Co-Working/Flex Space
A Co-Working/Flex Space transaction typically involve a license agreement.
License agreements involve three (3) parties.
Licensee (Tenant)
Licensor (Co-Working/Flex Space Provider)
Landlord
Co-Working/Flex Spaces are great options for companies looking to occupy space with ease. There are a number of positive factors Co-Working/Flex Space offer tenants.
Positive Factors:
Plug and play, managed office space with an assortment of additional services and amenities available.
Short term commitments and/or flexible terms, typically comes with the ability to scale up space.
Fast transactions, typically light paper work, be up and running within functioning space promptly.
Co-Working/Flex Space also come with some tradeoff’s, below are some negative factors to consider what deal type makes the most sense to pursue.
Negative factors:
A significant Price Per Square Foot premium is typically paid for your company’s allocated workspace when compared to Sub-Lease or Direct Lease options.
Limited control over your company’s space presence and identity when compared to private space options, co-working space typically come branded, designed and can be shared with many other companies within close quarters.
Co-Working/Flex Space providers can be financially fragile as a company, becoming an unreliable partner in the face of economic downturns.