Today there are many ways to fund an Atlanta commercial real estate investment venture. This includes accessing traditional funding sources or even innovative ideas like conducting online crowd funding. Raising capital for Atlanta commercial property is entirely different than raising capital for a traditional business or other types of early-stage fund raising. Unlike multiple stage fundraising, investing in Atlanta commercial real estate demands that all debt for equity capital is sourced upfront. This is the case even long before breaking ground on a new development.
Disclosure and complete transparency is paramount when seeking funding for commercial real estate investment purposes. Avoiding any legal repercussions is always a top priority and that is why disclosure and full transparency should be standard procedure. Consult with your accountant and your investment attorney to review all documents before applying for a commercial loan.
Securing Funding in Atlanta
Another important aspect of seeking financing for a commercial real estate investment is to focus on prior years’ returns. Having a good idea of prior years’ cash flow will help with securing funds. Along with prior years’ returns, it is good to have a well-defined plan going forward. Whether renovating a property or building a new structure, there is a tremendous amount of coordination, effort, and expert oversight that must be taken into account. Seeking commercial real estate investment funds in Atlanta requires that an investor have a well-defined plan in terms of intentions for the property, permits, and other specifics.
Thoroughly Researched Business Plan
An expertly prepared business plan will help entrepreneurs show clarity of purpose and focus when it comes to funding a major Atlanta commercial investment. This is especially true in the early stages of fundraising. A detailed and thoroughly researched business plan helps to add credibility when trying to raise capital. Equally important is to have knowledge of the local area in terms of general real estate activity. Understand local neighborhoods, property values and developments that are going on in the local area. This will better prepare an investor when seeking adequate funding.
Atlanta Commercial Real Estate Financing Challenges
Any commercial real estate developer in Atlanta should recognize the value in having a favorable reputation throughout the community. People with a proven track record are more likely to be trusted by those making decisions when seeking funding for a new project. Atlanta commercial real estate financing can be challenging and that is why it is vital to consider these simple tips and then proceed cautiously. A growing number of investors are turning to the online arena as a way to raise capital. This makes it more difficult to develop relationships and personal connections. Contact Wiedmayer & Co. today to learn more about financing commercial real estate in Atlanta in a more successful and rewarding way.