Startups – We’ve Found Your NEW Headquarters
For those of you who have spent any time in the startup world, you know how quickly things change. This makes long-term commitments scary, especially when it comes to making big decisions like where you are going to set up shop.
This is where Knotel steps in.
The New York City-based startup was founded in 2016 and specializes in providing “headquarters as a service” to medium-size companies that have outgrown garages and co-working spaces.
In just two years, founders Edward Shenderovich and Amol Sarva, have grown Knotel to serve over 200 companies and plan to double in size before the end of 2018 by adding locations across the U.S. and Europe.
Knotel Can Set Up Your Uniquely Branded HQ in DAYS
Although Knotel tends to get lumped into the conversation with other co-working space players like WeWork, the company actually operates very differently and serves a distinct segment within the startup space.
Knotel builds on-demand headquarters for mid-sized companies with 50-200 employees who want uniquely designed office spaces without getting tied down in longer-term leases. Companies pay a premium in exchange for the flexibility of growing or shrinking their rented office space as needed. Knotel manages and takes care of all of the logistical hoops necessary before and during tenant occupations. In a world where lease signing can take over a year, Knotel is able to move companies in and out in only a few days!
“Giving companies the freedom of agility has been our mission from the start,” – Sarva, Knotel Ceo.
In our world where office space is a crucial lever in attracting bright and young talent, it is more important than ever that companies project their culture across the spaces in which they work. Knotel’s model of developing turnkey solutions for rapidly growing startups enables those companies to compete with tech giants and other innovative players whose offices double as playgrounds for adults. With Knotel, companies can showcase their brand and culture without having to invest significant amounts of their own capital to remodel existing office buildings.
In order to get landlords on board, Knotel offers the opportunity to enter into profit-sharing agreements and takes on a lot of the burden of property management. In partnering with Knotel, landlords are able to enter the fast-growing flexible workspace industry with a more-than-capable partner who can help guide them through the transition.
Knotel’s Enterprise Value: $0 to $500M in TWO Years
Today, Knotel has over 1 million square feet in more than 45 properties across Manhattan, Brooklyn, San Francisco, and London. 200 companies are currently operating out of Knotel spaces and many look forward to long-term relationships with the company. Looking ahead, Knotel plans to go deeper in New York and expand along the West Coast and Europe.
These aggressive expansion efforts are backed by the nearly $100M in capital the company raised over two funding rounds. Pitchbook reports that Knotel is now worth $500M!
The company has also formed a joint venture with Grind, a co-working space provider that targets freelancers and entrepreneurs. Together, the two companies cover office space for solo ventures to mid-sized startups and refer companies to one another when appropriate.
With Knotel, EVERYBODY WINS
This Untold Business story highlights a classic win-win-win scenario. Knotel’s tenants get their uniquely designed and branded office space while maintaining flexible lease terms, landlords fill their buildings, and Knotel takes home premium dollars in exchange for operating as a capable and dependable middleman between the two. Identifying a disconnect between two parties and creating a solution that brings them together is one very effective way to create value and establish a firm position within a space.
For those of you currently working in tight quarters and looking ahead to your next move, consider a Knotel location for your next office space. You could be just a few days away from working in the headquarters you always dreamed of having for your business!
June 10, 2018| By Chris Fruci- Untold Business Writer