Ogden, UT · Member since 2019 · 28 posts · 3 votes
Wanted to know the best way to leverage my new pizzeria as a way to get into real estate, wanted to know if there was any advice or suggestions from this who have done it before?
Haven't done this before, but usually its advisable to keep different business ventures separate. Some of it is for accounting reasons, the other is liability (and commensurately insurance). If your pizzeria gets sued, the real estate assets its owns is at risk, and vice versa.
Consult a qualified professional or two, but I suppose you might be able to leverage your pizzeria to get funds/loan to finance a real estate deal. Here is where you would need a professional to draft up paperwork to show its a legal deal to help separate the liabilities and the accounting.
Ogden, UT · Member since 2019 · 28 posts · 3 votes
5y
@David M. thank you for the reply! I appreciate it! I just want to find a way to use the business as a source for building equity, it may have to wait until I can invest later for future shops, because I’m currently in a lease for my current setup.
Even if your shop is leased, perhaps you can get a business loan. I have little idea what the rates and terms are for such loans. I assume you are trying to find additional sources of funding. So, your local bank might be willing to give you a loan against your shop so that you can use it as a down payment for your next investment purchase. Just things like that come to mind...