Do you have accrued equity in your commercial property? If so, it may be possible to pull out a portion of it as cash to be used for other purposes. Give your property a facelift, buy the equipment that can help you streamline the customer experience, pay for ventilation upgrades and other safeguards, purchase inventory or increase your payroll to attract new talent. Activities like the ones just mentioned will increase your revenue and in turn profits.
Remember, your refinance costs are tax deductible. When you refinance your loan, all the costs are deductible. Consider working with a lender that doesn’t charge any points. Additionally, your loan fees, any legal or title fees you pay and any recording fees or registration taxes that your city, county, or state charge can all be deducted. Though, you will need to divide these costs by the length of the land and write off a commensurate portion every year. For example, if your closing costs are $16,500 for a loan with a 10-year term, you’d be able to claim $1,650 a year in costs.