5 Examples Of Successful Coworking Space Franchises

McDonald’s. 7-Eleven. Marriott International. These household names are all examples of successful franchises that have been around for years. But, are you familiar with Khospace, Office Evolution, or Venture X?

Similar to the aforementioned, these three organizations are successful franchises in their own right.

Franchise Direct defines franchising as, “a form of marketing and distribution in which the owner of a business system (the franchisor) grants to an individual or group of individuals (the franchisee) the right to run a business selling a product or providing a service using the franchisor’s business system.

Franchisees are also given permission to use the franchisor’s branding, trademarks, and identifying marks under specified guidelines.”

Basically, this means entrepreneurs are given the opportunity to run their own business but don’t have to worry about creating a business plan, establishing a brand or following, or doing any of the heavy lifting that comes with starting a company.

The entrepreneur gets to run a successful business with support from the top, and the parent establishment is rewarded with royalties – it’s sort of a win-win.

Today, we are embarking on a journey through the vibrant ecosystem of coworking franchises, highlighting five standout success stories that have made a significant impact on the industry.

These franchises not only demonstrate the effectiveness of the franchising model, but also showcase the diverse approaches to creating thriving coworking communities. Our goal is to make these organizations as recognizable as McDonald’s and 7-Eleven.

Quick Summary

• Breaking down 5 of the top coworking franchises and seeing what has made them successful
• Exploring the benefits of running a coworking space franchise

The Rise of Coworking Space Franchises

With the concept of coworking growing ever so rapidly, coworking franchises are becoming much more attractive to entrepreneurs around the world.

Franchising is more than just a business strategy – by replicating successful coworking models, franchises empower entrepreneurs to bring tried-and-true workspace solutions to new markets, ensuring consistent quality experiences.

Additionally, entrepreneurs who want to own and run a business can save invaluable resources, like time and money, and get set up much faster.

The Growth Trend of Coworking Franchises

Coworking franchise champions like Venture X and Office Evolution currently have over 60 and 80 locations respectively across the market. Office Evolution in particular, has nearly 40 years of experience, giving them a solid foundation to grow their organization.

When thinking about expanding their brand, companies like Office Evolution and Venture X have franchises like Regus to look up to.

Regus might just be the largest coworking franchise, boasting over 4,000 locations worldwide and offering meeting rooms, offices, and general coworking spaces in every major city across the globe.

This confirms there is both demand and opportunity for coworking spaces to make franchising a success.

Benefits of Franchising in the Coworking Industry

A powerful catalyst in the coworking industry, franchising enables rapid and sustainable growth across participating organizations.

Here are some of the key benefits of franchising a coworking space:

• Scalability and Expansion: Franchising allows coworking brands to expand quickly into new markets without the heavy capital expenditure typically associated with opening new locations. Franchisees invest in the brand, bringing a trusted coworking model to new regions and communities.
• Consistency and Quality: By replicating a proven business model, franchises ensure that each new coworking space maintains the brand’s standards of service, design, and community engagement. This consistency is crucial for building a strong and recognizable brand, as well as creating a loyal customer base.
• Local Expertise and Customization: Franchisees bring local market knowledge and cultural insights, allowing coworking spaces to tailor their offerings to meet the specific needs and preferences of their community. This localized approach enhances customer satisfaction and loyalty.
• Support and Training: Franchisors provide comprehensive support and training to franchisees, equipping them with the tools and knowledge needed to run a successful coworking space. This includes assistance with site selection, design, marketing, and operations.
• Shared Resources and Innovation: Franchise networks benefit from shared resources and collaborative innovation. Franchisees can leverage best practices, technology platforms, and marketing strategies developed by the franchisor, while also contributing their own ideas and innovations to the location.

The rise of coworking space franchises represents a transformative shift in the way we work. By combining the innovative spirit of coworking with the scalability of franchising, this model will undeniably drive the future growth of the industry, creating vibrant and dynamic workspaces that empower professionals worldwide.

Key Attributes of Successful Coworking Space Franchises

In the dynamic world of coworking, certain franchises stand out due to their unique blend of offerings and operational excellence.

