Generally speaking, many new business owners will lean towards renting an already built up and designed building. Renting can speed up the process of actually getting started with a new endeavor, and usually are prepared and zoned correctly for commercial activities. However, buying land and starting fresh can sometimes be a much better option for beginner businesses. Here’s what you need to consider when purchasing the right piece of land for your business needs.
First of all, before you even begin to think about purchasing land, you’ll need to look into the actual location of the property that you have your eye on. While you are probably confident about your business and your abilities to make it run well, do not forget that the location will impact how potential customers perceive your business. If you require foot traffic like a retail store, location is critical in a business’s success.
An added benefit of paying close attention to the land’s physical location is that when your business becomes successful and you find yourself needing to relocate to a larger site, your land will be an easy sell for those looking to buy. If it is in a prime location for the city or town you’re in, it will draw buyers quickly.
Buying a piece of land can often feel like a more significant investment than it is. You may be looking for the perfect place that you’ll want to stay forever, but did you know that most business owners that buy property make the purchase with a future sale of it in mind? Indeed, land is an investment, but you’ll only get that return when you sell it later at a higher price than you bought it. Sometimes, however, the value of the property doesn’t increase as much as was hoped.
To prevent loss, is vital to complete a market analysis of the land before you sign on the dotted line. The analysis will provide the most accurate information about the value of the property, so you’ll be less likely to lose money when it comes time to sell.
When making a property purchase, leave your assumptions at the door. Instead of presuming that your chosen parcel of land is available for commercial purposes because it is adjacent to other already-developed commercial areas, you need to have the property evaluated by a professional to see if it is suitable for your business needs.
Remember what we said about selling your property in times of success? This can be avoided if you select a piece of property with expansion in mind. Let’s assume that your business takes off, and you need more space for offices, storage, or inventory. Is there more space on the land to do so? Is there a nearby commercial space you can rent in addition to your owned property? Answer these questions in advance of purchasing the land to prepare for the future.
When in doubt, a professional real estate agent that specializes in commercial property can help you check out the property and make sure it’s suitable for your current and future needs. For assistance, contact the pros with Quinn & Associates to make the best decision on finding the right property for your business.