Following a $5MM venture capital investment, Switchyards is preparing to open 200 new clubs in the next five years, including two sites in Charlotte.
Considered the world’s first neighborhood work club, Switchyards is opening a new location in Belmont at 1125 Belmont Avenue, opening on May 16, according to the company’s website. Following this, Switchyards will open a second location at Oakhurst at 4014 Monroe Road on June 6. Only 250 memberships will be available for both locations, which are all open 24/7 with a small-menu cafe with unlimited coffee and tea.
Switchyards is reimagining work with consumer preferences in mind, creating members-only work clubs for focused, productive work around others. With plans to launch work clubs in every residential neighborhood across the country, the Atlanta-based startup will open 200 new clubs over the next five years, according to a press release. These openings will be fueled by this recent venture capital investment, strategic debt, and reinvested profits from the business.
The $5MM venture capital investment is led by Bullpen Capital, joined by existing investor Cercano, and with participation from Overline. “There is an incredible opportunity right now to lead the consumer workplace category,” Daley Ervin of Cercano said in a press release. “Work represents a third of our daily lives, and yet there isn’t a consumer brand owning the industry. We believe Switchyards will be the company to lead this new category and to leverage this incredible market opportunity.”
Founder and CEO Michael Tavani started Switchyards in 2019 with the goal of creating “a place in your neighborhood to sit with your laptop, grab a coffee, and get some good work done.” They tuck work clubs into residential neighborhoods, stay open 24 hours a day, and offer fast internet and unlimited coffee and tea – all for $100/month. Residential locations mean the average transit time is only nine minutes, and clubs are easily accessible by walking biking, and other quick modes of transport. A recent member survey showed that 90% of Switchyards members have never used a traditional coworking product, indicating that this concept is reaching a new audience.
This innovative business model has seen incredible adoption since its start in 2019. Switchyards has 15 work clubs across Atlanta, Nashville, and Charlotte. Its four newest clubs have sold out memberships within minutes of going live. By the end of 2024, Switchyards will double its member base, open ten more work clubs for a total of 25, and more than double revenue while expanding to new markets. The company plans to quickly grow its marketing and launch teams this year while investing in product innovation to drive further growth.
