To Lease or To Buy Retail Space: Some Pros and Cons
It’s an essential question that every business must face: “Should I lease or buy space?” The answer depends on what type of business you have, your budget, its location and more. Here is a look at some of the pros and cons to consider.
Leasing vs. Buying
Traditional loans require a down payment of 10% to 40% of the property’s value, making it much more substantial than the security deposit typically needed for a retail property for rent West Chester PA. When you lease, that money can go into the business instead of to the bank, allowing you to take advantage of opportunities that arise. It also means you can qualify for a bigger loan should you want to expand. Owning space does have one great advantage over leasing, which is building equity. Like buying a home, you can also qualify for loans based on that equity.
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