So you’ve got it all planned out. You know what type of small business you want to go into and have already finished writing your business plan. You are already thinking about whom you want to hire and are trying to get funding. Everything is falling into place, but where is said place? Think about it for a moment: where do you want all your hard work and success to happen? Finding great office space is an important step in the small business start-up process, just as important as acquiring financing. DRDA P.C. certified public accountants and business consultants can give you tips to finding the perfect office while helping you get the money you need to open your doors.
Obtaining money to start a small business doesn’t have to be a beating. If you are suffering from repeated bank denials, then it may be time to start thinking outside the box. DRDA P.C. is home to a powerful alternative source of funding called a BORSA plan. BORSA stands for Business Owners Retirement Savings Account and is a non-traditional way to get small business start-up capital using funds stored in a retirement account such as a 401(k), 403(b), 457 or IRA rollover. No early withdrawal taxation or penalties apply if used for business purposes.
After squaring away proper financing, you will be able to focus on finding a great locale to open up shop. Finding office space involves three things: location, inspection and negotiation.
Location: Depending on where you live, the amount of available office space can greatly differ, so speaking with a real estate agent may come in handy. Before doing so, take the time to list the things which are essential to your small business such as amount of space and special accommodations. Will you need a break room complete with kitchen or a large conference room? How far do you want to travel to work everyday? Will you be needing to impress clients with upscale accommodations? Think about all the business activities that you will be doing everyday before settling on a location.
Inspection: Based on the age of a building, office space is divided into three classes A, B and C, ranging from top to low quality. If you can’t afford the luxury afforded by an A class office, then make sure the space you have found is not structurally deficient. Hire an inspector to come in and make sure you won’t be wasting your money on a lemon.
Negotiation: Before signing the lease or purchase contract, make sure you aren’t getting the raw end of the deal. Unless you are outright buying a property, you will most likely be signing a lease. When signing a lease for a commercial property, be aware of the fact that the lease was written to favor your new landlord, not you. With that in mind, have an attorney or insurance broker look over the lease in case there is a hidden clause that may come back and bite you. Next, try to settle on a fair price based on the inspection and fair market value of the space.
Let DRDA P.C. help you get started by showing you a great alternative to taking out a bank loan to pay for your property. To learn more about a BORSA plan call DRDA P.C. at 281-954-6040 today or visit www.drdacpa.com.
