What means Buy or Rent?
Is it better to rent or buy commercial space? What are the pros and cons of a hire purchase? The following tips and recommendations apply to entrepreneurs and other (growth) companies
- Flexibility. Is your building too small, are you expanding your business, do you want a flexible location? Renting a house is easier than selling a house, so you can move to a larger building more easily.
- The monthly costs are low and the monthly rental costs are usually lower in absolute value than the interest costs at the time of purchase (plus some mortgage repayment costs) and maintenance costs.
- In addition to housing, preserve financial resources that can be used for commercial activities and other investments, without charging property maintenance costs
In some cases, you can only rent if you cannot take out a business mortgage.
BOG buy benefits
- You build up capital with a property for sale. In addition, many entrepreneurs treat their real estate as a pension.
- You can determine the adjustments / renovation of the building yourself.
- Location. When renting, you are not sure whether you will be able to keep the location after the lease has expired. Exception: Catering entrepreneurs and retailers are protected here.
Also consult with your accountant whether the purchase of business space suits your financial situation. A good accountant usually also provides tax tips for your business.
