If you are unsure about whether or not your company should buy your next office space or lease instead, there are several factors to consider. There is no right or wrong answer, the decision is based on your company's specific needs and goals. -Is the size of your company staying basically the same into the foreseeable future?
-Is a steady rent crucial to the success of your business?
-Are you looking to reduce your tax liability by reducing excess capital?
-Do you plan to be in business for many years into the future?
-Is your business dependent on location?
-Are you looking to invest some of your company's profits into real estate? | If you answered YES to 3 or more of those questions, you may be a good candidate for purchasing a condo or co-op. If your business can be located anywhere, rent fluctuations only affect your bottom line modestly, you may grow or shrink in the near future, or you do not have excess capital for improvements, you should probably continue to search for lease opportunities.
Is the size of your company staying basically the same into the foreseeable future?
You should speak to an accountant about all of the benefits of owning versus leasing real estate. In fact, new legislation may require public companies to list leases as liabilities. |
|
|
