In my last blog, I discussed the various upsides to owning an independent MHP. Today’ we’ll be looking at the downside of independent MHP ownership. One of the biggest cons in this regard is funding. Independent MHP ownership means just that; you’re responsible for everything.
That also includes all financial requirements. All funding is coming out of your pocket. As such, you’re often spending a lot time being underfunded. You really have to exercise scrutinous budgeting practices in preparation of this. There are a lot of capital expenses that you’ll face. If you’re not prepared, it can cripple you outfit.
Preparing For Capital Expenses
If your park isn’t producing the cashflow to address these hiccups, you’re in for a hard run. Even if you are doing well business wise, it can still be quite the pain in the you know what. A busted sewer pipe, or also some other infrastructural damage could cost you millions.
Trust me, I know from firsthand experience. Imagine waking up to a $100,000 expense that you didn’t see coming. I was fortunate enough to raise the funds; but if I hadn’t, my park was facing immediate closure. Keep this in mind as you prepare for incoming expenses.
The MHP Expert
There is no stress that compares to these kinds of hiccups. And this doesn’t even account for those tenants hitting you with reasons why they can’t pay their rent this month. It’s all a recipe for a major headache that’s ultimately your responsibility.
Need help navigating Independent MHP ownership? The MHP Expert is the support you need. Check out our services page to learn more about how I can help. Set yourself up for success with guidance from one of the top rated consultants when it comes to MHPs. We look forward to hearing from you!