These successful coworking space franchises thrive by embracing core attributes that cater to the evolving needs of modern professionals and businesses. Here, we’ll explore the key attributes that distinguish top coworking space franchises.

Flexible Workspace Options

The primary attraction of coworking spaces is their ability to offer flexible workspace solutions. Successful franchises provide a variety of options to accommodate diverse needs, like:

• Hot Desks: Ideal for freelancers and digital nomads who need a spot to work on an ad-hoc basis
• Dedicated Desks: Perfect for individuals who require a consistent workspace with their own desk
• Private Offices: Suitable for small teams and businesses needing a private, enclosed space
• Meeting Rooms: Equipped with state-of-the-art facilities for team meetings, client presentations, and collaborative sessions
• Event Spaces: Available for hosting workshops, seminars, and networking events

By offering a range of workspace options, these franchises can attract a broader clientele, from solo entrepreneurs to well-established companies.

Strong Community and Networking Opportunities

The sense of community is a cornerstone of successful coworking spaces. Franchises that excel in this area foster an environment where members can connect, collaborate, and grow together.

Key strategies to incorporate include:

• Regular Events: Hosting workshops, seminars, and social gatherings to encourage interaction and knowledge sharing.
• Member Perks: Providing exclusive benefits such as discounts, partnerships, and special offers.
• Community Managers: Employing dedicated staff to facilitate connections and ensure members feel welcomed and supported.
• Online Platforms: Utilizing digital tools to maintain community engagement and collaboration even when members are not physically present.

These efforts create a vibrant ecosystem where members can network, find potential collaborators, and build meaningful professional relationships.

Technological Integration and Smart Amenities

In an era where technology drives productivity, successful coworking franchises leverage cutting-edge technology and smart amenities to enhance the member experience.

Essential features include:

• High-Speed Internet: Ensuring reliable and fast internet connectivity for seamless work
• Smart Access Control: Implementing advanced security systems and app-based access like Kisi for convenience
• Booking Systems: Offering online platforms for reserving desks, meeting rooms, and event spaces, like the coworking booking platform part of OfficeRnD Flex.
• Collaborative Tools: Providing access to software and tools that facilitate remote collaboration and project management
• Sustainability Initiatives: Integrating energy-efficient systems and eco-friendly practices to create a sustainable workspace
• Consolidation Tools: Using a system like Zapier to tie all of your tools and technology together

By incorporating these technological advancements, coworking franchises create a seamless and efficient work environment that meets the needs of modern professionals.

Customizable and Scalable Business Model

Flexibility and scalability are crucial for the success of coworking franchises. A customizable business model allows franchises to adapt to different markets and member requirements.

Key aspects include:

• Modular Design: Creating spaces that can be easily reconfigured to accommodate changing needs and team sizes
• Localized Offerings: Tailoring services and amenities to fit the local culture and business landscape
• Scalable Operations: Implementing processes that can be scaled up or down based on demand and growth
• Franchise Support: Providing franchisees with comprehensive training and resources to maintain consistency and quality across locations

This adaptability ensures that coworking franchises can expand efficiently while maintaining a high standard of service and experience.

Exceptional Customer Service and Support

Exceptional customer service is the hallmark of any successful coworking franchise. Ensuring that members feel valued and supported enhances loyalty and satisfaction.

Key components to ensuring a positive experience include:

• Responsive Staff: Employing well-trained staff who can promptly address member inquiries and issues
• Member Onboarding: Offering comprehensive onboarding programs to help new members integrate smoothly
• Personalized Support: Providing tailored assistance to meet individual member needs and preferences
• Feedback Mechanisms: Implementing systems to gather and act on member feedback to continuously improve services

By prioritizing exceptional customer service, coworking franchises can build strong, lasting relationships with their members, fostering a loyal and engaged community.

Now, let’s take a look at a few examples of coworking franchises who have it all figured out.

Spotlight on Regus: A Pioneer in Coworking Franchises

Regus, a part of the International Workplace Group (IWG), is one of the world’s leading providers of flexible workspace solutions.

