Did you know we developed Cobot for our own coworking space more than 15 years ago? We’ve personally been through the struggles of starting a new space, and one of the hardest ones were the legal requirements. This is why we have compiled this list of legal requirements (1-Page PDF at the end):
What legal structure fits your coworking space - private business, cooperative (co-op), or a non-profit?
Do you have the required business/trade licenses to operate a business?
Have you researched the mandatory required insurances (for example liability insurance)? Depending on your model, you might also need property insurance, workers' compensation, and more.
If you provide specific services (for example food or hosting events) and the setup of your space (do you own or lease the property?), you may need to obtain specific licenses.
If you rent out spaces, it's important to familiarize yourself with the specifics of rental laws to fully grasp your obligations, potential costs, and rights as a tenant. Keep in mind that commercial rentals often offer less protection for renters.
If you have a management agreement for a property, make sure you understand the nuances and legal definitions of your contract fully.
Have you informed yourself of local taxation laws? Will you do it personally or work with an accountant? Do you know your local or cross-border taxation rules (for international clients)?
Have you registered your business with the appropriate tax authorities?
Sometimes different tax rules can apply for specific services that you might offer (for example, self-served food is taxed lower in Germany)
Can you file and receive invoices? If not, take a look into these helpful articles: The Invoicing Template (Part 1), E-invoices for coworking spaces
Using a coworking management tool can simplify a lot of processes in your new space, for example, invoicing. Consider trying out Cobot and sign up for our 30-day free trial (no credit card required) 🥳
Do you know what kind of information you have to disclose about your business? What do you have to include in your service offerings and business communication?
Are you familiar with local labor laws on wages, hours, and benefits? Make sure your contracts and tax obligations meet legal requirements.
Most countries require that each building has clear escape routes, proper fire doors, fire extinguishers, smoke detectors, and visible evacuation maps.
Ensure member safety by following local accident prevention guidelines, such as managing hazards, maintaining equipment, and providing first aid kits. Important to consider is that different obligations may apply if you are offering makerspaces with specific machinery.
Most countries have certain requirements on accessibility. Your new space must probably have wide doorways and hallways, elevators, height adjustable furniture, accessible restrooms, signage and information, etc.
Make sure your coworking space adheres to local health and safety regulations by keeping the space clean, offering sanitizing stations, and ensuring adequate ventilation. Establish clear guidelines for hygiene, occupancy limits, and social distancing when required. Educating members about these practices will help foster a safer and healthier environment.
Depending on your business model this might be a legal responsibility of your customers (companies) or not apply to freelancers, however in order to build a good working environment and a successful coworking space, you should consider providing adjustable furniture, good lighting, a quiet environment, etc.
In order to ensure your space is not only contributing to your local community but also supporting the environment, you must comply with different environmental laws, depending on your size and location. These might include waste management, recycling, and if you are running a larger coworking business or multiple spaces - environmental compliance laws.
Running a coworking business means that your customers’ satisfaction is your most important goal. Outside of your day-to-day efforts to provide the best possible environment to the people using your space, your company must comply with a series of customer laws:
It is crucial to define a coworking agreement between you and your members. We advise you to operate under a service agreement - it is less complicated and protects you more than a sublease agreement. You can read more in our article about Coworking Service Agreements.
This is not a must, but we recommend creating Dispute Resolution Policies and adding them to your Terms of Service, to prevent legal complications in the future.
If you provide business registration services you might be required to run or provide background checks on your members.
These laws are more relevant when dealing with freelancers, instead of companies, but you need to make sure you are clear and concise about the services that you provide (in the Terms of Service).
Understand how and where you can store the data of your members and what needs to be deleted once their contract ends.
Cybersecurity is a very important topic in today’s world. Protecting your user’s information from malicious attacks is a legal responsibility you have to consider. Scroll down to the “Cybersecurity” section of our Security Essentials article for more information about the topic.
Similar to physical accessibility, your company is required to be accessible online to users with different disabilities. We at Cobot already have a comprehensive article on Online Accessibility and the European WCAG 2.1 AA Standard
Feeling ready to start your coworking space? Go for it! It can be one of the most rewarding experiences in your life, and we are happy to be a part of it! Download the free list as a 1-page PDF below.
Want to learn more about Cobot? We are enabling independent coworking spaces to run their operations seamlessly by providing an intuitive and easy-to-use software. Our software also provides an easy-to-use solution for some of your legal processes - Invoicing, Online Accessibility, Cybersecurity, and more.
Book a Free 15-minute Call with our friendly team in your language to learn more 🥳
Download the ready-to-print PDF here
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