Barriers to entry are restrictions that prevent new competitors from quickly entering an area of business or industry. These include regulatory clearances, securing licenses, tax benefits, and customer loyalty.

Startup companies need to contend with these different barriers, depending on their industry. Some may be caused by government intervention or even other firms that deem the new businesses a threat. These firms may be protecting the integrity of the industry, attempting to avoid products that they believe are inferior to the market, and at the same time, watching the market shares.

New business ventures have a lot to contend with…

CAM stands for Common Area Maintenance, and they are fees that are paid by tenants to maintain the areas, both in housing developments or commercial complex, such as the following:

• Lobbies
• Corridors
• Elevators
• Staircases
• Clubhouse
• Libraries
• Store Rooms
• Garden & Parks
• Driveways
• Parking Spaces
• Roof Terraces
• Play Areas

Also included in the CAM fee are security systems and personnel, reception services, janitorial and cleaning services, painting, flooring, administration and management, repair and replacement of roof lighting, plumbing, wiring, landscaping, and even snow removal. These maintenance costs are usually averaged every year.

Another way of understanding these terms is to consider…

Commercial lenders include commercial banks, private lending institutions, hard money lenders, financial groups, and mutual companies. They are mostly used for commercial real estate acquisitions, short-term fundings or businesses that need resources to address seasonal orders or cater to sudden demand.

Their key responsibilities are handling prospective clients by identifying their needs, interpreting their financial statements, securing collateral, and gathering other required documents such as insurances and agreements. Once the borrower has submitted all the requirements, they can start negotiating the rates and terms of their commercial loan to lessen the burden that interest rates can incur.

What can be…

Building a loyal customer base is vital to the success of any business, and a great way to do this is to understand their wants and needs. Nowadays, eCommerce buyers don’t like having to wait for their orders, in part because the internet has conditioned them for instant gratification. Improved and modernized technology has made same-day shipping delivery a feasible way to improve customer satisfaction and increase sales while keeping services affordable.

As online shopping has exploded in popularity over the course of 2020, mostly because of the lockdown caused by the ongoing COVID-19 pandemic, online retailers and logistic companies…

Paying taxes is always a tedious thing to do; that is why some Americans specifically look for tax-free states to call home, so they can avoid one of the biggest contributors to their annual tax bill, especially if they want to improve their finances. Although they can save money in one way by living in income-tax-free states, people are risking to pay more in other ways because losing revenue is usually compensated with other taxes. Keep reading to understand what it means to live in a tax-free state and if it can be financially beneficial to you:

Which Are the…

It’s not a secret that numbers drive real estate investment decisions. But the real question is, which metrics are valid? Which metrics matter? Depending on your investment goals and property type, some metrics are more important than others. The following metrics/terms real estate investors commonly use when making portfolio decisions:

1. Capitalization Rate (Cap Rate)

Cap rate is mostly used for apartment complexes and commercial buildings. Capitalization rate can also be used for houses and small multifamily properties, but the flip side is that operating expenses are unpredictable with houses since you can’t know how often or how bad your…

If you have an investment property and are thinking about selling it and purchasing another property, you need to know about the 1031 tax-deferred exchange. This procedure allows the investment property owner to sell it and buy like-kind property while also deferring capital gains tax. In this article, you’ll find a summary of the main points of a reverse 1031 exchange — an often overlooked sub-section of a 1031 tax-deferred exchange.

What Is a Reverse Exchange?

A reverse exchange is a property exchange when the replacement property is bought first, and then the current property is sold or traded away…

Theatres are closing all around the world. No one knows when projectors will be turned on again. Cinema is not the only industry under threat in the time of the pandemic. However, there is some irony in the fact that many people have turned to streaming platforms to get entertainment to fill the long hours of social isolation, often watching content that was made initially for theatres. Audiences have been consuming more and more films at home anyway. …