Office Startup Company ‘WeWork’ Losing $5,200 Per Customer

Office Startup Company ‘WeWork’ Losing $5,200 Per Customer

PITTSBURGH (KDKA/CBS NEWS) — WeWork, the office-sharing company that has redfined the modern office space has now redefined how quickly a company can lose its value.


According to IPO documents released by their parent company We Company, the company loses around $5,197 per customer per year and has lost more than $1.3 billion in the first half of this year. This equals out to roughly 94 cents per minute.


According to our news partners at the Pittsburgh Post-Gazette, WeWork had their sights set on Pittsburgh late last year.


WeWork’s business model, however, isn’t one designed for sustained success.


Essentially, they will rent out office buildings, spend a lot of capital to modernize the building and then re-rent the space to various startup companies.


Compared to other IPOs, WeWork’s losses are relatively modest. For example, Uber has lost $6.5 billion from operations.


However, what keeps investors concerned is the fact that office space is far more expensive than a single car ride. Much like Uber and Lyft, since going public, shares of the company have decreased.