What Is A Commercial Refinance?

A commercial refinance is a process of obtaining a new mortgage on a commercial property that is already owned by your business. As a commercial property owner, you may want to consider a commercial refinance as a way of gaining access to equity. This equity could then be used for various reasons, such as investments of the purchase of new properties for example.

Think of commercial refinancing as remortgaging your home. As it would with your home, it can help reduce monthly repayments. It could provide more competitive interest rates. In turn, this will help alleviate cash flow pressure on you and your business.

If you are considering commercial refinancing as a financial solution for your business, there are some things you need to keep in mid. For example, taking on the addition debt through refinancing is an added expense four your business if the funds are to be used elsewhere.

However, if you are switching to a more competitive deal there are also other things that you need to factor in. For example, there may be additional borrowing costs involved. This is dependent on broker fees and valuation fees. These can vary massively between lenders.

When considering commercial refinancing for your business it is essential that you have two experts on your side. You will need an independent broker to explore all the options for you. You will also need a commercial property solicitor to make sure you and your business are protected. Both of these people are essential for the safe commercial refinancing of your business.

There are various types of commercial refinance options for businesses. Each will have its own advantages and factors to consider. This is why you need to work with commercial experts. They can help you evaluate your specific needs. This will help you determine the most suitable commercial refinancing option for you.

Need a trusted commercial property solicitor in Peterborough to support your business? Contact our commercial property law experts now.