Thriving In Smaller Markets
As with any other type of business you start, you will aim to achieve numerous goals or milestones as you open and then grow your coworking company. Every situation is different with slightly different milestones, but there are some general ones that most coworking companies will come across.
The very first milestone you must reach as a coworking company is the same as any other new enterprise: establishing a profitable business model. You will achieve this relatively early on, hopefully before your space even opens. After all, creating a business model that can work is essential before you begin investing time and money into your business. You want to know it has the potential for success.
There are also other milestones related to strategy, such as when you create a marketing strategy that gets out your brand and is both scalable and realistic. Other milestones will be specific landmarks in your business that indicate you are on the path to success, such as when you get the first person to sign up for a long-term membership or their monthly membership. You can choose additional similar milestones, such as having 10 repeat memberships. Choose the specifics based on what seems realistic for your space. A related milestone can be the first day that all seats in the coworking space are filled.
You will also have other long-term milestones to work toward, such as when the demand for your coworking space is greater than the available room and when you either expand your current space or open another location. You can also set specific sales milestones, such as reaching a certain profit in a given week or month.
The steps to evaluate whether a particular milestone will pose a challenge vary based on the goal in question. As a rule, you can get an idea of how hard it will be to achieve the milestones based on your business plan, your calculations for expected profits, and the market in the area. You will find it much more challenging to reach a goal if there is not enough demand for coworking spaces in your area or you do not offer the amenities people want in one of these spaces.
As you come across a challenge toward achieving a milestone, take the time to reevaluate the milestone in question and your path. Then, adjust your strategy or the milestone if necessary. For example, you may realize that you set your milestones related to profits too high and need to bring them down to reasonable levels. You should also be willing to get additional support from outside resources when necessary to achieve a milestone. For example, you are unlikely to be able to formulate a scalable and effective marketing strategy alone, particularly without experience. So, you should consider hiring a marketing agency to assist with this. A small investment in services like this may pay off, provided you select the right company.
Save your community manager 41 hours each week—learn how The Yard did it with cloud-based access control.Read the Case Study