The American RocketSpace ends its activities in the United Kingdom. Known for its startup support program, the Californian company is also a competitor to WeWork for its coworking space activity.
However, it seems that in the field, WeWork is not the only one to encounter difficulties. Based on confidential information obtained by Bloomberg, RocketSpace has made the decision to close its coworking space located in London as well as the dedicated subsidiaries RocketSpace UK Ltd and And RocketSpace Angel – which had a debt of $ 11.6 million – by April 2020. Note that the business would have the means to reimburse it.
Uber or Spotify passed by RocketSpace
Founded in 2011 in the United States by Duncan Logan, RocketSpace arrived in the United Kingdom in 2017 in Angel, a district located in the London borough of Islington, with a space made up of 1,500 places. This was its first opening outside the United States.
According to data from Crunchbase, the company has raised $ 336 million from China’s HNA Group since its inception. Even though RocketSpace is often compared to WeWork, its model is different because it mainly emphasizes supporting startups with high potential. In addition to its coworking spaces, the company offers, for example, a 3-month support program. This is personalized coaching to help start-ups that are already well launched to grow, in particular by supporting them in their search for investors. The company is known to have seen startups like Uber, Spotify pass through its premises in their early days.
WeWork lays off massively in London
Alongside this, RocketSpace has also set up a program for corporates to support them in their transformation needs, for example by helping them to set up a “culture of innovation”.
After SoftBank’s rescue, WeWork announced a wave of layoffs including half of its workforce based in London as well as a team of engineers and architects who had been recruited there to oversee the opening of new locations.