Founded in 1989 by Mark Dixon, Regus has grown to become a prominent name in the coworking industry, with a network of 7 million customers, including some of the largest corporations in the world.

Offering a wide range of workspaces designed to meet the diverse needs of modern businesses, Regus is the preferred coworking space of Microsoft, Disney, and Spotify, just to name a few.

With a focus on flexibility, convenience, and professional environments, Regus has established itself as a go-to choice for freelancers, startups, and large corporations alike.

Unique Selling Propositions

Regus has extensive services and features that set them apart from their competitors. Aside from being a leader in the coworking franchise space, they also offer:

• An Extensive Global Network: With thousands of locations in over 120 countries, Regus provides unparalleled access to office spaces worldwide, making it easy for businesses to operate seamlessly across different geographies.
• An Established Business Model: 83% of Fortune 500 companies are Regus customers, attesting to the exceptional business model that has been used, repeated, and expanded upon for decades.
• Versatile Workspace Solutions: Regus offers a broad spectrum of workspace options, including private offices, coworking spaces, virtual offices, and meeting rooms, catering to a variety of business needs.
• A Professional Image: Locations are often situated in prestigious business districts, providing clients with a professional image and easy access to key amenities and transport links.
• Flexible Terms: Regus provides flexible lease terms that allow businesses to scale up or down as needed, accommodating both short-term and long-term requirements.
• Comprehensive Support Services: From administrative support to IT assistance, Regus offers a range of services designed to help businesses operate efficiently and effectively.

Growth Trajectory and Global Presence

Regus has experienced substantial growth since its inception, evolving from a single location in Brussels in 1989 to a global network of thousands today. The company’s growth trajectory highlights include:

• Rapid Expansion: Through organic growth and strategic acquisitions, Regus has rapidly expanded its footprint, becoming one of the most recognizable brands in the coworking industry.
• Diversification: Regus has diversified its offerings to include a variety of workspace solutions, meeting the needs of different types of businesses and professionals.
• Franchise Model: Embracing the franchise model has enabled Regus to accelerate its global expansion, allowing local entrepreneurs to open and operate Regus centers in their regions.

Key Features and Amenities

Regus’s dynamic offerings are designed to enhance the coworking experience. Some key features include:

• Exclusive packages offering flexible and cost-efficient membership options
• Access to Regus global business lounge network
• Access to DragonPass and PPG airport lounges
• Exclusive benefits from health and lifestyle partners
• Discounts on business services from global partners
• Regular networking and community events

Success Factors and Lessons Learned

Regus’ success can be attributed to several key factors and lessons learned over its decades of operation:

• Adaptability: Regus has continuously adapted to changing market trends and customer needs, ensuring that its services remain relevant and in demand.
• Customer Focus: By prioritizing customer satisfaction and offering personalized solutions, Regus has built a loyal client base.
• Operational Excellence: Streamlined operations and efficient management practices have enabled Regus to maintain high standards of service across all locations.
• Strong Brand Reputation: Regus’ commitment to professionalism and quality has established a strong brand reputation, attracting some of the largest corporations in the world.
• Innovative Solutions: Embracing technology and innovation, Regus has developed advanced solutions like virtual offices and hybrid workspaces, staying ahead of industry trends.

Spotlight on SUCCESS Space®: Innovating the Future of Coworking

SUCCESS Space® is a rising star in the coworking franchise landscape, known for its innovative approach to flexible workspaces and focus on servicing suburban communities.

As a part of the SUCCESS® Enterprises family, which includes the iconic SUCCESS® magazine and prestigious SUCCESS® Coaching, SUCCESS Space® leverages a legacy of personal and professional development to create environments that inspire growth and productivity.

Launched with the mission to provide dynamic, supportive, and resource-rich workspaces, SUCCESS Space® is quickly making a name for itself in the competitive coworking industry.

