Gurugram-based flexible workspace provider Incuspaze raises $8 million

Incuspaze, a Gurugram-based flexible workspace provider, has raised $8 million in a maiden funding round led by the India Inflection Opportunity Fund (IIOF) and other financial institutions. 

"Incuspaze has demonstrated impressive growth and resilience in a competitive market. Our investment aligns with our strategy of backing companies with strong potential for long-term success and profitability," said Madhu Lunawat, Chief Investment Officer of IIOF.

What does Incuspaze do?

Founded in 2016 by Sanjay Choudhary, Incuspaze is a workspace provider that offers a vibrant network of managed offices, co-working spaces, and traditional setups across 44 locations in 18 cities.

Focused on expansion 

Incuspaze claims to have a portfolio of 3 million square feet across 18 cities and 44 locations. The company recently leased 220,000 square feet of space in Gurugram’s M3M Urbana project and an additional 600,000 square feet in the June quarter.

"This investment will significantly bolster our capabilities to provide top-tier workspace solutions tailored to enterprises, MSMEs, and startups. With our clear profitability matrix and enterprise-focused approach, we aim to become a dominant player in India’s flexible workspace market," said Sanjay Choudhary, CEO of Incuspaze.

Incuspaze's financial performance

Incuspaze reported a substantial increase in operating revenue, from Rs 14.84 crore in FY22 to Rs 50 crore in FY23, while also reducing its losses from Rs 5 crore to Rs 98 lakh during the same period.

The startup also claims to serve notable companies, including PhonePe, Byju’s, Flipkart, and Girnarsoft. 

The flexible workspace market is expected to grow significantly, driven by increasing demand from large enterprises, startups, and global capability centres.

The Indian flexible workspace sector is the fastest-growing in the world. It is expected to reach 100–140 million square feet by 2030, up from 55 million square feet in 2024.