Most entrepreneurs and small business owners wonder whether to buy or lease a property. While both renting and leasing have pros and cons, making the right decision is crucial. A few factors, including budget and period of usage, determine which option fits your firm,
Below are reasons why you should consider leasing or buying a commercial property.
Why Consider Buying?
Long-term investment: After purchasing a commercial property, you’re the owner and can focus on investing. Whether your property is an apartment building, a warehouse, or an office building, you’re assured of returns after a few years.
Full control: Leasing means that the landlord runs your property. Thus, you may experience problems if you fail to follow what you agreed on in the contract with the owner. Buying means that you make the rules because you run the firm.
You can sell the property: If you’re running a business on your property, you can choose to sell it if you find a potential buyer. Again, if the property is large, you can lease part of it and enjoy monthly fees as the landlord.
Why Consider Leasing?
Unstable market prices: Commercial properties market prices are unprecedented, whether in cell tower leases or retail. Several factors influence market prices, including interest rates, neighborhoods, and size. Thus, the advantage of leasing a commercial property is you don’t have to worry about unfluctuating and unstable market prices.
Fast-growing business: If you’re a new entrepreneur and your brand is fast-growing, you … Read More