Your grocery business has helped you grow financially. But do you know there may be opportunities to get even more out of your grocery business? Here are 3 things you should look into:
Upgrading your equipment to newer and more efficient models
Older coolers, freezers as well as other convenience store and deli equipment can require a lot of maintenance. Newer and more energy efficient equipment can save you significant amounts on your energy bills.
Your business can generate tax benefits from purchasing new equipment as well.
Refinancing your high interest business loans
You may have taken out high interest loan from alternative sources to fund your grocery business. Even though your business is generating much revenue, high interest payments take money out of the business and out of your pockets and hold back your growth.
Your time running a profitable grocery business helps make you more attractive to main stream lenders than when you just started. Taking advantage of still low interest rates to refinance existing business debt is a smart move.
Purchasing the building where your store is located
Many grocery and convenience stores are the anchor tenants in the buildings in which they are located. With rents getting higher, purchasing the building may be a wise business move. Owning the building removes the uncertainty that comes with leases that may not be renewed.
You’ll enjoy greater business security knowing you will be able to hold on to a profitable location for a long time. Also, depending on the size of the building and other factors, mortgage payments for the building may not be much higher than the rent. Ownership gives you the chance to make significant improvements that the previous owner may have been reluctant or unwilling to undertake