When you start a business, you may find your current home’s space isn’t adequate. You may need more room or an extra bedroom you can dedicate to your work. Moving while you’re trying to start a business may seem like an overwhelming challenge, but the reward is worth the struggle. Plus, with a few simple tips from PowerUp Hero, you can overcome any obstacles.
Be Prepared for the Financial Investment
Before you start searching for a home, make sure you save enough for a down payment, closing costs, and an agent’s commission. Generally, you’ll need at least 3.5% of the home’s cost — unless you qualify for a USDA or VA loan — for the down payment alone. Make sure you leave money for your business expenses.
The process of looking for a home can become tedious if your expectations are too high. Instead of looking for exactly what you want, have a bit of flexibility.
Jot down a list of your requirements for a home, such as the number of bedrooms and baths. Make a side note about which requirements are wants rather than needs. Keep in mind that you can make alterations to a house to make it fit your needs.
Set Aside Designated Time for Home Searching
Time management is a vital aspect to consider when moving and starting a new business. You’ll benefit by creating a schedule and adhering to it closely. Know exactly when you need to work to lay the foundation of your business. Factor in meetings and any other events you must give attention to when you create the schedule.
The time you have left is the time you have for house hunting. You may need to tweak the schedule a bit to ensure your schedule coincides with that of an agent.
Look Into the Market
Before you move to an area, thoroughly research the housing market there. Look at other homes in the area and their market value. Consider whether the home has the potential to increase in value.
If your business will depend on local consumers, make sure you research the demographics of the area to determine if you have a market there.
Form an LLC
An LLC is a limited liability company. Forming one protects your assets, including your home, if your business should ever incur debt. Additionally, when you form an LLC, you benefit from tax advantages. Plus, you’ll have less paperwork and more flexibility.
While you can use the services of a lawyer, the cost is high, especially when you’re in the midst of purchasing a home. You may, however, file on your own using an LLC formation site. The laws and regulations regarding an LLC vary from state to state, so make sure you check the rules in TX before proceeding.
Check the Zoning Regulations
Before you move, make sure you know the state and local zoning regulations for your type of home-based business. You may need a license to run the business, a sales tax permit, or professional licensure.
Make the Most of Finding a New Home and Business Location
When you plan and look carefully, you can find a home and business location that meets your needs. However, always make sure you follow regulations and consider forming an LLC to protect your personal financial well-being.
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