Purchasing business premises is a sensible option for any small business hoping to expand. You may have begun your company in your dining room and be content continuing to work there, but, at some point, you are going to need the extra space, especially if you ever plan to hire employees. However, while your business may require property, the costs involved can make things quite difficult. To save money and stick to a tight budget, here are six helpful tips.
Save A Larger Deposit
Buying property comes with a number of hidden costs less experienced buyers may not be aware of. One of the largest you need to consider is the deposit, which lenders usually ask covers at least twenty per cent of your overall loan. Because you need to pay interest on your mortgage repayments, offering a larger deposit can help to cut costs in the long run.
Improve Your Credit Score
Just like you, your business has a credit score that is taken into account when applying for loans, credit cards, and other financing. This means that, if your company has a poor credit score, you’ll struggle to get any sort of mortgage, especially a good one. Because of this, you should look for ways to boost your business credit score, like clearing debts and paying bills on time.
Work With A Realtor
With commercial property listings online, you may see no reason to work with a real estate agent. However, the experience that these professionals bring can save you a lot of money, as well as time and unnecessary stress along the way. Because realtors’ fees are covered by the seller, rather than the buyer, there’s no reason not to have this helpful support by your side.
Always Book An Inspection
Before you go ahead and purchase a property, you must ensure you have it inspected. Even if you’ve viewed the premises several times yourself, you don’t have the experience that professionals, like Your Building Inspector, does. This means you might miss issues that will cost you money later on. If these problems are spotted now, you can walk away or start haggling.
Hunt Throughout The Winter
It doesn’t matter whether you’re moving houses or offices; Doing so during spring and summer is always a lot easier. Because of this, you’ll tend to find properties are much more expensive throughout these months. To cut costs, you’ll want to purchase your new building throughout the winter. Just remember that you’ll have a tougher moving experience to contend with.
Compare Different Loan Quotes
Different mortgage lenders charge their own fees and interest rates, leading to wildly different loan quotes. With that in mind, you should ask for quotes from a few different lenders before deciding which one to apply with. Once you have three or four quotes written down, you can speak to your various lenders and use this information to try and negotiate better deals.
Buying business premises will never be cheap, but, with the tips above, you can cut costs and save some money.