Can coworking spaces be profitable businesses, and how?
Co-working space is a great concept due to it's inherent appeal to the dynamic of the start-up culture. However, the recent influx of all these start-ups is mostly due to an increase the in the amount of VC and Private Equity funding. Another factor which influences the appeal and popularity of these spaces is the flexibility of not having to commit to long term leases. Many co-working spaces such as NextSpace and pariSOMA work with memberships that can accommodate even the most leanest and startups with the lowest capital. That being said, whether or not a co-working space can be profitable is relevant to several other factors. One would have to predict the maximum effective use of the space (# of desks, offices, conference rooms). You have to calculate a pro-forma of what the projected income of the space will be once you've hopefully reached maximum capacity and how much the difference is between your projected profits and your actual overhead. In the city of San Francis...