{"id":560723,"date":"2019-01-12T03:55:48","date_gmt":"2019-01-12T08:55:48","guid":{"rendered":"https:\/\/vrbbd.wpengine.com\/vrbbgreenbay\/considering-all-of-your-business-real-estate-options\/"},"modified":"2022-01-31T12:42:43","modified_gmt":"2022-01-31T17:42:43","slug":"considering-all-of-your-business-real-estate-options","status":"publish","type":"post","link":"https:\/\/www.vrbusinessbrokers.com\/vrbbgreenbay\/considering-all-of-your-business-real-estate-options\/","title":{"rendered":"Considering All of Your Business Real Estate Options"},"content":{"rendered":"<div><img loading=\"lazy\" decoding=\"async\" width=\"900\" height=\"600\" src=\"https:\/\/deal-studio.com\/wp-content\/uploads\/2019\/01\/bigstock-Office-Building-4474653.jpg\" class=\"webfeedsFeaturedVisual wp-post-image\" alt=\"\" style=\"display: block; margin-bottom: 5px; clear:both;max-width: 100%;\" link_thumbnail=\"\" srcset=\"https:\/\/deal-studio.com\/wp-content\/uploads\/2019\/01\/bigstock-Office-Building-4474653.jpg 900w, https:\/\/deal-studio.com\/wp-content\/uploads\/2019\/01\/bigstock-Office-Building-4474653-300x200.jpg 300w, https:\/\/deal-studio.com\/wp-content\/uploads\/2019\/01\/bigstock-Office-Building-4474653-768x512.jpg 768w, https:\/\/deal-studio.com\/wp-content\/uploads\/2019\/01\/bigstock-Office-Building-4474653-705x470.jpg 705w, https:\/\/deal-studio.com\/wp-content\/uploads\/2019\/01\/bigstock-Office-Building-4474653-450x300.jpg 450w, https:\/\/deal-studio.com\/wp-content\/uploads\/2019\/01\/bigstock-Office-Building-4474653-200x133.jpg 200w\" sizes=\"auto, (max-width: 900px) 100vw, 900px\"><\/p>\n<p><span style=\"font-weight: 400;\">In a recent December 2018 article in <\/span><a href=\"https:\/\/www.divestopedia.com\/2\/6286\/sale-process\/negotiation\/options-for-business-real-estate-when-selling-a-company\"><span style=\"font-weight: 400;\">Divestopedia<\/span><\/a><span style=\"font-weight: 400;\"> entitled, \u201cOptions for Business Real Estate When Selling a Company,\u201d the topic of business real estate was explored at length. <\/span><\/p>\n<p><span style=\"font-weight: 400;\">One of the key points of the article was that understanding one\u2019s business real estate options would ultimately help in achieving \u201cthe goals desired in a transaction.\u201d\u00a0 The article is correct to point out that many, or even arguably most, business owners simply don\u2019t know what real estate options are available to them when it comes time to sell the company. <\/span><\/p>\n<p><span style=\"font-weight: 400;\">In particular, there are two big options: <\/span><\/p>\n<ol>\n<li><span style=\"font-weight: 400;\"> Sell everything including the real estate.<\/span><\/li>\n<li><span style=\"font-weight: 400;\"> Hold onto the real estate for the rental income.<\/span><\/li>\n<\/ol>\n<p><span style=\"font-weight: 400;\">In the Divestopedia article, the authors correctly point out that if you, as the business owner, personally own the real estate in a separate entity, then you are good to go.\u00a0 You should have a \u201cclear path to valuation.\u201d <\/span><\/p>\n<p><span style=\"font-weight: 400;\">However, if your company owns the real estate, then things get a little more complicated.\u00a0 If this is the situation you\u2019ll want to have a third-party appraisal of the real estate so that its value is clear.\u00a0 The article also points out that if your business is a C-Corp and your business also owns the real estate, then it\u2019s a good idea to talk to your accountant as there will be differences in taxation.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Every situation is different.\u00a0 Many buyers will prefer to acquire the real estate along with the business.\u00a0 On the other hand, many buyers may prefer a lease, as they don\u2019t want everything that comes along with owning real estate.\u00a0 Communicating with the buyer regarding his or her preference is a savvy move.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Now, as Divestopedia points out, if you do plan to retain the building, then you\u2019ll want to be certain that a strong lease is in place.\u00a0 Ask any business broker about the importance of having a strong lease, and you\u2019ll get some pretty clear-cut feedback.\u00a0 Namely, you always want to have a strong lease. <\/span><\/p>\n<p><span style=\"font-weight: 400;\">Issues such as who repairs what and why should all be spelled out in the lease.\u00a0 It should leave nothing to chance.\u00a0 One of the best points made in the Divestopedia article is that you will want a strong lease for another key reason.\u00a0 When the time comes to sell the property, you want to show you have a lease that is generating good income.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Real estate and the sale of your business are not one-dimensional topics.\u00a0 There are many variables that go into selling when real estate is involved.\u00a0 It is important to consider all of the variables and work with a business broker who can help guide you through this potentially complex topic.<\/span><\/p>\n<p><a href=\"https:\/\/deal-studio.com\/considering-all-of-your-business-real-estate-options\/\" target=\"_blank\" rel=\"noopener noreferrer\">Copyright: Business Brokerage Press, Inc.<\/a><\/p>\n<p><a href=\"https:\/\/www.bigstockphoto.com\/image-4474653\/stock-photo-office-building\" target=\"_blank\" rel=\"noopener noreferrer\">imging\/BigStock.com<\/a><\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>In a recent December 2018 article in Divestopedia entitled, \u201cOptions for Business Real Estate When Selling a Company,\u201d the topic of business real estate was explored at length. One of the key points of the article was that understanding one\u2019s business real estate options would ultimately help in achieving \u201cthe goals desired in a transaction.\u201d\u00a0 [&hellip;]<\/p>\n","protected":false},"author":2,"featured_media":560725,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[3,8,2],"tags":[],"class_list":["post-560723","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-seller-articles","category-seller-faq","category-selling-a-business"],"blocksy_meta":{"styles_descriptor":{"styles":{"desktop":"","tablet":"","mobile":""},"google_fonts":[],"version":6}},"_links":{"self":[{"href":"https:\/\/www.vrbusinessbrokers.com\/vrbbgreenbay\/wp-json\/wp\/v2\/posts\/560723","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.vrbusinessbrokers.com\/vrbbgreenbay\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.vrbusinessbrokers.com\/vrbbgreenbay\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.vrbusinessbrokers.com\/vrbbgreenbay\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.vrbusinessbrokers.com\/vrbbgreenbay\/wp-json\/wp\/v2\/comments?post=560723"}],"version-history":[{"count":0,"href":"https:\/\/www.vrbusinessbrokers.com\/vrbbgreenbay\/wp-json\/wp\/v2\/posts\/560723\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.vrbusinessbrokers.com\/vrbbgreenbay\/wp-json\/wp\/v2\/media\/560725"}],"wp:attachment":[{"href":"https:\/\/www.vrbusinessbrokers.com\/vrbbgreenbay\/wp-json\/wp\/v2\/media?parent=560723"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.vrbusinessbrokers.com\/vrbbgreenbay\/wp-json\/wp\/v2\/categories?post=560723"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.vrbusinessbrokers.com\/vrbbgreenbay\/wp-json\/wp\/v2\/tags?post=560723"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}