If you run a business or are thinking about starting one, finding the right place to work is a big decision. Office space is often the second‑biggest expense after salaries, so you want to get it right. The choices have changed a lot in recent years. Long leases on bare rooms aren’t the only option anymore. You can join a shared coworking community, move into a fully managed office suite or still go down the traditional route of renting your own private space. Each has its perks and trade‑offs. Let’s walk through them in plain language.
What’s it like to work in a coworking space?
Imagine a modern, thoughtfully designed building filled with people from different companies, all working side by side. That’s coworking. Instead of committing to a lease that lasts several years, you pay a membership for a desk, a private room or even just a handful of days per month. Facilities like high‑speed Wi‑Fi, printers, meeting rooms and a friendly receptionist are all part of the package. Many coworking hubs host workshops and social events so you can meet other professionals in your field.
One of the biggest advantages of coworking is that you don’t have to spend a lot of money up front. You don’t need to buy furniture, set up internet lines or hire cleaners. You simply turn up, plug in and get started. Because everyone shares the costs, you’ll often pay less than you would in your own leased office, especially if you’re just starting out or have a small team. The U.S. Chamber of Commerce notes that coworking lets members save on office costs while fostering collaboration and productivity. It also gives you freedom. If your team grows quickly or shrinks, you can add or reduce the number of desks without penalties. That flexibility is a lifesaver when business conditions change unexpectedly.
Coworking is also about community. You share space with freelancers, startups, remote corporate teams and creatives. There’s a constant buzz of energy, and it’s easy to strike up a conversation over coffee. Many people find new partners or clients just by chatting in the common area. A survey of coworking members found that networking and a professional yet inspiring environment were among the top benefits. Being around motivated people can make your own work feel more fun.
That said, coworking isn’t perfect. Privacy can be an issue if you’re working on confidential projects. Even if you rent a private office within the coworking centre, the walls are often thin and sound carries. Noise and activity in the open areas can be distracting when you need to focus. You’ll also have limited control over the décor and layout because the provider sets the overall look of the space.
How are managed offices different?
Managed offices sit between coworking and a traditional lease. Here, a workspace provider rents an entire floor or building, furnishes it and installs broadband, meeting rooms and kitchens. They then rent private suites to client companies on terms ranging from a few months to a few years. You get your own secure space to brand and arrange, but the provider still takes care of reception, maintenance and cleaning. It’s like living in a serviced apartment instead of renting a bare flat.
This arrangement suits businesses that want their own address and privacy but don’t want the hassle of managing an office. You can move in quickly because the fit‑out is already done. As your team grows, you can usually take over the suite next door or a larger floor. If you need to downsize, the provider will help you adjust. A survey by JLL, a real estate consultancy, found that almost one‑third of companies were using flexible workspace and 42 % planned to increase that investment. This speaks to the popularity of managed offices among growing companies.
Managed offices cost more per person than open coworking desks, but much less than fitting out and running your own office. All the day‑to‑day running costs cleaning, utilities, internet, reception staff are bundled into one predictable monthly fee. You don’t have to negotiate with contractors or chase down repairmen, which frees you to focus on your business. Another advantage is the professional image. Managed suites are often located in prime buildings with stylish interiors and concierge services, impressing clients and potential employees.
There are trade‑offs. You have less freedom to make structural changes compared with a leased office, and you’re still dependent on the provider for security, IT and building access. For many companies, though, the convenience outweighs those drawbacks.
What about renting your own private office?
Traditional leases are still a common path, especially for larger or more established organisations. In this model you sign a contract directly with a landlord, usually for several years. You build the space to your specifications, hire contractors, purchase furniture and set up internet and security systems. Once everything is ready, the office is completely yours. You control the floor plan, decor and operational policies. There’s no sharing unless you sublet part of it to another tenant.
The main reason to choose a private lease is total control. It’s easier to create a branded environment and meet highly specific needs, whether that’s a laboratory, dedicated storage or advanced security. You don’t have to worry about other people’s noise, and you can schedule maintenance or renovations on your own timeline.
However, owning or leasing your own office means you’re responsible for everything: cleaning, power bills, repair work and compliance. It’s expensive and time‑consuming. Long leases also lock you into a certain size of space. If your headcount changes dramatically, you might end up with empty desks or not enough room for everyone. For this reason many companies find managed offices or coworking a more flexible choice in uncertain times.
When deciding between coworking, managed offices and a traditional lease, consider your priorities. Here are some guiding questions:
- How long is your planning horizon? If you expect to stay the same size for several years, a private lease might make sense. If you anticipate rapid change, flexibility is valuable.
- What level of privacy do you need? If your work involves sensitive information, a managed suite or private lease offers better confidentiality than an open coworking area.
- How important is community? For small teams looking to expand their network and access events, coworking delivers in spades. Managed offices provide some networking opportunities, while private leases offer little built‑in community.
- Do you have the time and resources to manage an office? Outsourcing operations to a coworking or managed provider can free up energy to focus on your core business.
- What’s your budget? For startups with limited capital, coworking keeps costs low. For mid‑size firms with stable cash flow, managed offices balance cost savings with the benefits of a private space.
Conclusion:
Ultimately, each model serves a different need. Coworking offers agility, affordability and community. Managed offices provide privacy, scalability and professional services without the burden of operations. Private leases deliver total control at the cost of flexibility and higher overhead. By understanding what matters most to your team, you can choose a workspace that feels like home now and supports growth in the future.