For some businesses, especially growing ones, warehouse space is essential. If you need a location to store products, components or business supplies or conduct shipping and mailing activity, consider our expert advice.
Consider Renting Warehouse Space
If your business is unproven, renting a commercial building could offer you more options. If your business needs change, you won’t need to sell the unwanted property or become a reluctant landlord until the time is right to sell. When leasing business property, you may need to factor rent increases into your business budget.
Advantages of Buying a Warehouse for Your Business
- Purchasing your own building with commercial real estate financing can provide savings on business operation expenses, and your property value may increase over time. What’s more, you can redesign the space to suit your needs exactly.
- Consider borrowing costs associated with a warehouse mortgage, like the required down payment and loan terms. Loans that allow you to make extra payments toward principal are ideal, provided the interest rate and fees you’ll pay are favorable.
- The tax advantages of buying business property can be meaningful, so consult your tax advisor.
Choose Property Wisely
- Estimate the space you need for your business and factor in growth so that the property works for you in the future as well. Does the property have sufficient loading dock space, large doorways, and wide aisles so that delivery trucks, forklifts, and other machinery can move freely? Will you need to use some warehouse space for functions other than storage? Consider the space needed for manufacturing or packing and shipping orders, if applicable.
- Plan for employee spaces: Will you need offices for staff and a conference room? You may want space for a kitchen and break room. Does the building have bathrooms?
- Consider nearby transit and transport, parking: Is there adequate parking for employees? Can staff easily access public transit to get to/from work? Are you near an airport and freeway on/offramp(s) for delivery and shipping convenience?
If you need funds to buy a warehouse for your business, contact the commercial finance experts at Fast Commercial Money today.