At some point in the future, you may be at a point where you can consider buying commercial premises for your creative business. Maybe your tiny company has grown to an exceptional size, or perhaps you get a little windfall in your personal life. Regardless, owning a property for your business comes with many different advantages.
You don’t have to worry about sudden rental increases, and you can expect capital gains when the property value rises. Your payments will be fixed on a mortgage, too, and of course, you will be able to deduct interest payments from your annual tax bill. There’s an opportunity to rent out free space, making your premises a nice little earner. And, of course, you have complete flexibility and control over what you do with it in the long term.
However, before you buy anywhere, there are a few things you need to do. In today’s guide, we’re going to go through everything you need to know before buying a commercial property for your creative business. Let’s get started right away.
According to www.commercialrealestate.com.au, modern buildings with great natural light are usually good for businesses, but as a creative company, you might be looking for something different. The trouble is that whether you are choosing a renovated church or buying space in an old factory, there are a lot of other considerations to make. Is it safe? Is there good parking for customers and employees? Will there be suitable places for everyone to work, including meeting rooms and private areas? Create a checklist and don’t stop until you have found something that meets all of your expectations, or further on down the line, you could encounter problems.
Location is key when it comes to business premises. Central, popular sites will be incredibly expensive, while cheaper buildings outside of town could result in a lack of customers coming in through the door, and transport link issues. You’ll need to find the sweet spot between affordability and accessibility – which is easier said than done.
Never buy a property without doing all the necessary site surveys. As www.eastcoast-geotech.com.au point out, there are a huge range of tests that need to be done if you want to ensure safety. Soil tests, topography, structural issues – the list is a long one. And later on down the line, if your building is found to be wanting, all that cost of repair – or even destruction, in some cases – will be on you and your company.
Unless you are incredibly lucky, you will need a significant budget to decorate your premises to your liking. Sanding, varnishing, painting are obvious starting points. But you will also need work desks, computers, IT and telecoms systems, and so much more besides. Make sure you account for these costs before borrowing any money.
Services and ongoing costs
Also, bear in mind that when you own property, there is no landlord to fall back on. All repairs and cleaning issues will be down to you, whether it’s a simple window cleaning job or a breakdown of your entire heating system. Again, it’s important to factor in these costs at an early stage.
As you can see, owning business premises can be a huge event for your company. But it is also a lot harder to pull off and manage than you might think. Good luck!
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We’re here to help you to take action just like we’ve helped thousands of other entrepreneurs, business owers and creative professionals all around the globe.
Now is the time to let your passion SHINE.
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To your success,
Vinh Van Lam & Stuart Horrex
Your Coaches ArtSHINE industries