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IWG Signs First Us Franchising Deal In Detroit

by Allwork.Space - Press
February 2, 2021
in Press
Reading Time: 4 mins read
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IWG has announced its first US franchising deal, which will open seven Regus locations in the Detroit metro area.

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  • IWG has announced its first US franchising deal.  
  • The franchise will open seven Regus locations in the Detroit metro area.  
  • The first center of the seven-center deal is planned to open at the end of the first quarter in 2021.  

February 2, 2021 – IWG, the world’s largest provider of flexible workspace, has announced its first US franchising deal to open Regus locations in the Detroit metro area of Michigan – pioneering franchise opportunities in the flexible workspace industry as demand grows and we move to a post-COVID new normal. 

The first center of the seven-center deal is planned to open at the end of the first quarter in 2021. The franchise is offered by Regus, which is owned by IWG, and provides flexible/virtual office workspace, coworking facilities, meeting and training facilities and commercial office alternatives. 

“We are excited about our first deal in the US and see franchising as a vehicle for growth, as more turn to flexible working options,” said Wayne Berger, CEO, The Americas, IWG. “We’re seeing that the demand for workspace flexibility is becoming increasingly urgent, driven by employees and employers – particularly in suburban markets. Traditional franchises such as fast food restaurants, gyms, and hotels have reached saturation in many markets. Our franchise offering provides an opportunity for professionals to diversify their portfolio and invest in a market that is projected to grow significantly.” 

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The demand for workplace flexibility is increasing as the world eyes a return to normal. Now more than ever employers are looking to enable work-life integration, empower people to work independently or collaboratively in a safe environment, wherever they might be. PwC polled office workers and found that over half of employees (55%) would prefer to be remote at least three days a week once pandemic concerns recede. 

“We’ve had such a positive experience working with Regus and building this partnership has been essential as we look to further develop our property investment portfolio. We are excited to chart the path forward as the first franchising deal in the US,” said John Schmidt, Chief Executive Officer of Megatron Inc./Megatron Equity Partners LLC./Megatron Workspaces Inc. 

This expansion in the US follows IWG launching its franchise opportunity globally in 2019. Partnering with franchise entrepreneurs is central to its strategy to grow tenfold over the next decade to meet demand for flexible, local office spaces. In addition to this deal, IWG recently also partnered with Standard Charter who is looking to provide all 95,000 employees worldwide with the option of working in an IWG flexible workspace close to their home or any 3,500 locations globally. 

Regus now offers franchisees an opportunity to support and develop their property investment portfolio – offering a choice of office styles and products. The locations opened are typically no smaller than 10,000 square feet either in stand-alone or multi-let buildings with over 130 workstations. With only one or two people needed for oversight, day-to-day business management is easier, while still providing 24/7 client support. 

Ideal IWG franchise partners have the ability to operate and grow within a branded framework and open multiple centers across the contracted territory over a two-to-five-year period. The opportunity suits a range of businesses, from seasoned franchise professionals and entrepreneurs to building-owners and investor partners. 

Regus is the world’s largest provider of flexible workspace solutions, with 2.5 million customers including some of the most successful entrepreneurs, individuals and multi-million-dollar corporations. Through its range of office formats, as well as our growing mobile, virtual office and workplace recovery businesses, Regus enables people and businesses to work where they want, when they want, how they want and at a range of price points. 

About IWG, International Workplace Group 

IWG is the global operator of leading workspace providers. Our companies help more than 2.5 million people and their businesses to work more productively. We do so by providing a choice of professional, inspiring and collaborative workspaces, communities and services. Digitalisation and new technologies are transforming the world of work. People want the personal productivity benefits of living and working how and where they want. Businesses want the financial and strategic benefits. Our customers are start-ups, small and medium-sized enterprises, and large multinationals. With unique business goals, people and aspirations. They want workspaces and communities to match their needs. They want choice. 

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About Regus 

First established in 1989, Regus is one of the original pioneers of flexible workspace, helping businesses choose a way of working that’s best for their people. Now spanning the globe with over 3,000 locations, Regus’ global network of bright, inspiring workspaces allows modern businesses to work where, when and how they want, in a more agile way. Regus provides businesses with the flexibility to grow without risk or commitment, and attracts a diverse network of 2.5 million people, from entrepreneurs and SMEs to multi-national blue-chip companies. Regus is an operating brand of IWG plc: the holding group for a number of leading workspace providers. Other brands in the IWG portfolio include Spaces, HQ, No18 and Signature by Regus. 

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