Entrepreneurial co-working spaces

New research published in the International Journal of Entrepreneurial Venturing suggests that co-working spaces can benefit entrepreneurs that make use of them by boosting social capital.

Victor Cabral of the Centre for Applied Research on Economics & Management at Amsterdam University of Applied Sciences, in the Netherlands, draws on previous work from various social science disciplines to build a conceptual model reveals the links between co-working spaces, social capital, and performance benefits. Through interviews with nineteen entrepreneurs using three co-working spaces, the research reveals the many benefits in terms of networking and other aspects of business that might be wrought by the use of such spaces.

An entrepreneur’s personal network is perhaps one of their most important assets allowing them to make connections with other entrepreneurs, investors, experts, and potential employees that would simply not be possible were they somehow to operate in isolation. As such, interventions that create new connections or strengthen the bridges between known contacts should almost always lead to benefits for all of those within the network.

Co-working spaces have become increasingly common in cities around the world, sometimes spring up on science and business parks, which are in themselves often perceived as a kind of meta-coworking space offering connectivity at the company level and with academia in many cases. “Co-working seems to be a response to the rise of start-ups and self-employed workers who want to work in social settings, and also reflects the shift towards flexible work approaches by firms in modern knowledge economies,” Cabral explains.

At the time of writing, we are in the middle of the global COVID-19 pandemic. Given social distancing measures and lockdowns that have been used since early 2020 to limit the spread of the disease, it is likely that the use of co-working spaces for many has been reduced during this period as more and more people have been forced to remote working and online conferencing and such. However, we can but hope that humanity will overcome this pandemic and we will move forward into a world where restrictions are no longer necessary and the notion of co-working spaces can come to the fore once again.

“This study confirms that co-working spaces are suitable places that ignite social interaction, stimulate the exchange of knowledge, and provide leads to new opportunities,” Cabral writes, confirming the positive outlook for co-working spaces for entrepreneurs in the new normal.

Cabral, V. (2021) ‘Coworking spaces: places that stimulate social capital for entrepreneurs’, Int. J. Entrepreneurial Venturing, Vol. 13, No. 4, pp.404–424.