INVESTMENT COMPARISON
Better assumptions.
Better decisions.
Compare business ownership and property using the same unlevered framework. Enter your own figures; no market return is assumed.
Scenario calculator, not a valuation or forecast. All amounts in AED. Constant annual cash flow, no borrowing, no growth and no reinvestment of distributions. Enter costs only once.
Method and limitations
Invested capital = price + entry costs + additional initial working capital. Annual cash = annual inflows − operating costs − replacement pay − maintenance investment and additional working capital − cash tax. Annual cash yield = annual cash ÷ invested capital. Simple payback = invested capital ÷ positive annual cash. Holding-period ROI = (annual cash × years + net exit proceeds − invested capital) ÷ invested capital. Holding-period ROI is not annualised; time value of money is not included.
The downside case reduces annual inflows by 20% while holding all costs unchanged. It is a sensitivity test, not a probability forecast. Exit proceeds default to zero until supplied, so capital may appear unrecovered. Costs, tax and vacancy must be assessed for the actual asset. Both investments can lose money; one calculation cannot establish suitability.