesses to afford now.
Thus, new emphasis is being placed on coworking spaces which can come in either between 15 square metres to about 21 square metres, or one-man office, two-man office and four-man offices. Apart from its affordability and low cost, the model comes with payment flexibility and provision of some basic office facilities in a serene environment.
Irregular power supply, high taxation, unwillingness of banks to grant loans to fund the business which requires close to N20, 000,000 to start, bad roads, low acceptance culture amongst Nigerians and insecurity in terms of location are some of the problems that coworking spaces solve for businesses.
The business is expecting to continue booming with more and more Nigerians depending on virtual offices, which grants them an office address and allowance to conduct meetings with clients. “People are now seeing the need for flexible model; to rent just what they need and for the time suitable for them. With the recession, some larger companies are scaling down, more people are working remotely and have smaller spaces”, Chief Executive Officer of Capital Square Workspace Solution Limited, Lekki, Mrs. Modupe Odunyemi stated.
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