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Thriving start-ups drive strong growth for coworking spaces
Indonesia's booming start-up business has spurred aggressive growth at coworking spaces as local entrepreneurs seek a more nurturing and affordable environment to develop their businesses.
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Coworking Indonesia, an association of coworking space operators, has estimated that there are currently more than 250 coworking spaces spread across the country, with at least 20 percent of them concentrated in Jakarta. (Courtesy of/wikimedia.org)
T
he booming start-up business has spurred aggressive growth at coworking spaces as local entrepreneurs seek a more nurturing and affordable environment to develop their businesses.
Coworking Indonesia, an association of coworking space operators, has estimated that there are currently more than 250 coworking spaces spread across the country, with at least 20 percent of them concentrated in Jakarta.
The figure had grown exponentially from around 45 coworking spaces in mid-2016 as operators kept on expanding, Coworking Indonesia secretary-general Felencia Hutabarat said.
“There is a very strong growth of start-ups as well as entrepreneurs who are seeking physical offices [...] like coworking spaces, which are quite helpful as their rent is flexible and tenants do not have to manage or maintain them as an asset,” Felencia, who is also the managing director at Kekini coworking space in Central Jakarta, told The Jakarta Post recently.
Tenants or members of these coworking spaces see the offices not only as a practical place to work but also as a place where they are more likely to meet stakeholders that could encourage their growth.
For instance, start-ups in the advertising business often prefer to rent a space where they can find potential clients operating in the spaces next door. Coworking spaces also actively help members out by promoting their services, Felencia said.
However, uneven economic growth in different parts of the country has presented a challenge to the coworking space business.
