What are the risks of investing in shops?

Risk of investing in shops: Affected by the macroeconomic situation, the passenger flow of commercial physical stores has dropped significantly, and the increase in rents has made physical stores unable to reduce commodity prices, making the overall performance of traditional retail industry depressed. In addition, areas with low occupancy rate and insufficient surrounding consumers may need a long cultivation period, during which businesses often lose money.

Extended data:

Matters needing attention in investing in shops

(1) Selection of store area: familiar area is preferred. Conduct a detailed investigation and analysis of the market and personally understand the comprehensive information of the region. Don't just read the regional analysis report or the impersonal or incomplete information learned from others. It is best to choose an area that investors are familiar with.

(2) Choice of market and floor: Rent often best reflects the value of shops. The shops on the first floor are often the best to rent, and the rent is also high, which is also the most secure for investors. Priority should be given to street shops. If investors choose to operate shops in large shopping malls, they will be restricted by various conditions set by shopping malls, which will have an impact on the return on investment and the personal time control of operators.

(3) Calculate the utilization rate of shops: whether there is autonomy. The higher the autonomy, the simpler the income. Doubling the utilization rate is equivalent to reducing the rent by half.

(4) Identify the industrial market: Accurate market positioning can greatly improve the return on investment, and accurate market positioning can get twice the result with half the effort. It is also important to choose the strength of store developers. Experts said that now brand developers are more and more sought after, the popularity of the community will be sufficient, and the quality of property services will be high, which will bring certain protection to the future operation of shops.

People's online shop investment is risky and can't blindly follow suit.

People's Network-Not all shops make money. Expert: Investment needs to be cautious.