Why you should purchase commercial property through super

SMSFs have skyrocketed in popularity among business owners. Here’s why: Not only can they add wealth to
your retirement nest egg but they also let you manage commercial property tax-effectively.

Six reasons to buy your business premises through your super

1. Unlock cash that’s tied-up in your business premises

By purchasing a commercial property owned by you personally, a family company or trust, through an SMSF, you
can unlock cash that’s tied-up in your business. Use this cash instead for reinvestments back into your business,
to help finance other personal assets, or to reduce your non-tax-deductible home loan debt.

2. Keep your business premises protected in your family for generations to come

You can pass your business property down to future generations with minimal fuss and little to no tax
consequences while, at the same time, keeping that property out of reach from future-generation
family breakdowns, creditors, and lawsuits.

3. Protect your property from creditors and lawsuits

Assets in SMSFs are protected from bankruptcies and lawsuits. Should you or your business face litigation or
should your business file for bankruptcy, your business property will be insulated from creditors – including the
Australian Taxation Office.

4. Lease your business premises from your SMSF

If you own your business premises through your super fund, you can lease it to your business – and the rent you
pay to your SMSF is generally a business tax deduction as are all other expenses including interest, depreciation
rates, and insurance. Just imagine the savings!

6. Access sizable tax savings and increase your return on investment

This includes: