Running a successful business means constantly searching for ways to increase your income and reduce your outgoing expenses. However, even if you frequently cut costs by leveraging deals with suppliers and boost your income by endlessly collecting new leads and prospects, you may find that you’re still struggling to maintain a strong revenue stream. Fortunately, there are ways to strengthen your financial health that don’t necessarily involve laying off crucial team members or expanding your service and product portfolio. If you own your own property for retail, sales, or warehousing purposes, you could potentially transform that real estate into another way of making money. Here’s what you need to know.
Investing in the Right Property
The first step in making sure you can get the best return from your property investment is ensuring you purchase the right real estate in the first place. Choosing the right location for your business, as well as a property that serves the right use and goals, can significantly increase your earning potential. You might even find your business property becomes a source of generational wealth for your family members in the years to come. Before you purchase any new office space, warehouse, or distribution centre, it’s important to ensure you run the numbers carefully to ensure you’re going to get a high return. There are various guides available online which can walk you through the process of calculating your ROI and ensuring you can access a high level of profitability from each purchase.
Turning Property into Revenue
Once you have the right property in your portfolio, the next step is figuring out how you’re going to take advantage of it. You can consider buying offices and renting them out to other professionals in your field if you want to use real estate as a tool for generational wealth building. Alternatively, you can simply take advantage of the space you already have for your company, by looking for new ways to use the space you own. There are ways to access additional revenue from commercial and business properties.
Leasing Out Unused Space
As more businesses transition into the age of remote and hybrid work, many are discovering they no longer need all the space they have available to them in their real estate. If this is the case for you, it might be worth looking for opportunities to rent out the space you’re no longer using. You can consider giving remote and desking professionals a great space to work, by renting out a portion of your office. Alternatively, you might rent out specific parts of your property, such as your board and conferencing rooms, or your parking spaces. You could even consider renting out your space for events, photoshoots, and other business opportunities. Many companies without their own large meeting spaces look for spaces to rent for large business events.
Partner with Other Companies
If you’re a small business owner with commercial space you no longer need, then it might be a good idea to consider partnering with other companies to help them fulfil their real estate requirements. If you have several large rooms in your building, you could organise your team into one selection of rooms and allow another company to use the other half of your space. When partnering with other companies, you can ask them to pay a portion of the rent for the space they use. You may also be able to charge for additional services, like access to parking spaces, technical support, of even the option to use your video conferencing hardware for meetings. When partnering with another company, make sure you’re not joining forces with a competitor, as they could use their proximity to your company to end up poaching some of your clients.
Promote and Advertise Other Businesses
Finally, if your business environment has free wall space, you could consider renting out that space to people who want to promote their businesses. Once again, it’s a good idea to make sure you’re not partnering with competing companies in this strategy, as it could draw attention away from your company and make it harder to access new clients. Additionally, you’ll need to ensure you’re not connecting yourself to any businesses who directly oppose your company’s value or vision, as this could end up damaging your brand. However, if you’re careful about how you use your advertising space, you could find it turns into an excellent source of additional, passive income for your company.
Unlocking revenue potential through property is an exciting avenue for business owners. By thinking creatively and strategically, you can transform your property into a multifaceted asset that generates income, fosters growth, and strengthens your brand. Whether you’re renting out extra space, hosting events, or investing in real estate, property can be a powerful tool to enhance your business’s financial health and long-term sustainability. Explore these innovative ideas, and you’ll discover a world of opportunities right at your doorstep.