The rate of return of a shop is a measure of the investment efficiency of a shop, which reflects the ratio between the net income of the shop and the investment cost of the shop. The higher the rate of return of the shop, the higher the investment return of the shop and the lower the investment risk. So, how is the rate of return for a shop calculated?
Depending on the purpose and method of investment, the rate of return of a shop can be divided into the following types:
Rental Yield: This is the most commonly used calculation and is suitable for renting out after buying a shop. The formula for calculating the rental return is: rental return = (annual net rent of the shop and shop purchase**) 100%. Among them, the annual net rent of shops refers to the actual rental income after deducting taxes, property management fees and other expenses. Shop Purchase** refers to the total cost of buying a shop, including down payment, loan interest, deed tax, brokerage fees, etc. Generally speaking, a rental yield of more than 5% is considered an ideal investment.
Value-added rate of return: This is a calculation that takes into account the appreciation potential of a shop and is suitable for the purchase of a shop**. The formula for calculating the rate of return on value added is: rate of return on value = (shop *** shop purchase **) shop purchase ** 100%. Among them, the shop *** refers to the market value of the shop, which is affected by the location, scale, brand, business status and other factors of the shop. Shop Purchase** refers to the total cost of purchasing a shop, as above. The rate of return reflects the ability of a shop to increase its capital, and generally speaking, a rate of return of more than 10% is considered a good investment.
Comprehensive rate of return: This is a calculation method that comprehensively considers rental income and value-added income, and is suitable for both leasing and ** after purchasing a shop. The formula for calculating the comprehensive rate of return is: comprehensive rate of return = (annual net rent of the shop + shop *** shop purchase**) shop purchase** 100%. Among them, the meaning of the annual net rent of the shop and the purchase of the shop *** is the same as above. The comprehensive rate of return reflects the overall investment effect of the shop, and generally speaking, a comprehensive rate of return of more than 15% is considered a relatively good investment.
The above is the calculation method of the return rate of the store, if there is still any unclear, welcome to leave a message