Invest in and Grow Your Business
Explore the possibilities for business growth through investments in technology, equipment, vehicles and commercial real estate.
As an entrepreneur, one of the best ways to build your venture is to invest in areas that could ultimately help expand and grow your business. With many small businesses experiencing ups and downs over the past year, understanding the benefits of reinvesting is more important now than ever. As always, it’s crucial to prioritize various investment options according to your business needs. Here are some common investments to consider:
It’s important to stay up to speed with technology so your business can operate efficiently and find ways to innovate and deliver solutions faster. Updating computer systems is an ongoing process as computers experience heavy demand from maintaining and securing your data as more everyday business tasks are going online.
Look into ways to increase efficiency with business automation and use technology to optimize remote work.
From sewing machines for a tailor shop to a grill for a burger joint, almost every business has some sort of specialized equipment that needs to operate efficiently for the venture to be successful. When your equipment starts requiring frequent maintenance and repairs or no longer meets safety or emissions requirements, it’s time to replace it. Even if your equipment is satisfactory, upgrading to newer equipment may elevate your business’s productivity and sales. Learn more about smart financing for your business equipment.
If your business operation depends on transportation to sell or provide a service or if you independently move your product, investing in new vehicles can end up paying off down the road. New advancements in automobile safety features could save you money on insurance and maintenance. Additionally, hybrid vehicles with good fuel economy could reduce the flow of capital at the pump.
Commercial Real Estate
You can add stability to your business by buying your company’s building(s). Eliminating the risk of an extreme rent hike takes a big investment — asking the following questions can help you make sure it’s the right move for your business:
- How do your current lease payments compare to the potential mortgage payments? The latter makes your monthly cost more predictable and stable.
- How long do you foresee your business staying in this location? Typically, seven years or more is the amount of time needed to make buying cost less than leasing.
- Does it offer additional space for future expansion? It’s likely you could rent out extra space until your business needs it.
- Is the building specialized to your business or can you easily sell/lease it? A more adaptable building could have greater value down the road.
Ask an Expert
When the time is right, we can help you grow your business with a term loan1. Contact an experienced and knowledgeable business banker at Amegy Bank to explore financing options for investing in your business.
1. Loans subject to credit approval. Terms and conditions apply. See an Amegy Bank for details.
The information provided is presented for general informational purposes only and does not constitute tax, legal, or business advice. Any views expressed in this article may not necessarily be those of Amegy Bank. Amegy Bank is a division of Zions Bancorporation, N.A. Member FDIC.