Looking for advice on what to do next
Discussion
Hi. I am a member on here but would like to keep this anonymous hence the new account.
At the moment I run a e-commerce site, LTD company with turnover of approx £275k, net profit of about 40k. Very easy to run, minimal hours per day to be honest so great lifestyle business. However having had on going problems with suppliers and the chance things could go pear shaped in the near future I am planning a head and thinking of an alternative to get out of the current business.
My immediate thought is property, having made a bit of money with property before I generally get the idea, process and fees involved. One plan I am considering is turning large 3 storey city centre houses in to HMO or office space. There is a town local to me, popular area with large terraced houses a stones through away from the centre. Some are already converted in to commercial use but the majority seem to be residential, so would need permission to go HMO or commercial.
These can be bought for around 65k in a reasonable state, with about 10-15k put in to them they could be rented out as room only or could even look at small self contained flats if budget allows. Rent wise a room goes for about £250-275 PM, these are 5-6 bed properties so very lucrative. However I am not looking at the rental front yet, mainly getting them done up, rented and sold on to an investor. I will then hopefully get a good profit margin.
Office space would go for about 225 per month, might be a good alternative for a hands off investor?
Finance wise I have a bit in the bank, enough to put 20-25% down and look at getting a bridging loan for the remaining or mortgage if possible?
I know its a long shot but has anyone done this to properties with much success, my last venture was residential and paid off well (40kish profit in under 6 months). My worry is having no salary for months at a time until the property is done and sold.
Alternatively I would love to hear what people are doing now if they have started another new company from scratch? Export seems to be a good trade at the moment but its finding the right product and supplier.
Any ideas are appreciated, I will be keeping on top of this post rather than letting it go dead.
Cheers
At the moment I run a e-commerce site, LTD company with turnover of approx £275k, net profit of about 40k. Very easy to run, minimal hours per day to be honest so great lifestyle business. However having had on going problems with suppliers and the chance things could go pear shaped in the near future I am planning a head and thinking of an alternative to get out of the current business.
My immediate thought is property, having made a bit of money with property before I generally get the idea, process and fees involved. One plan I am considering is turning large 3 storey city centre houses in to HMO or office space. There is a town local to me, popular area with large terraced houses a stones through away from the centre. Some are already converted in to commercial use but the majority seem to be residential, so would need permission to go HMO or commercial.
These can be bought for around 65k in a reasonable state, with about 10-15k put in to them they could be rented out as room only or could even look at small self contained flats if budget allows. Rent wise a room goes for about £250-275 PM, these are 5-6 bed properties so very lucrative. However I am not looking at the rental front yet, mainly getting them done up, rented and sold on to an investor. I will then hopefully get a good profit margin.
Office space would go for about 225 per month, might be a good alternative for a hands off investor?
Finance wise I have a bit in the bank, enough to put 20-25% down and look at getting a bridging loan for the remaining or mortgage if possible?
I know its a long shot but has anyone done this to properties with much success, my last venture was residential and paid off well (40kish profit in under 6 months). My worry is having no salary for months at a time until the property is done and sold.
Alternatively I would love to hear what people are doing now if they have started another new company from scratch? Export seems to be a good trade at the moment but its finding the right product and supplier.
Any ideas are appreciated, I will be keeping on top of this post rather than letting it go dead.
Cheers
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