Coworking Revenue Sharing Model Proposal

[ani...@spaceplexx.com]

Hello, Community.
I started a coworking space around 6 months ago, a small setup for 20 people.
Fast forward today, the space is running at 50% capacity, break even and slightly cash flow positive.

I have an opportunity to expand to a 20,000 sq. ft space, where I have to pitch to the owner.

Wondering if there are any proposals or deals which are already done by people here, and if you can share it with me?

Thanks in advance.

[Barbara Sprenger]

Hi --
We are doing a few revenue/profit share deals. It's important to outline who is going to do what before you start offering proposals. You can get bitten bad by differing expectations from each of you. This could be several pages without knowing something about this. If they are just the landlord, you might do something like: Outside vendors and labor paid from first dollars; when those expenses are paid, perhaps you split 80/20 until they get a slightly below market rent. Then next dollars split 80/20 in reverse. Got any more info?

Barbara

[Alex Hillman]

Business deals are just one side of this equation. 

Just doubling a community in short time is hard. I've done it myself more than once, and each time it's created more than a years worth of cultural work just to recover from the impact of rapid growth. Going from a 20 person setup (presuming ~2k sq ft) to 10x that sounds like suicide. 

I was working with someone just yesterday who took over a space that had just doubled in size and to fill it they made a TON of short term decisions that they still haven't recovered from over a year later. Exponential growth is extremely, extremely hard on communities. 

Is there potential for you to take a smaller portion of that 20,000 sq ft now, and potentially expand it incrementally over time? I'd be looking for ways to develop that kind of deal where it's not  just designed to relieve the pressure to make rent, but designed to relieve pressure of filling an empty room. 

-Alex

------------------

The #1 mistake in community building is doing it by yourself.

Better Coworkers: http://indyhall.org

Weekly Coworking Tips: http://coworkingweekly.com

My Audiobook: https://theindyhallway.com/ten

--
Visit this forum on the web at http://discuss.coworking.com
---
You received this message because you are subscribed to the Google Groups "Coworking" group.
To unsubscribe from this group and stop receiving emails from it, send an email to coworking+unsubscribe@googlegroups.com.
For more options, visit https://groups.google.com/d/optout.

[Jamie Russo]

I would add to Alex's excellent notes about the impact on your community that it's also a big bet to go from 20 people in open space to 20k of open space...and to keep it sustainable. Most spaces are having to incorporate private/team rooms when you get to that scale in order to sell enough memberships. I'm not the anti-open space/community lady, just the be realistic about your business model lady :-) If the 20k foot space doesn't already have offices, you'll have to talk the landlord into footing the buildout costs and you may need to pay him back before starting a revenue share as Barbara outlined. 

To unsubscribe from this group and stop receiving emails from it, send an email to coworking+...@googlegroups.com.

[Scott Harmon]

HI, we've developed a financial analysis tool that allows us to ''play with' different sizes and configurations of spaces and membership levels. If you'd like to use it to model how you'd set up your expanded space, and what it would take to make money, give me a shout and I'll send you the link.

Scott

[Heather Lavergne]

Hi Scott,
I would love to check it out.

Heather
In...@tribecowork.com

[Jonathan Manierre]

Hi Scott, we're in a similar situation & would love to check out the the financial analysis tool you've developed as well!

Jon

te...@koicreativespace.com

[Andy Ayim]

Likewise Scott I would benefit from this model too.

andre...@gmail.com

[Adolfo Taylhardat]

Hi Scott,
Very interested in your model.
Very thankful if you can share.
We are exactly in that process now.
Thank you in advance.
Adolfo
TamboWorks Miami
ado...@Tambo.works

[Cecilia Neher]

Hello Scott,

Can you share that document with me as well?

It seems like it is a big hit with the community :-)

Cecilia

cec...@builtenvironmentlab.com

On Tuesday, April 11, 2017 at 8:57:19 AM UTC-4, Scott Harmon wrote:

[Alex Hillman]

If you're up for it, Scott, I might suggest sharing a link to download the document directly here with the list so that everyone doesn't have to message the whole list to get it ;)

-Alex

------------------

The #1 mistake in community building is doing it by yourself.

Better Coworkers: http://indyhall.org

Weekly Coworking Tips: http://coworkingweekly.com

My Audiobook: https://theindyhallway.com/ten

On Tue, Apr 18, 2017 at 11:07 AM, Cecilia Neher <cecili...@gmail.com> wrote:

Hello Scott,

Can you share that document with me as well?

It seems like it is a big hit with the community :-)

Cecilia

cecilia@builtenvironmentlab.com

On Tuesday, April 11, 2017 at 8:57:19 AM UTC-4, Scott Harmon wrote:

HI, we've developed a financial analysis tool that allows us to ''play with' different sizes and configurations of spaces and membership levels. If you'd like to use it to model how you'd set up your expanded space, and what it would take to make money, give me a shout and I'll send you the link.

