When you are looking to start your own business, there is a lot that you need to consider. You need to find a great location, you need to do research to see if the demand for your business is in that area and you have to consider prices. But something you may not have considered when researching commercial property in your area is whether or not you want to buy or lease an existing property or if you want to buy land and build something brand new. There are pros and cons to each side.
Custom to you
When you build on a piece of land, you get to have the design that you want for your business. If you are building a restaurant, you can have the city’s biggest and best kitchen that fits your needs. If you own a clothing store, you can build something that will fit all of the racks of clothes that you want to put in your store. With an existing building, you will have to rip out the existing decor and rebuild. You want a building that works for your business. A restaurant with 2 floors isn’t very conducive when it comes to customer service, but if you can build a one story building with the same amount of space, your outlook becomes brighter.
Issues with existing building
When you buy an existing building, you don’t know what is inside the walls. Sure you can get an inspection but there is no telling what will happen two weeks, two months or two years down the road. The electrical could be illegally wired, the plumbing could be blocked or there could be a leak in the roof that you won’t know about until the first heavy rainfall. Having everything brand new is one way to prevent all of the headaches that could come around down the line.
Buying or leasing a building that has been around for years is great in the way that people know it is there. If it is in an established shopping center, the chances of your business succeeding is better than if you are building down the road where nothing is. People are already familiar with its existence and will be more comfortable checking it out. If you build a building somewhere that is not very convenient to your customers, they won’t make an effort to stop by.
The most important aspect to any new business owner is money. With a new building, you are buying everything at face value. The flooring, the bathrooms, the countertops. With an existing building, even if you end up ripping everything out down to the studs and starting over, you could save yourself some money because you aren’t having to pay for all kinds of permits or contractors and you already have the studs and four walls!
When the time comes to make a decision on whether you are looking to buy or lease a commercial property or buy land to build your business on, call North Bay Property Advisors today.