By Katie Davis F or most start-ups raising money is the main focus of the early days of the business. You spend your efforts pitching your idea or product and hope that some investors likes your idea and wants to invest in your dream. If you want to see the short version of this process watch with the Dragons Den or Shark Tank on TV and you will see that this is not always easy. But for some busi- nesses raising money is easy and the New York-based co-working giant, WeWork Cos. is one of them. According to Adam Neumann, WeWork’s chief execu- tive officer and co-founder, they will soon being spread- ing some of its cash around to smaller start-ups, giving away $20 million in cash prizes to entrepreneurs and small businesses in a series of competitions called the Creator Awards partly in the hopes of luring them to become WeWork customers. The contest will serve as a way to cel- ebrate reaching 100,000 members, who pay to rent desks and offices alongside other start-up creators, freelancers and other professionals. The Creator Awards launch this month with business- es at various stages of maturity will compete for grant money in front of a panel of judges—some from WeWork, others from the local startup community. Members and
non-members of the co-working space are welcome to apply online, and the company will select some entrants to present live at one of seven events around the world. Unlike what you will see on Dragon’s Den or Shark Tank, WeWork will not take equity or ask for repayment from the start-ups it gives money to, “We’re doing this to give back,” said Neumann. If this was not enough to draw in applicants for the contest, WeWork will also give a free year of its We Membership to anyone who fills out an application to enter the com- petition. A membership usually costs $45 a month and includes $50 in monthly room-booking credits and access to the WeWork online social network. It goes without saying that this type of an offer does have the added benefit of getting WeWork in front of potential new customers that will continue to use their services. “Of course, everything we do is always good for WeWork,” Neumann said. “But that’s our philosophy. We believe giving is receiving. We believe that in taking care of everyone, we’re going to take care of us.” “We’re not doing this as a loan. We’re literally giving this.”
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APRIL 2017 • SPOTLIGHT ON BUSINESS MAGAZINE
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