To Buy or Not to Buy Commercial Buildings
For upstart entrepreneurs searching for commercial infrastructure, one of the first questions you’ll ask will be, “Should I rent or buy outright?” And while this decision might not seem that consequential at first glance, your choice can have a massive impact on your future business potential.
Which is best for your needs? Renting a commercial space can relieve you of some responsibility and overhead, but owning your own building can save you tremendously over the life of your structure.
If you’re weighing the benefits of renting metal buildings versus purchasing one, you’ve come to the right place. In this blog, we’ll weigh the advantages and disadvantages of each choice to help you make an educated buying decision for your business operation.
4 Factors to Consider When Deciding Between Buying and Renting Commercial Metal Buildings
Finding infrastructure that empowers your business is crucial to running a successful enterprise. Depending on your needs, renting might be a better option than the upfront cost of buying. Conversely, your business needs might warrant investing in a more permanent option. Regardless of what works best for your commercial needs, here are some factors you’ll want to keep in mind when making your decision:
Budget
When deliberating between renting and buying a commercial metal building, the first and foremost factor to consider is your budget. Renting provides an immediate cost advantage, as the upfront expenses are generally lower. This can be particularly beneficial for businesses with tight initial financial constraints or those looking to allocate resources strategically over time. On the other hand, purchasing a metal building involves a larger upfront investment, requiring careful consideration of your current financial position and long-term financial projections.
Location
The choice between renting and buying a commercial metal building is intricately tied to the location of your business. Renting offers flexibility, making it a suitable option for businesses anticipating relocation or those operating in areas with uncertain long-term prospects. Conversely, if your business thrives on a stable, established location, purchasing a metal building provides the permanence and continuity needed to anchor your operations and build a local presence.
Long-Term Value
- Equity:
Renting a commercial metal building doesn’t contribute to equity since you don’t own the property. It’s a service you pay for without gaining an ownership stake. Buying, however, allows you to build equity over time, providing a valuable asset that could appreciate.
- Tax Deductions:
Rent payments are generally deductible as a business expense, offering immediate financial relief. Purchasing, on the other hand, opens up opportunities for tax advantages, including deductions for mortgage interest and depreciation. This consideration is crucial for businesses aiming to optimize their financial position through strategic tax planning.
Overall Cost
Renting a commercial metal building may seem economically appealing in the short term due to lower upfront costs. However, when projecting over the long term, the cumulative cost of renting could surpass the purchase price of a similar building.
Commercial Steel Buildings Are a Smart Investment
Whether you’re looking for a building to house your automotive repair shop or designing infrastructure for a new retail storefront, commercial metal buildings are a tried-and-true way to get the job done without breaking the bank in the process. This is precisely why 80% of all new commercial construction projects are metal buildings. But what exactly makes them a smart investment?
One of the key factors is the durability of steel. Metal buildings are built using galvanized steel, ensuring your structure can last for years with minimal need for repair. They won’t leak, rot, or rust, reducing your maintenance costs and allowing you to concentrate on your business needs.
Another factor is construction time. Unlike wooden options that take months to complete, a prefabricated commercial metal building can be erected in days or weeks. This drastically reduces installation timeframes and allows you to do business with minimal downtime.
And finally, we have customizability. Almost every component of a metal building can be changed, altered, or customized to suit your needs. Design a building that fits your brand and your functional requirements. Add doors, windows, covers, and anything else you need to ensure your business runs smoothly. The only limits are your budget and your imagination.
Why Buy Instead of Rent?
As a business owner, why would you want to buy a metal building instead of renting? There are a few distinct reasons why this could be advantageous. For one, when businesses invest in a metal building, they build equity that will only accumulate over time. Once the structure is paid off, operational costs are reduced, allowing businesses to grow.
Additionally, by purchasing your structure, you’ll have full control over its size, look, feel, and functionality. Make it your way with no need for an owner’s input. This will give you the power to design a structure that more accurately fits your business needs.
Let The Boss Handle Your Commercial Metal Building Needs
From small DIY structures to fully customized commercial metal buildings, Boss Buildings knows a thing or two about durable infrastructure. Our buildings are crafted using high-quality materials, advanced engineering techniques, and are built to provide you with years of dedicated service.
We offer flexible metal building finance options, a wide selection of rent-to-own metal buildings, and expertise that goes far beyond your initial purchase.
Give your business the backbone it needs to thrive. Contact Boss Buildings today at (866) 311-6242 and speak with one of our experts about your commercial metal building needs. We’ll be happy to configure a structure that works for you, provide you with a free quote, and help you take your first steps to empowering your business with the strength of steel.
