America’s energy sector is hotter than ever, and plenty of people are getting rich off of our country’s energy boom.
If you are a smaller investor, without the means to directly invest in the business, you may wonder how you can cash in on the boom. At Hmlandandminerals.com, we have the answer to that question: You can purchase oil and gas royalties.
What Are Oil and Gas Royalties?
Buying royalties is a way for you to invest in companies in the industry, very similar to the way you would if you purchased stock in the company. People who buy the royalties become members of the company’s trust. Members of the trust not only can see their shares appreciate, but can also receive profits when the company posts a gain.
Just as with stocks, buying royalties doesn’t lock you in forever. You are able to sell your shares, or purchase even more shares if you would like to have a bigger position and more exposure to profits.
How Will Hmlandandminerals.com Help You Purchase Oil and Gas Royalties?
Because we are an oil, gas, and mineral company, we can sell off royalties in future production to our business partners, including you. By contacting our sales team, we can put you in touch with someone who can discuss the possibility of you owning oil and gas royalties. Our knowledgeable staff will be able to explain to you exactly how these securities function, and answer any questions you may have about the investment, or how it will perform over the long term.
Why Not Buy Oil and Gas Stocks?
Royalties are very similar to oil and gas stocks, and those who are not already familiar with them may wonder why they should purchase oil and gas royalties in lieu of simply buying stock.
The answer is twofold. First, royalties tend to pay much larger dividends than stocks. Unlike stocks, they should not be seen as an investment only to hold to while it appreciates. Instead, royalties are largely a way to share in the profits of oil and gas companies. The substantial dividends you can earn from buying royalties with a company like ours will help you turn a profit, even in situations where the asset depreciates.
Second, royalties have significant tax benefits that don’t apply to stocks. The most important of these is that royalties are not taxed at the corporate level. This is also true of the royalties at Hmlandandminerals.com. And between the tax advantages of royalties and large dividends they pay, it’s perfectly clear why so many people are choosing to buy royalties from our company, Hmlandandminerals.com.