Small Town Co-Working

Jun 5, 2024

Small Town Co-Working

Importance & Challenges

Key Points:

  • Smaller towns and rural areas are increasingly supporting local entrepreneurs, business owners, and remote workers with workspace amenities and community.
  • Sustainable business models for smaller co-working spaces are hard to find.

Guest: Brian Watson (Co-founder of Alt Space)

Brian's Background:

  • Grew up in Grand Junction, Colorado.
  • Passionate about entrepreneurship and co-founding multiple initiatives.
  • Founded Launch Westco with Josh Hudnall to build the entrepreneurial ecosystem in western Colorado.
  • Identified around 1500 entrepreneurs over two years through events and programming.
  • Co-founded Proximity, a company managing co-working spaces.
  • Recently transitioned out to focus on Alt Space.

Co-Working in Rural Areas:

  • Significant consumer behavior shifts during COVID have impacted the co-working industry.
  • Shift from urban to remote work-friendly rural areas is notable, especially in Colorado.
  • Co-working spaces are seen as important for attracting professionals working in the digital economy.
  • Broadband and connectivity remain significant challenges in rural areas.
  • Entrepreneurs moving to rural areas bring their big city jobs, leading to diverse economic growth.

Business Model Challenges:

  • Running rural co-working spaces sustainably is challenging due to lower density and varied consumer expectations.
  • The role of co-working spaces in rural areas evolves from typical urban models like WeWork.
  • Economic development entities may convert underutilized buildings into co-working spaces but face sustainability challenges.
  • Long-term sustainability is difficult with the need for consistent community engagement and financial viability.

Alt Space Model:

Initial Setup & Hypothesis:

  • Brian and his wife set up a co-working space in Telluride during COVID using a management agreement model to de-risk operations.
  • Focused on automation from the start to handle tasks while managing full-time jobs.
  • Initial success led to acquiring additional spaces and rebranding them under Alt Space.

Automating Co-Working Operations:

  • Utilizes Proximity software for seamless and efficient management across multiple locations.
  • Automated processes include member onboarding, doors access, and communication.
  • By refining the automated onboarding process, Alt Space has facilitated over 250 successful drop-ins in the past year.
  • Despite automation, there are ambassadors at each location to handle community-building tasks.

Lessons & Future Plans:

  • Focus on nailing logistics first before layering community engagement activities for long-term stability.
  • Plan to develop a virtual community and explore further engagement strategies at scale.
  • Aim to create a sustainable model that supports long-term growth for rural co-working spaces.
  • Leveraging automation and regional partnerships to maintain and expand the co-working spaces effectively.

Key Takeaways:

  1. Co-working spaces in rural areas are essential but need innovative approaches due to unique challenges such as lower population density and varied economic conditions.
  2. The shift towards remote working has increased the relevance and utility of rural co-working spaces.
  3. Automation and streamlined processes are crucial in managing smaller co-working spaces sustainably.
  4. Building a strong foundation is necessary for long-term success and effective community engagement.
  5. Proximity software is a significant part of the infrastructure, enabling seamless operations across multiple locations.

For more information, visit Alt Space or contact Brian Watson at [email protected].