Does this coworking founder story sound familiar? ‘I started my space because it didn’t exist in my neighborhood? I love the concept, I love the community, so why not?’ This might be your story.
This common story means that coworking spaces are often a side business to a lot of entrepreneurs. They own a small business already, needed office space, and figured it would be fun and easy to just sign a larger lease and invite others in. You’ve heard this before?
The problem with side businesses is that they can quickly go from fun hobbies to physically and emotionally exhausting ventures in just a few months. Being a tired owner of a coworking space is a common experience because of both success and struggles.
If the space is filling up with members, then it now requires unavailable full-time attention. If the space is struggling, then it might need someone with different skills, more money, and more time. Either way, if the coworking space is causing stress, it might be time to hand it over to someone ready to take it to the next level and for you to cash out.
7 Common Reasons for Selling Your Coworking Space
- Financial: The space is not making enough money
- Time: You can’t give the community or the space enough hours in the week to move it forward.
- Commitment: Long-term leases or owning a property require years of commitment, and this can clash with potential future plans.
- Other priorities: Whether it’s another business, family, or personal, other things come up that need your limited time and energy.
- Not having the right skills to push it forward: The industry has rapidly changed and maybe your skillset isn’t what’s needed anymore. You may also know someone else with the right skills to take the space to the next level.
- Stress: If your plate is full of worries about other things in your life, it may make sense to downsize.
- You want the cash: You built the business, had fun, and made friends. However, you built a business to make money and it’s time to cash out and go on vacation.
Selling your coworking space can be a difficult decision and a very personal one. Nicole Vasquez, founder of The Shift, sold her second location in Chicago within a few years of opening her space and described the feeling of being free to pursue her other businesses.
‘There were a few reasons but the biggest was that I had another company that needed more of my time and focus and after running the space solo for 2 years straight then running it part-time for another 1.5 years, I was mentally ready to exit. ‘
Selling Can Keep the Community Together, Reward You for the Hard Work
In the past, many coworking spaces have simply not renewed the lease for the space and closed down. The saddest part is that the community is forced to separate or go back to working from home. The owner doesn’t get rewarded for their hard work, and the place just ceases to exist. Closing a place down is the simplest option, but has the least upside.
Steps to Selling Your Coworking Space
Once you decide that you want to see how much your space could be worth and create a listing on DenSwap. Our account managers will schedule a call with you to learn more about your space and the type of buyer you’re looking for.