Unique Selling Propositions

SUCCESS Space® prides itself on the multiple revenue streams that come with opening one of their coworking spaces. Aside from a range of membership options, these include:

• SUCCESS Space® Cafe: A friendly and inviting atmosphere for members to enjoy coffee, pastries, sandwiches, and charcuterie boards, as well as craft beers and wine
• SUCCESS Space® Coaching: SUCCESS Space® integrates their coaching platform to provide personal and professional development resources within their coworking model. Members will have access to on-site business coaching, mentorship, and educational services through their membership.
• SUCCESS Space® Events: With their award-winning spaces, SUCCESS Space® is the perfect place to host trainings or networking events. Cater food and beverage directly from SUCCESS® Cafe and integrate in-person events with virtual events using state-of-the-art, interactive technology
• SUCCESS Space® World: An exclusive platform that allows members to collaborate with colleagues around the world in 3D. Members will have direct access to this service.

In addition to the attractive idea of multiple revenue streams, SUCCESS Space® is also highly desirable for their:

• Flexible and Versatile Spaces: Designed to cater to a variety of work styles, SUCCESS Space® provides an array of flexible workspace options that can be tailored to individual and team needs.
• Community and Networking Opportunities: With a strong emphasis on building a supportive community, SUCCESS Space® hosts events, workshops, and networking sessions to foster connections and collaboration among members.
• Tech-Enabled Workspaces: Embracing the latest technology, SUCCESS Space® offers smart amenities and digital tools that enhance productivity and streamline business operations.
• Brand Legacy: Backed by the SUCCESS brand, which has a long-standing reputation for empowering entrepreneurs and professionals, SUCCESS Space® carries a strong, trusted name in personal and business growth.

Growth Trajectory and Global Presence

Although a relatively new player in the coworking sector, SUCCESS Space® is on an ambitious growth path. Key aspects of its growth trajectory include:

• Strategic Launch and Expansion: Leveraging the established SUCCESS® brand, SUCCESS Space® has strategically launched in key markets with plans for rapid expansion across the United States and internationally.
• Franchise Model: The adoption of a franchise model enables SUCCESS Space® to expand quickly while maintaining consistent quality and service standards across locations.
• Partnerships and Alliances: Forming strategic partnerships with local business leaders and entrepreneurs has facilitated successful market entries and expansion.

Key Features and Amenities

SUCCESS Space® offers a comprehensive range of features and amenities designed to support the diverse needs of modern professionals, including:

• A robust cafe with coffee, pastries, sandwiches, snacks, beer, and wine
• Strategically designed space offering shared and open workspaces for collaboration as well as a vast selection of private spaces
• 24/7 space access
• Business/administrative support with in-house concierge
• Book by the minute or months at a time
• Discounted healthcare options
• Access to SUCCESS® World
• Educational resources

Success Factors and Lessons Learned

The early success of SUCCESS Space® can be attributed to several key factors, including:

• Leveraging Brand Legacy: By capitalizing on the SUCCESS brand’s established reputation for empowering professionals, SUCCESS Space® has quickly gained credibility and attracted a loyal member base.
• Member-Centric Approach: Focusing on the personal and professional growth of members has helped SUCCESS Space® create a unique and appealing value proposition.
• Innovative Space Design: Designing flexible and versatile workspaces that cater to various work styles and needs has attracted a diverse clientele.
• Community Building: Prioritizing community and networking opportunities has fostered a supportive and collaborative environment, enhancing member satisfaction and retention.
• Adaptability and Agility: Embracing innovation and remaining agile in response to market trends and member feedback has allowed SUCCESS Space® to stay relevant and competitive.

Spotlight on Office Evolution: Empowering Small Businesses and Entrepreneurs

Office Evolution is a prominent coworking franchise that specializes in providing flexible workspace solutions tailored for small businesses, entrepreneurs, and remote workers.

Founded in 2003 by Mark Hemmeter in Boulder, Colorado, Office Evolution was designed to build a “lifestyle-focused and member driven flexible workspace that was affordable, closer to home, and inspired.”

Over the years, it has grown to become a key player in the coworking industry, known for its community-focused approach and commitment to supporting local business ecosystems.

