After a ¥400 million ($58 million) cash injection, UR Work, a co-working space startup company, has just joined the ranks of the startup elite, becoming China’s first office-sharing unicorn in the process. The financing round, as reported by China Daily, has boosted the company’s valuation to ¥7 billion, and will allow it to get closer to its 2017 goals of improving its management processes, upgrading its technology, and expanding its international market presence, according to founder Mao Daqing.
Specifically, UR Work has plans to expand and build more venues in cities and countries such as New York, London, Taiwan, and Singapore. By way of its Web site and app, UR Work so far has coverage in 16 cities, serving hundreds of thousands of customers. If UR Work is able to become the largest office sharing operator in China as well as build a significant presence overseas, this will not only help small and medium-sized businesses gain access to much-needed affordable office space, but it will provide some competition for larger players in the co-working space. And while competition may result in lower profits in the industry, it is beneficial for customers, as they will have more choices when it comes to office space and hence more leverage.
As a result of UR Work and its initiative to expand and build upon office sharing space, this will allow more people to work for themselves and it would make renting office space cheaper. So this cash injection is great for UR Work but it will be great for working age people worldwide. The economies of China and Singapore should also see improvements.