A Coworking Space vs. Traditional Office: Which is More Cost Effective?

The U.S. Small Business Administration reports that small businesses employ nearly 50% of the U.S. workforce. And from 2015-2018, the economy added 1.5 million new businesses. American workers are shying away from traditional employment for the flexibility to be a business owner. Who doesn’t want to be their own boss anyway?

If any new business owner or freelancer knows, the cost to start-up is significant (we’ll leave that conversation for another day). One successful strategy is to narrow in on cost reduction, which is where Studio Workspaces comes into play. When comparing the coworking space vs. traditional office, the comparison points to a clear winner.

Coworking spaces are more cost-effective when compared

In our downtime (does that even exist?), we worked up a price comparison for a coworking space vs. traditional office. We’re being fairly conservative, but we find that a coworking space saves about $50 per month. A lot of that comes from monthly utility fees since memberships include all utilities, office supplies, internet, as well as complimentary beverages. With the number of cups you drink a day, just imagine how much you can save on coffee alone?

Let’s go back to the start-up cost. Time is something you really can’t afford to spend as a freelancer or new business owner. One cost for a coworking space dramatically cuts down the amount of time you have to spend paying bills. Office internet, utilities, grocery bills, etc. all get to cut down into one monthly payment. Hallelujah!

Less overhead costs

We included $125 per month for furniture on our comparison sheet, but that’s primarily for upkeep. If you need to furnish a traditional office from the get-go, that price is hefty and could set you back early on. All of Studio Workspaces private offices and meeting rooms are turnkey and furnished, designed to keep you productive and the cash in your pocket.

One more thing to consider: the technological benefits. Our virtual memberships offer services like call answering and other similar duties that leave you without the need to hire an office manager or receptionist. Basically, what we’re saying is to sit back and relax because we’re taking care of it for you.

Want a better look at a coworking space? Book a tour with us at Studio Workspaces today.