Leasing Industrial Space !!

The decision of choosing between buying and leasing industrial space for business always plagues business owners. It’s a big decision and there are a number of factors one needs to consider when making that decision. In case you too are confused, here the advantages of leasing industrial space over purchasing it:

1.      Capital: In case of leasing, you only need to worry about the security deposit, and the payments can be spread over the decided number of years. In case of purchasing, apart from a heavy down payment, you would have to acquire a loan on mortgage, which may not be so easy if you are fairly new into the business or industry. Leasing is more convenient!

2.      No maintenance duties: Depending on the terms and conditions of the agreement of lease when taking manufacturing space for lease, the lessor may take responsibility of taking care of the maintenance duties. In case of purchasing the property, the burden would fall on you and as we all know, the maintenance of a commercial property is not only expensive, but time-consuming as well. Maintenance of roofs and ceilings, cooling and heating, etc. would become an added responsibility.

3.      Retaining mobility- Renting or leasing warehouse space in Delhi allows you to retain mobility. When your business expands or diversifies, you can move to another facility in the future. If you are not sure that the industrial space would take care of all your current as well as future needs, you ideally shouldn’t spend a fortune on purchasing the facility. Since it’s difficult to sell building and commercial spaces, they aren’t very liquid assets as well. Looking for a suitable buyer would take time and your capital would remain blocked in the asset, preventing you from moving to another facility.

While purchasing a commercial property too has many benefits over leasing, the decision ultimately hinges on your needs and wants. Go for the option that will benefit you the most. Best of luck!