Shared Office Vs. Coworking: The Difference

Shared office vs coworking

Companies have 0 for a long time, therefore the principle of shared office is not new, but the term "coworking" has only been used in the UK since 2005.

The similar meanings of the two phrases sometimes generate confusion. The industry that provides these working possibilities hasn't established a normative definition for either, which is one aspect of the problem. On the other hand, in the past 15 years, the English language hasn't advanced enough to distinguish between shared office and coworking (although things are changing in both regards).

The misunderstanding is only becoming worse as more sizable office spaces start to offer both coworking and shared office alternatives.

We'll shed some light on the murky situation and help clear up any misunderstandings in the parts that follow so you can decide which option is best for your company.

What Is Shared Office Space?

The formal definition of shared office is:

An arrangement wherein a company that owns or manages a large space, rents redundant offices to smaller companies.

Consider, for example, if a company rents a vast room but barely utilises two-thirds of it. They can share the office space with another company by subleasing the remaining third to a real estate or architectural firm.

The other firm obtains access to a professional office they otherwise wouldn't be able to afford, while the other company makes some money on underutilised equipment.

What Is Coworking?

The formal definition of coworking is:

The use of an office or other work environment by people who are self-employed or working for different businesses, typically so as to share equipment, ideas, and knowledge.

A lifestyle entrepreneur, a freelance writer, one or two members of a stealth phase business, and a digital nomad may all be working at the same huge table in a coworking space.

The idea of coworking also encompasses a shared community built on mutual trust, similar fundamental values, and the synergy that results from working with other like-minded people outside of the actual physical place where varied individuals and teams join together.

Can Shared Office Space And Coworking Exist Together?

The funny thing about shared office vs. coworking is that the two work arrangements may coexist in the same location, which is also one of the things that contribute to the misunderstanding that surrounds it all.

Think of a sizable workplace from the 1980s or 1990s with cubicles in the middle and smaller individual offices (or suites of offices) on either side.

So that everyone may work side by side at huge tables, take down the cubicle partitions. Coworking occurs in this "open cubicle space". In a collaborative setting, company owners, independent contractors, and teams from a wide range of industries collaborate, network, and share resources.

The special configuration makes it possible for shared office spaces and coworking to coexist in the same area. To ensure you completely get the distinctions, we will distinguish the concept of a shared office separately from a coworking space in the following part.

Ways Office Sharing Differs From Coworking

Privacy
Privacy is one of the key distinctions between coworking and shared office spaces. If you share an office, there will be a door and walls separating you from the other individuals using the area.

In a coworking environment, you will have access to private conference rooms and phone booths but will spend most of your time in the shared office area with other people.

Price
Coworking is less costly than shared office space. When you hire a shared office, you are basically paying for the privacy and the devoted space they entail. Also, you pay for the constancy of using the same area every day.

You may work at a coworking space on Monday on one side and Tuesday on the exact opposite side. What happens all depends on when you come and who else is working that day.

Terms
You wouldcould have to sign a long-term contract in a standard shared office arrangement. Yet, with coworking, agreements are rarely longer than three months. In some cases, you can even rent on a month-to-month basis.

Furniture
Desks, seats, printers, servers, and other necessary furnishings would likely need to be provided by the real estate firm owner if you were subleasing office space.

You have access to everything in a coworking environment. You'll have everything you need to be productive if you just bring your laptop and anything else you'll need during the day, select a seat, and use the WiFi and printers that are available.

Infrastructure
You must take infrastructure into account if you go for a shared office with another company. Utilities, such as gas, electricity, water, and internet, may take up much of your time and money to arrange for, manage, and pay for.

Yet in a coworking space, all of that is covered by the rent and handled by a different person. You won't need to bother about upkeep or repairs.

Overhead
You will be in charge of paying the overhead necessary to keep your company operating if you decide to share an office. You'll need to set aside money for things like IT support, interior design, maintenance, cleaning, and repairs. This might significantly reduce your working capital.

If you decide to rent from a coworking space, those costs are already factored into the price, so your overhead is essentially nonexistent.

Flexibility 
Flexibility is a special and advantageous distinction between coworking and shared office space.

A standard office-sharing lease requires you to pay whether you utilise the facility entirely or not. You will still be required to pay for the third office even though it is vacant if your company unexpectedly reduces from three offices to two.

Depending on your company's demands, you can change the size of your office each month at a coworking space.

Networking
Developing your professional network is the key to successful networking for your business. Your firm will prosper if you have a strong network of customers and business experts on your side.

Your team's networking options are severely constrained when you share an office. Certainly, your team will occasionally communicate with the team from the other company, but that's about it.

Also, you won't be able to take advantage of networking because you are sharing office space with a company in a related field.

On the other hand, as you work, a coworking space enables you to network with experts outside of your field. You are exposed to individuals, systems, concepts, and solutions you never would have imagined.

It is something an office-sharing agreement cannot provide.

When you base your company, your team, or simply yourself in a coworking space, you turn working and networking into one productive activity that will grow your business.

Amenities 
An office-sharing agreement has only a few facilities. The primary reason for being there is the workspace, however, occasionally you might plan a catered lunch or an after-work happy hour.

Workplaces aren't the only thing coworking spaces provide. Moreover, they provide conveniences that help your staff concentrate and complete tasks more quickly.

You and your team have the freedom to work whenever and however you see fit thanks to services like simplified billing, online conference room and facility booking, access to numerous locations, onsite cleaning and maintenance, and even limitless black-and-white printing.

The Right Pick? 

Everything you require is available at Office Hub, including both coworking and shared offices.

You may find precisely what you need at any of our numerous sites around the UK, whether you want a private office, a suite of offices, a shared office, or just a spot to rest your laptop.

Everyone at Office Hub benefits from the same top-tier services and professionally crafted furnishings, whether they are working alone to launch a business or need space for a staff of 50 or more.