One of the largest expenses you’ll face as a growing company is office space. You’re not only responsible for paying rent, but for a whole host of other business rates and management charges too, which can quickly add up to a significant sum of money.
If your team is growing and office space is a key concern, you may be considering purchasing office space rather than leasing. Purchasing office space can be a significant investment for any business, but the long term benefits and earning potential can make the investment a very attractive option.
Specialist commercial property solicitors at Abacus have put together all the key facts that you need to know if you’re considering purchasing commercial property.
Leasing vs buying
They key benefit of purchasing commercial property is having complete control over your space. You’ll be able to make alterations to your space, without having to get approval from landlords. It’ll also enable you to remove the middleman when trying to organise maintenance or repairs. By purchasing your space, you’ll no longer have to pay hefty management fees and you’ll be able to choose your utility providers, in order to get the best deal possible.
For some businesses, however, leasing is a great option. If your team size is likely to change dramatically, or you may need to relocate in the near future, leasing allows you to change office space with relative ease. It also means that some of the management aspects of commercial property space will be taken off your hands.
Benefits of investing in commercial property
Investing in commercial property can bring a whole host of benefits to growing companies. By purchasing your own workspace, you can feel more secure in the knowledge that the risk of evictions or notice being served has gone. You’re also in full control of the property, so you’ll be able to alter the space as you see fit, in order to meet the needs of your team.
Purchasing office space can also provide an alternative source of income for businesses. By renting out excess space, you can expect a regular income, which can help to ease financial pressure on your business. Commercial tenants tend to have longer leases, lower turnover and are also responsible for a majority of maintenance and upkeep, so can prove to be an easy, hands-off way of making money.
Purchasing commercial property can certainly provide a whole range of benefits for growing businesses, whilst allowing you to truly take control of your team’s workspace. If you’re considering purchasing commercial property, make sure to get advice from a solicitor who specialises in commercial property law.