With the proliferation of co-working solutions in India, would the problem of finding an office space be over? While functional workstations may be in supply, the demand for high quality productive spaces at affordable rates is still not being met. What is the solution for the same?
There are basically two kinds of players in the serviced office space – co-working and premium business centres. On one end of the spectrum, co-working spaces target early-stage companies with economical plans and on the other end, business centres offer the flexibility of a small office at nearly 40% premium over a traditional lease office. A start up by the name Insta office offers solution to this. The startup’s model rests on disrupting the existing value chain of commercial leasing. It structures partnerships with landlords, whereby they can earn high rental yields from their spaces and customers can get a high degree of flexibility.
As a solution to the growing end-to-end office space requirements, the start up offers furnished office spaces, meeting rooms, virtual offices, business centres and conference rooms. Starting with a single business centre in Gurgaon, today it has more than 50,000 sq ft of area under management, spread across 10 centres in three cities, namely Gurgaon, Delhi and Bangalore.
How has the start up been able to pull on the same? The answer is that it had raised external capital from a bunch of investors. Does this imply that this would be an end to road for co- working spaces?