Commercial premises are also known as investment properties. Landlords generally build this type of property (real estate apartments, multifamily flats, office buildings, shopping complexes, housing societies, hotels etc.) for the purpose of making money.
Meanwhile, it is also important for them to understand the fact that they can easily double their profit by making some simple changes and following some innovative strategies. In the section below we will cover the list of the most effective cash flowing tips that will help landlords to earn more than general.
- Increase Rent Gradually
This is an obvious method that anyone can follow to increase their cash flow. So, commercial property owners are always suggested to increase the property rate gradually on a yearly or half-yearly basis to increase their profit. Meanwhile, it is also important for owners to understand the fact that tenants will accept the higher rent only if they think that the rising price is justified. This is why it is always suggested to increase the rate gradually.
- Offer Extra Services to Your Tenants
You might not ever give it a tough but airlines often charge their passengers some extra bucks for upgrading in-flight meals, checking bags etc. You can also apply this type of strategies in your commercial building. For example, add cable TV connection, install CCTV or faster the internet connection etc. By offering extra services to your tenants you will be able to ask extra rent from them.
- Energy Efficient Product Installation
Energy efficient products can offer a long-term solution and solve your cash flow issues. From LED lights to central AC and wires, owners are always suggested to only install energy-efficient electrical products in their home. You might think that you have to invest a lot in accomplishing this project. But here it is important to understand that you will only invest once and enjoy its benefit throughout your lifetime.
- Install Vending Machines
By installing a high-tech vending machine in your commercial premises, you will be able to enhance the performance of the building. In addition, it will also help you to earn few extra bucks every day. Vending machines have the ability to dispense on-demand hot beverages, cold beverages, foods, snacks, chips etc. to the users.
But studies reveal that drink vending machines are most profitable in commercial places. There are some quality companies that offer drink vending machines in Melbourne, as well as in the other cities in Australia. You can hire one of them and learn more about this smart way of earning.
- Add Rent for Storage Space or Parking Range
This is one of the best methods that you can follow to increase your income. Apart from offering free parking spots, you can also offer your tenants a covered spot for parking their car. Your tenants may not agree with this condition. Well, in that case, you can bypass the issue by charging for a storage space. It will be less controversial for sure.
So, these are some of the most useful methods that commercial landlords can follow to solve all of their cash flow issues.