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Many small business owners struggle with the dilemma of deciding whether to buy, rent, or lease office space. If you ask business consultants or real estate brokers, you will get conflicting answers. The key point to remember is this: Each small business brings its own unique situations and concerns to the table, which means the answer will be different for each business owner.
A good place to begin is by examining your company’s current business plan and earnings forecast, the credit history, and the local real estate market. Every business idea needs to be carefully researched before making any final decisions. As you are searching for the right answer, keep these questions in mind:

How is your cash flow? As a new small business owner, you may be short on cash, so it will be less expensive to rent or lease a facility when you are just starting out.

For example, you can probably lease a building for about $4,000 a month, but if you were looking into purchasing that same property, you would need a substantial down payment. Examine your cash flow projections carefully and then make your decision.