Public Support? Basic Financials?

[Mark in Iowa City]

Greetings everyone,
We are in the process of developing a coworking facility in Iowa City,
IA.
Wondering if any of your spaces received any public assistance to get
started or to help subsidize your ongoing costs and if so, how did
that work?

Also, if anyone is willing to share some basic financials with us it
would be greatly appreciated and helpful in our development of a
business plan. just monthly costs (obviously they will differ by
market) like rent, internet, phone, etc

Any thoughts appreciated.
marknolte at iowacityarea.com

[Jonathan Yankovich]

Hi Mark,

Its been my experience that city governments (like that of Madison, WI
where I am in the process of opening a facility) don't generally have
resources available to the small business person who is opening a
coworking facility. Most grants and other monies that I've seen exist
for larger businesses, etc, IE incubator loans for small businesses
that have a specific product, or capacity-building/expansion grants
for companies that already exist. I've spoken with a couple of people
involved with the city here (City of Madison, THRIVE) and both suggest
that there isnt really money out there for opening something like a
coworking facility.

That said, dont let it stop you! Coworking is a new type of business
and requires some new thinking to get people inspired and involved.
You may still very well be able to get a some kind of fiscal
sponsorship from the city.

Here is my advice:

1) Try to find a space that is owned by the city but going unused.
They may donate it for a number of months in the name of economic
development.

2) Try to find a land owner who believes in your vision. Get a lease
with "abated rent" for a period of time. If that is still too risky,
ask for a 3 or 6 month lease for almost nothing to see if you can get
the idea off the ground. 3 months is a flash in the pan for land
owners since they usually think in terms of multi-year leases.

3) Start a jelly to develop your community. Get pledges from people
in the community, IE "if we open on this date X, I promise to pay this
amount Y". You can get checks ahead of time, or just "pledges" to
pay, and then use that data when approaching land owners.

4) Connect with organizations in the area. Find one or two with a
similar mission that can incorporate coworking, and have them work
with you. Often their resources or even just the association with
their name will be enough to convince landlords to take a chance on
you.

Please let me know how your efforts go.

-Jonathan Yankovich

[Veel Hoeden]

Mark- We're currently forming a coworking location just a bit south
and west of you in Pella, IA. To my knowledge it will be the first
rural Iowa coworking location. We're renovating a space currently but
hope to have a soft launch October 1-ish. Would be interested in
trading notes and would be happy to provide a tour of our community.
Let me know if you are interested.

Joel Bennett
Chief DreamChaser
Veel Hoeden
"Where Many Hats Meet"

[thilo]

Hi Mark,

great to hear that you will open a space in Iowa.

From my experience it is hard to get public money, because as jonathan
said city governments are generally low on money and unlikley invest
in such a new thing as coworking. From what I know other people
succeeded by getting a bunch of full time members on board that pay
some months in advance. We started coworking out of a normal normal
office with one desk left over. After getting enough momentum and some
long term members we moved to a bigger place to offer real coworking.

Hope that helps
Cheers
Thilo

coworking: http://co-up.de
coworking managment: http://cobot.me

[Dana VanDen Heuvel]

Mark,

We're about to open a space here in Green Bay (The Docking Station -
http://www.thedockingstation.net/) and we had also sought public money
(revolving loan fun from the city) but were turned town because the
loan fund it tied to job creation and technically, we're not creating
jobs.

That said, we've had increased interest from some solid local
investors who want to get behind the concept. You might consider
speaking with people who serve the commercial interiors industry
(carpet, furniture, real estate, etc.) who have a vested interest in
these types of 'creative class' investments.

Good luck with your project!

- Dana VanDen Heuvel
The Docking Station
http://www.thedockingstation.net/

On Sep 10, 8:54 am, Mark in Iowa City <mno...@iowacityarea.com> wrote:

[ourspace...@gmail.com]

Mark -

Here are my two cents:

1. Partner with Iowa University - Iowa City has a magnificent
college, and there maybe a number of students who would like to do
their own thing as currently 10 jobs exist for every 48 persons who
are unemployed.
2. Build the community first; and then worry about the building.

Jodi Dean
jo...@ourspacefw.com