Buying property for your business is a big step for any business owner. It is imperative that you take some specific considerations into account when you are trying to find the property that you want to purchase.
Make sure that you put your emotions aside during this process of buying commercial real estate. Here are a few points to consider.
Know the zoning and land use of the location
Zoning and land use are important because they can determine what type of business is allowed on the premises. If you have a restaurant, you wouldn’t want a property that is zoned for industrial use. Of course, there is a chance that you could have the property rezoned or the land use designation changed. However, this will take considerable time and effort and could prove to be costly.
Check the parking situation
Parking is a consideration if you expect to have more than a few people visiting your business at any given time. You need to make sure that you have ample parking available for employees, as well as for customers. In some cases, this might be a parking lot. In other cases, it will be a parking garage or street parking. Make sure that you factor in the cost of parking, if there is a fee, as your employees would have to pay this each time they come to work and customers would have to pay at each visit.
Review the financial considerations
Not only do you have to ensure you can pay the mortgage on the property, you also have other financial considerations to factor in. Your business will need utilities and insurance. You will have to pay taxes on the property. All of these can considerably impact the company’s financial situation, so make sure that you factor these in when you are trying to decide what your company can afford to spend on a property.
Consider the crime rate and other possible liabilities
The crime rate in the neighborhood is important because you have to decide just how much crime your company, as well as your customers will tolerate. You also need to consider the likelihood of natural disasters in the area and how those might impact your business if one should occur. Take these factors into consideration when you are looking into insurance coverage for the business.