Land Acquisition Company Business Plan and SWOT Analysis

Land Acquisition Company Business Plan, Marketing Plan, How To Guide, and Funding Directory

The Land Acquisition Company Business Plan and Business Development toolkit features 18 different documents that you can use for capital raising or general business planning purposes. Our product line also features comprehensive information regarding to how to start an Land Acquisition Company business. All business planning packages come with easy-to-use instructions so that you can reduce the time needed to create a professional business plan and presentation.

Your Business Planning Package will be available for download after your purchase.

Product Specifications (please see images below):

  • Bank/Investor Ready!
  • Complete Industry Research
  • 3 Year Excel Financial Model
  • Business Plan (26 to 30 pages)
  • Loan Amortization and ROI Tools
  • Three SWOT Analysis Templates
  • Easy to Use Instructions
  • All Documents Delivered in Word, Excel, and PDF Format
  • Meets SBA Requirements

Someone once said that one of the best investments is land given the fact that they’re not making any more of it. As such, there are number of real estate investment firms that specifically focus on the acquisition of parcels of land with the intent to either hold them for a moderate period of time and totally appreciate your conduct a real estate development on the acquired property. Given the fact that land is highly tangible, most financial institutions are willing to extend a mortgage or related line of credit of up to about 60% to 75% of the value of the land. One of the reasons why most financial institutions will only provide this level of capital support for land acquisition company is that land, by itself, does not produce any tangible income. The primary exception to this rule is among land acquisition companies that focus on providing leases to farmers that will use the land in order to grow crops or raise livestock. In cases where land is being acquired specific for agricultural purposes and financial institutions are willing provide a higher loan-to-value ratio as it relates to the acquisition of these parcels.

One of the nice things about the development of a land acquisition company is that most of people can start small. In many parts of the United States, land can be acquired very cheaply sometimes for little as a couple hundred dollars per acre depending on the specific market. In areas where land is close to major metropolitan areas in the value of the land is substantially higher. The startup cost associated with the new land acquisition company can vary greatly. It is highly dependent on the amount of land that is going to purchase at the onset of operations although most companies that engage in this activity are typically capitalized with $100,000 to $200,000.

A land acquisition company SWOT analysis is typically produced in conjunction with the business plan and a marketing plan. This document focuses on the strengths, weaknesses, opportunities, and threats associated with these businesses. As it relates to strengths, land acquisition companies are almost always able to remain profitable given the fact that they can sell their parcels at any time concurrently generating income from specialized leases especially to farmers. The barriers to entry for new land acquisition company are very well.

For weaknesses, one of the key issues with the development of the businesses that they do not receive the same loan-to-value ratios as it relates to using debt capital to acquire parcels of land. Additionally, changes in the economic climate can have a severe impact on the value of these properties. Given the fact that most land acquisition companies do not acquire parcels already have structures on them, to carrying expenses for a parcel of land that is not performing well can be somewhat high.

The opportunities for land acquisition company are substantial. Foremost, many of these businesses can source additional capital not only banks but also from private investors. Most land acquisition companies will use limited partnerships in order to engage in real estate syndication.

For threats, there’s really nothing about the land acquisition business that will change anytime soon. Real estate developers, individuals, property owners, and other entities associated with real estate are always going to want land.

A land acquisition company business plan is typically developed especially if property is going to be acquired on an ongoing basis. This business plan should feature a three year profit and loss statement, cash analysis, balance sheet, and breakeven analysis. As it relates to industry research, there are approximately 20,000 companies within the United States that operating a real estate investment capacity including those that exclusively focus on the acquisition of land. Each year these businesses accurately generate about $25 billion in revenue and provide jobs about 100,000 people.

As it relates to the marketing plan for land acquisition company, this can be done somewhat on a minimal basis. Most companies are actively engaged in the acquisition of land typically have a real estate broker that they retain in order to make sales of the properties once they have appreciated. Of course, it is important for land acquisition company to also have a presence on the Internet given that many people will want to see that is a legitimate business and want to know the back of the company. This is especially important if the land acquisition company is going to be acquiring investment from third-party investors.

In this case, a website that showcases the biographies of the principals, current holdings, thresher holds for becoming an investor with the company, and contact information should be displayed on the website. It should be noted that at the land acquisition company is going to be acquiring capital from third parties, especially private investors, and an attorney that is familiar with securities law should be retained so that marketing materials can be properly vetted before shown to the general public. There are certain laws and other considerations that must be taken into account when showcasing potential investment to a third-party in a public setting.

There are numerous opportunities for an entrepreneur that has an understanding of real estate to develop a highly lucrative land acquisition company. Given that the population of the United States, and a worldwide basis for that matter, is growing rapidly the demand for new housing in new construction continues to grow. Although moderate changes the economy can have an impact on the value of land – this is going to continue to be one of the industries that has a continued upward swing given the fact that population size is increasing. Additionally, many people are now seeking to acquire larger homes for themselves and their families and as such greater swaths of land are needed in order to accomplish this.