Are you looking to move into your first business or upgrade your current space?
Buying a new property is exciting for any business. It’s time for you to grow and bring new life to your business.
You are in for a challenge. There is a shortage of commercial real estate, so you are going to need to look hard for a good deal.
Before you commit to a deal, there are several factors you need to consider when buying commercial property.
Keep reading to learn what they are.
1. Make Sure Your Building is Large Enough
What do you need your space for?
Do you need a place to work, or do you need a warehouse?
Whatever you choose, make sure your property is large enough to handle what you’re doing and can handle growth.
You don’t want to jump properties six months after buying because your business grew and your office is too small.
2. Don’t Jump on Trendy Neighborhoods
It may sound appealing to go for an up and coming area, but don’t jump in without thinking. You never know what can happen in the future.
Things change and trending areas can die down. Make sure your business can still survive if the new areas of town don’t live up to expectations.
3. Does the Property Need Any Repairs?
You’ve found a property you like and got an offer accepted. Congratulations!
You aren’t done though. You need to get a property inspection done. Sometimes a property owner isn’t aware of all the problems of a building, so you have to do your own due diligence to make sure things are up to code.
Here are a few repairs you may need to contend with:
- Bad roofing
- Well pump repair
- Bad HVAC system
- Plumbing problems
You will need to talk to the property owner about what happens with the issues that you find. In most cases, you can get them to handle the repairs before the deal goes through.
4. Don’t Discount Expert Help
Buying commercial real estate isn’t easy. There’s a lot to these deals, so having an expert on your side can help make things easier.
Your needs will change based on what you do in your office. The minimum you will need is a realtor and mortgage broker.
Other experts you can hire are engineers, environmental experts, accountants, and tax professionals.
5. Allowable Business Practices
You can’t practice business everywhere.
If you have an industrial business, then you need an area zoned for that purpose. Something like accounting will need a commercial space.
Make sure you check the zoning laws of the buildings to make sure your business can function there.
Do Your Research When Buying Commercial Property
Property is expensive. If you don’t do your due diligence, then you could end up with an unacceptable location that doesn’t meet the needs of your business.
Make sure you follow these tips when buying commercial property, so you end up with a good deal.
Have you gotten your new property and need to set up your IT infrastructure? Head over to our tech section for tips that can help you pick out the right devices for your business.