Coworking + Profit

A while back, I was quoted by someone as saying:

“Designing your product for monetization first, and people second will probably leave you with neither.”

Just recently, Chris and I were talking about the growing tension on the Coworking list between profit and community – a tension that shouldn’t be happening…especially so early in the game. Coworking is really about paving new ground right now. It’s setting forth to create something different. When we started out spreading the word about coworking, we didn’t have the idea to turn any of our spaces into a business. The idea was to be able to create a space where we could work amongst other web workers like in a coffee shop, but without the pressure to buy more coffee and with the ability to meet with clients, etc. and brainstorm now and then. If it was to be our living room, like Amit Gupta created with Jelly in NYC, then so be it! But the point (for us, anyway) was to get OUT of our living room and separate some of that live/work stuff.

I’m currently reading a book on the study of Social Capital and within it, each one of the sociology theorists agree, networks of people are formed through benefiting the individual first, which then positively effects the wider community, creating strong connections and abilities to collaborate, etc. through these networks. We struggled with our initial foray into coworking at Teh Space (now The Hat Factory) as we assumed everyone wanted to be part of it as a benefit to the whole community. Hell, even we didn’t go often enough because it wasn’t convenient.

So, when we started Citizen Space, we knew we would have to approach it differently. We couldn’t assume everyone would join because they wanted to see the local coworking space thrive. There would have to be something in it for them…BEYOND a place to work, BEYOND reliable wifi, BEYOND the lack of being pestered to buy coffee. So we poured our heart and souls into creating a space that would be great for people, offered it for free for those who just wanted to drop in so that desk owners would get the benefit of interesting people dropping by, involved the desk owners in everything to feel as if the space is theirs, worked hard at bringing in interesting events and offering a nice, equipped space where people can work and socialize to their hearts content, etc. And still, we have days and sometimes weeks where we have sparse attendance in the office. Why? Because it is still more convenient for many web workers to either work out of their home office or their local coffee shop. It turns out that those in our space who are there most often are quite dedicated to the idea of community…we attracted awesome people to our space because of the way we were approaching it.

And we visited the lovely Sandbox Suites the other night for their grande opening. It’s a nice space and conveniently located. They have put alot of work into making it everything that people need. Lots of meeting spaces, white boards, a T1 line, mobile, open desks as well as more privacy orientated work stations, lots of comfy sitting areas, coffee, etc. AND they are opening every day of the week from, like 7 a.m. – 6 p.m. (M-F) 10 a.m. – 6 p.m. (S-S) That’s dedication. Yet, as Sasha told me, they are still struggling for people to come by regularly. They have smatterings of people here and there, but the bulk of people are STILL filling up the coffee shops, fighting for tables, etc. The same issue is happening with Berkeley Coworking and many others, including Citizen Space of late (it’s been very slow). Even as coffee shops are getting frustrated and covering outlets, choking the wifi and putting limitations on time, people choose to go there instead of a coworking space. They are choosing to go to a place that can be hostile to web workers rather to one that is warm and welcoming…why is that?

And there we are on the coworking list talking about being for profit? We keep going back and forth on business models and arguing over how for-profit to be. Sure, go ahead, but as many of us who are GIVING IT AWAY FOR FREE* aren’t even meeting the needs of the people we want to attract, I think profit is a long ways down the line.

And, no, we don’t have rich parents or sponsors. I don’t know anyone on the list with that sort of connection. We have hard-earned money (or huge amassed debt) and a dream. We want affordable, convenient spaces that allow for collaboration, openness and community…and many of us believe that this should be done in a way that respects the environment (sustainability). And, yes, we also want to be ‘sustainable’ in the way that we don’t have to close our doors in 6 months time.

We should start looking at coffee shops closer. What is it about them that serves people so well? Is it the lack of having to commit? The regular hours? The ambient intimacy? The rotating variety of people? We all recognize the downside of coffee shop working: loud, forced coffee consumption, cramped tables, etc. but when we think about coffee shops, do we feel a natural revulsion? Me? Nope. It sounds nice. I actually need to go to one every now and then and feel the energy.

Are these discussions putting monetization before people? I don’t know. Maybe we’re just being practical…inclusive…open… That’s all well and fine, but my fear is that if we go down that path, we will end up with neither.

* we aren’t a registered non-profit, we just don’t make any profit. 🙂

Coworking in Argentina

CoWork CentralIt’s been an amazing month since I started calling myself a “Space Catalyst”.
I’m proud to announce the creation of a coworking space in Argentina, right in Buenos Aires city.

I’ve been very happy about the response in my local community. With all the freelancers I talked to, they are all telling me that they’ll love a coworking space in the area and they cannot wait until it’s open. Many of those are designers and programmers.

With these positive comments I started working on a brand, registering domains, doing some real state research and since yesterday I started an online survey for all those argentine freelancers (following the steps of Tara’s survey and the business plan from CubeSpace that was really helpful), with the help of some freelance friends that are helping me in areas involving: press, marketing, design advice, and diffusion mainly.

Although the survey is 100% Spanish, if you’ll like to take a look just point your browser to: http://www.cotrabajo.com.ar

So far, the survey is getting very positive results. The data collected will let us know several issues about the local freelance market, not only coworking-related stuff.

Also, we thought it would be a very positive thing to give something in return for the time spent in answering the questions. First, the participants can enter into a small contest to win several t-shirts with a design customized by each one of them, and second, to all those blogs that are linking to the survey’s homepage, we’re going to add all the links pointing back to them in order to send some traffic back.

I’ll keep up on the results of the survey and with the progress of the space, that I’m keen it will be the first of many in Latin America.