Unique Selling Propositions

Office Evolution stands out in the coworking market with several unique selling propositions:

• Suburban Focus: Unlike many coworking brands that concentrate on urban centers, Office Evolution targets suburban locations, making professional workspaces accessible to those outside major cities.
• Affordability and Flexibility: Office Evolution offers competitive pricing and flexible membership plans, making it an attractive option for small businesses and entrepreneurs.
• Member-Centric Approach: A strong emphasis on building a supportive community and fostering connections among members helps create a collaborative and nurturing environment.
• Comprehensive Services: In addition to workspace, Office Evolution provides a range of business support services, including mail handling, phone answering, and administrative support.
• Local Ownership: Many Office Evolution locations are locally owned and operated by franchisees who are invested in the success of their communities.

Growth Trajectory and Global Presence

Since its inception, Office Evolution has experienced steady growth and expanded its presence across the United States.

Key milestones in its growth trajectory include:

• Franchise Expansion: Embracing the franchise model has enabled Office Evolution to rapidly expand its network, with over 70 locations across the country.
• Strategic Partnerships: Forming partnerships, especially that of Starpoint Brands, have facilitated entry into new markets and regions.
• Consistent Growth: The company has maintained a consistent growth rate, driven by the increasing demand for flexible workspaces in suburban areas.

Key Features and Amenities

Office Evolution offers a variety of features and amenities designed to support the productivity and flexibility of its members, including:

• Commercial lease-free memberships
• Upfront payments to avoid upcharges
• State-of-the-art facilities
• Newly renovated gyms
• Contemporary kitchens stocked with complementary coffee, snacks, and other beverages
• Fast and reliable Wi-Fi networks
• Printing and document production technology
• Notary Services and Virtual Office Plans such as mailing address, live phone answering, and receptionists
• Underground parking
• 24/7 access to amenities

Success Factors and Lessons Learned

Office Evolution’s success can be attributed to several key factors and lessons learned:

• Niche Market Focus: By targeting suburban areas, Office Evolution has tapped into an underserved market, offering convenience and professional services to local businesses and remote workers.
• Community Building: A strong emphasis on fostering a supportive community has helped build a loyal and engaged member base.
• Local Ownership: The franchise model, with locations owned by local entrepreneurs, ensures that each office is closely aligned with the needs and culture of its community.
• Flexible Offerings: Offering a range of flexible membership plans with no hidden charges has made Office Evolution accessible and attractive to a diverse clientele.
• Customer-Centric Approach: Prioritizing the needs and satisfaction of members has resulted in high retention rates and positive word-of-mouth referrals.

Spotlight on Venture X: Redefining Coworking Spaces

Venture X is a rapidly growing coworking franchise known for its modern and professional office spaces designed to accommodate businesses of all sizes.

Founded in 2012 in Naples, Florida, Venture X has been franchising since 2016, opening offices in a wide array of locations with franchisees from hospitality, real estate, and other corporate backgrounds.

A part of the United Franchise Group, which has over 30 years of experience in franchising, Venture X offers a blend of boutique, hotel-style hospitality with a high-tech office environment, catering to professionals, entrepreneurs, and businesses looking for flexible and upscale workspace solutions.

Unique Selling Propositions

Venture X differentiates itself in the coworking market through several distinct advantages, including:

• Premium, Professional Environments: Venture X offers stylish, high-end workspaces with contemporary designs that appeal to a wide range of professionals.
• Flexible Membership Options: With various membership plans, including private offices, dedicated desks, shared desks, and virtual offices, Venture X provides flexibility to meet diverse needs. They also have the option to add on a la carte services and amenities.
• Focus on Community and Collaboration: Venture X fosters a collaborative environment where members can network, share ideas, and grow their businesses together.
• State-of-the-Art Technology: Incorporating cutting-edge technology, Venture X ensures members have access to an advanced IT infrastructure and smart office features.
• Global Network: As part of the United Franchise Group, Venture X benefits from a broad network, offering members access to locations worldwide.

