The Build, Part 2
In the first chapter we discussed planning and assembling the team. Now we can move on to figuring out how to pay for it.
Even with the largest of commercial projects, you always begin with a “projected” budget. Or, what most folks would call a guess. No matter how vague, this is where it always begins. In many cases you can find online references that can give you industry estimates of cost per square foot. I’ve never used that and have just worked from the base of my own experience, which has actually gotten me into a lot of hot water over the years, but that’s another story. Next, you need to figure out how much cash you’ll need up front and how much you’ll be financing. Commercial buildings are all about the ROI (return on investment), so a good financing plan is critical. Yes, you can pay cash, but for investment purposes that’s not advisable.