Scott

On Wednesday, April 5, 2017 at 6:40:46 AM UTC-5, ani...@spaceplexx.com wrote:

Hello, Community.
I started a coworking space around 6 months ago, a small setup for 20 people.
Fast forward today, the space is running at 50% capacity, break even and slightly cash flow positive.

I have an opportunity to expand to a 20,000 sq. ft space, where I have to pitch to the owner.

Wondering if there are any proposals or deals which are already done by people here, and if you can share it with me?

Thanks in advance.

--
Visit this forum on the web at http://discuss.coworking.com
---
You received this message because you are subscribed to the Google Groups "Coworking" group.

To unsubscribe from this group and stop receiving emails from it, send an email to coworking+unsubscribe@googlegroups.com.

[Scott Harmon]

Thanks for the suggestion, Alex. We're in the process of creating on online version of it (and putting a simple web front end on it so it's easier to enter the data for your space). We should have a link to share in the next few days. 

On Tuesday, April 18, 2017 at 10:10:51 AM UTC-5, Alex Hillman wrote:

If you're up for it, Scott, I might suggest sharing a link to download the document directly here with the list so that everyone doesn't have to message the whole list to get it ;)

-Alex

------------------

The #1 mistake in community building is doing it by yourself.

Better Coworkers: http://indyhall.org

Weekly Coworking Tips: http://coworkingweekly.com

My Audiobook: https://theindyhallway.com/ten

On Tue, Apr 18, 2017 at 11:07 AM, Cecilia Neher <cecili...@gmail.com> wrote:

Hello Scott,

Can you share that document with me as well?

It seems like it is a big hit with the community :-)

Cecilia

cec...@builtenvironmentlab.com

On Tuesday, April 11, 2017 at 8:57:19 AM UTC-4, Scott Harmon wrote:

HI, we've developed a financial analysis tool that allows us to ''play with' different sizes and configurations of spaces and membership levels. If you'd like to use it to model how you'd set up your expanded space, and what it would take to make money, give me a shout and I'll send you the link.

Scott

On Wednesday, April 5, 2017 at 6:40:46 AM UTC-5, ani...@spaceplexx.com wrote:

Hello, Community.
I started a coworking space around 6 months ago, a small setup for 20 people.
Fast forward today, the space is running at 50% capacity, break even and slightly cash flow positive.

I have an opportunity to expand to a 20,000 sq. ft space, where I have to pitch to the owner.

Wondering if there are any proposals or deals which are already done by people here, and if you can share it with me?

Thanks in advance.

--
Visit this forum on the web at http://discuss.coworking.com
---
You received this message because you are subscribed to the Google Groups "Coworking" group.

To unsubscribe from this group and stop receiving emails from it, send an email to coworking+...@googlegroups.com.

[Alex Hillman]

That's great! Thanks for sharing this, Scott. 

------------------

The #1 mistake in community building is doing it by yourself.

Better Coworkers: http://indyhall.org

Weekly Coworking Tips: http://coworkingweekly.com

My Audiobook: https://theindyhallway.com/ten

To unsubscribe from this group and stop receiving emails from it, send an email to coworking+unsubscribe@googlegroups.com.

[obeths...@gmail.com]

Hello Scott,

Is the link to the document available?

Thanks for sharing.

[Céline CHAVEROT]

Hi Scott,

I'm working right now on a coworking business model (first space in Paris) and I'd would be most interested in your financial analysis tool.

Thanks for sharing with me in a link.

Have a great day!

Céline 

[Jamie Tyrell]

Great

[Moises Cherem]

Hi Scott how are you.

Could you send it to me also please?

mch...@creawspaces.com

Thanks!

Moisés Cherem Dayán                     

 T.  4774- 3434    T. 3683- 9200

W www.creawspaces.com

To unsubscribe from this group and stop receiving emails from it, send an email to coworking+unsubscribe@googlegroups.com.

[Sarah Stevenson]

Would love to view as well. Thank you, Scott!

[Jamie Tyrell]

Would like this also please, thank you Scott

Jamie

[Olivia Rogers]

And me please thanks Scott. 

[Alex Hillman]

Hey everyone: 

Going forward please contact Scott directly rather than reply to this thread (which sends messages to everyone, instead of just to Scott!): scott.h...@gmail.com

Thank you!

-Alex

To unsubscribe from this group and stop receiving emails from it, send an email to coworking+unsubscribe@googlegroups.com.

For more options, visit https://groups.google.com/d/optout.

--
You received this message because you are subscribed to the Google Groups "Coworking" group.

To unsubscribe from this group and stop receiving emails from it, send an email to coworking+unsubscribe@googlegroups.com.

For more options, visit https://groups.google.com/d/optout.

--
You received this message because you are subscribed to the Google Groups "Coworking" group.

To unsubscribe from this group and stop receiving emails from it, send an email to coworking+unsubscribe@googlegroups.com.

For more options, visit https://groups.google.com/d/optout.

--
You received this message because you are subscribed to the Google Groups "Coworking" group.

To unsubscribe from this group and stop receiving emails from it, send an email to coworking+unsubscribe@googlegroups.com.