Growth Trajectory and Global Presence

Venture X has experienced impressive growth since its inception in 2012, partly in thanks to the franchise concept implementation. Highlights of their success include:

• Franchise Expansion: Utilizing a franchise model, Venture X has expanded rapidly, with over 130 locations across 30+ countries
• Consistent Market Growth: By maintaining a consistent growth rate and leveraging the expertise of the United Franchise Group, Venture X has scaled effectively and efficiently.
• Proposed Growth: Venture X’s proposed growth rate for flexible work space is 500% between 2019 and 2023

Key Features and Amenities

Venture X delivers an extensive suite of features and amenities crafted to improve productivity and cultivate a pleasant work atmosphere, including:

• Modern, Stylish Workspaces featuring sleek, contemporary designs with high-end finishes and furnishings
• A variety of workspace options in unique buildings and locations
• High-Tech Infrastructure
• Regular community and networking events
• Business support services
• Health and wellness amenities
• Global access

Success Factors and Lessons Learned

Over the past decade, Venture X has been able to scale and grow successfully through:

• A Commitment to Quality: By maintaining high standards in design, technology, and service, Venture X has built a strong reputation for quality workspaces.
• A Member-Focused Approach: Prioritizing the needs and satisfaction of members has led to high retention rates and positive word-of-mouth referrals.
• Flexibility and Adaptability: Offering flexible membership options and being responsive to market trends and member feedback have enabled Venture X to stay relevant and competitive.
• Strong Brand and Support: Leveraging the resources and expertise of the United Franchise Group has provided a solid foundation for growth and expansion.
• Community Building: Fostering a sense of community and encouraging collaboration among members have created a vibrant and supportive work environment.

Spotlight on Khospace: Fulfilling the Wellness Niche

Miami-based coworking space, Khospace, is an emerging franchise exclusively providing spaces for therapy and wellness providers across the country.

Designed to be a more economical alternative to starting a private practice, Khospace stands out for its unique approach to fulfill a specific niche market.

Offering three different office types (Bodyspace Suites for physical and massage therapists, Mindspace Suites for behavioral specialists, and Workshop Rooms for meetings and seminars), Khospace is able to target their services and amenities to meet the needs of their specific audience and cater to a generally underserved population.

Unique Selling Propositions

Different from the other successful coworking franchises we’ve discussed above, Khospace stands primarily out for its targeted value proposition: serving the health and wellness community by way of coworking spaces.

A much less-saturated sector of the industry, Khospace franchises almost sell themselves. If entrepreneurs are looking for a way to provide office space for healthcare professionals, Khospace is a no-brainer.

Additionally, Khospace offers a unique, no-lease business model, allowing the opportunity for healthcare providers to see patients as needed without having to worry about private practice startup and maintenance costs.

Growth Trajectory and Global Presence

Originating in the south of Florida, Khospace has adopted the franchise model and is now expanding across the U.S.

Healthcare is an evergreen field that will always have demand, and with the trajectory of the coworking industry set to expand by nearly 15% over the next 8 years, fusing the coworking and healthcare communities might just be in your best interest.

Key Features and Amenities

Khospace is proud to offer services in this niche market, and shows appreciation for their members by offering:

• Beautiful on-demand private practice office spaces
• Flexible pricing options with the ability to pay per hour
• Therapy-focused spaces complete with specialized equipment
• Recurring bookings available
• Mail services
• A no-lease business model
• Built-in referral opportunities

Success Factors and Lessons Learned

Taking the time to hone their offerings and get their footing, Khospace really has seen the most success by starting small and scaling the business over time.

What started as three local offices throughout Miami, has grown to a multi-location franchise. Establishing their value proposition and narrowing in on their main mission, has ultimately been the driving factor in their success.

Conclusion

Coworking space franchises have emerged as a dynamic and profitable segment within the business landscape.

The five examples of successful coworking space franchises we explored—each with its unique strengths and innovative approaches—demonstrate the diverse opportunities available in this thriving industry.

These franchises illustrate the importance of adaptability, community-building, and leveraging technology to create environments that foster productivity and growth.

If you are intrigued by the potential of coworking space franchising, now is the time to take the next step. Explore the various opportunities available and consider how they align with your goals and vision.