Recent press about Coworking

There have been a number of really good posts about coworking that should be mentioned here, even though they’ve all been adding to the Ma.gnolia Coworking Group.

  • Shared offices growing in S.F., Peninsula – Examiner.com:

    For some entrepreneurs, the idea of managing their own offices just doesn’t make sense. Sometimes, they’re consultants sick of working from the dining-room table or buying endless cups of coffee in a cafe. Sometimes they’re bigger startups or satellite offices that just don’t want to deal with buying furniture, setting up fax machines and hiring someone to man the front desk.

    So another set of entrepreneurs has sprung up to meet these needs by providing shared office space. A diverse bunch, ranging from multi-state corporations with “plug and play” environments to small companies offering one large workspace, these businesses are growing in both San Francisco and the Peninsula.

  • Coworkers of the World, Unite! in The American Prospect: The always-on, perpetual freelance culture of Web 2.0 has spawned its own “coworking” spaces, but are these new techno-optimists building sustainable communities?
  • Co-working can solve non-traditional office issues from the OrlandoSentinel.com: “The majority of the people that use this space are making a living doing what they love,” said Alex Hillman, 24, who helped launch Independents Hall, a co-working space in Philadelphia, earlier this month. “This is a happy medium where you maintain your independence, but you get a little of that office backchannel.”
  • Resident plans shared space for creative work in The Daily Tar Heel: A solution is on the way for local freelance workers, startup-business owners and even students who need a place to call “office” without shelling out hefty rental fees.

If you’ve got a quote or other good press for coworking, definitely share it with Ma.gnolia group and tag it with !

Jelly Austin, TX and Jelly Atlanta Coming Up!

Jelly2.gifTwo new Jellies go live in the next few weeks — tell your friends in Austin and Atlanta to sign up!

Coincidentally, the next Jelly NYC is next Friday, October 12th.

As always, all events are free to attend, and everyone is welcome. Help spread the word!

21 Sept. an invite to brooklyn coworking’s metamorphosed location

dear fellow NYC freelancer,

it’s been a while since we shared the wifi-hotspot-double-mocha-frappa-whatchamacallit, exchanged tips on client management, conference hangovers and discussed the virtues of Kurt Weill and Yochai Benkler’s Wealth of Networks. i’m sorry i haven’t been back to that coffee shop.

i have to let you in on secret. well, it isn’t really a secret, but one of those NYC underutilized facilities… last summer, beka and i banded together to create Brooklyn Coworking at Not An Alternative (NAA). we broke free from hourly coffee purchases and created a space for new york’s alternative working community – a cafe-like community and collaboration space for programmers, net-artists, online organizers and independents.

about a month ago, brooklyn coworking undertook a metamorphosis, tore down some walls and is no longer limited to a cozy café environment. if you attended Glowlab‘s Conflux, you’ve seen the spaciousness!

are you tired of complaining to your cat about broken code or a bad client?

wondering what is the next wave of social software?

looking for an invigorating environment to call an “office?”

if you are in NYC on friday, 21 september, join my best friends for williamsburg’s coworking open house and happy hour! i promise you an absolute delight!

you’ll find all the deets on Not An Alternative’s Blog.

XOXO from india,

noel hidalgo

photo courtesy of the NAA’s blog post…

future coworking software and the importance of community

after helping fortify the idea of coworking in NYC, i’ve set forth to travel the world and meet fellow coworkers. here’s just a few minutes with christopher aguiton, one of the Parisian coworking/barcamp leaders.

if you have a chance, also check out my interview with two freelancers in berlin.

The Philadelphia Inquirer loves IndyHall

A reporter and photographer spent several hours at IndyHall this past Wednesday and the product of their work hit newsstands this past sunday morning…we’ve got a bunch of printed copies of the biz section of Sunday’s Philadelphia Inquirer but if you’re not near a copy (or your newsstand doesnt carry it) you can read it here! If you do grab a copy, we’re on the front AND back page of the business section.

Photo of the front page via Mika Kania

Inky

The local response and support has been absolutel incredible, lots of drop ins coming out of the woodwork to check out our space.

Our grand opening is September 1st, if you’re in or near Philadelphia I encourage you to RSVP and attend!

Let’s walk through through IndyHall together!

We shot a little video earlier this week and I finally figured out how to cut together some stuff in iMovieHD.

Check it out, and leave comments/tags! Oh…sorry about the fact that I’m talking crazy-fast…I’ve been drinking a LOT of coffee!

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We’ve been open all week for free use. Our internet was spotty since we were borrowing a connection from a neighbor until today, when we had our DSL line installed. On Wedneday, we had 15 people working from the Hall and the Philadelphia Inquirer spent about 4 hours here interviewing and taking pictures.

Tonight, just 5 days after our first day in the new office, we’re having our first official event, a brainstorming session organized by one of our members for his client. We’ll be videotaping that as well, so expect o see that posted to the IndyHall site.

We currently have 15 desks and chairs put together, and next week will be fitting out our lounge and conference room.  If all goes well, we have a good deal on digital projectors and other office equipment like that.

We’ve got a lot of donated gear too, from furniture and items for the kitchen, lounge, and office supply closet to a recovered server rack for our networking set up.

Our free use will roll into membership driven use on September first, but not without a big bash! Keep an eye on our Upcoming Event and RSVP if you’d like to attend the social event. We’ll have an open house all day, and in the early evening we’ll switch over to reception mode, crack open some champagne, and toast, before heading over to our partner bar less than a block away. I hope to see lots of people on the 1st, it’s going to be awesome!