A commercial lease can mean a lot for a business. Whether it is to open a store or an office, your lease details can have a significant effect on your business. For example, a lousy lease can have you closing the doors of your business in a few months. To avoid this, you need to be smart when it comes to taking out your lease. Property solicitors ask their clients to do the following to improve the chances of getting a good deal on your commercial property lease.
Do Some Research
It is always a good idea to know as much as possible about the area and your landlord before you sign papers. For one, some businesses work best in certain areas. A restaurant will want to be accessible and be in a place with a lot of foot traffic. Choosing a place that doesn’t have access to this is going to be a wrong investment. Finding the right place for your business can be very time-consuming so it should be one of the first things you should do. Some entrepreneurs take several years to find the best place.
Besides researching various areas, you should also look into your potential landlord and building owner. Though both of these can be the same person, there are times when your landlord is different from the building owner. You might want to simplify things and choose a place that combines both in one person. What is important though is the reputation of both. If previous and current tenants have good things to say about them, then that is a good sign. But if all you hear are complaints, then that can be a problem.
Get Professional Help
Negotiations are an essential part of signing a lease. If you want to get a good deal, you are going to need some professional help. It is similar to buying a house in that way. It would be best if you had both a commercial real estate agent and a property lawyer on call. The real estate agent is there to do the main part of the negotiation for you. The lawyer is there to ensure everything is legal before you sign the lease. Both of them are necessary if you want to get a good deal.
You must have a property lawyer. They will be the ones to go over the lease before you sign it. Besides checking for the legality, they will also look for anything missing like liability and insurance. Once you sign the lease, it will be difficult to add anything to it.
Don’t Always Go For The Lowest Rental Rates
Some people always zero in on the rent when they get their lease. For them, if it is low enough, then it is a sure agreement. But it would be best if you were looking at beyond the rental price. The lease might be low, but if your landlord saddled you with all the maintenance costs, then that is not a good deal. Additionally, high rent in a very attractive area. You might be able to generate more revenue in the location, which offsets the high rent that you have to pay. There might also be some clauses in the lease that make it attractive. Your potential landlord wants a tenant since they wouldn’t be earning anything if they let the property vacant. So they likely have the high rent balanced out with some incentives for tenants to sign on.
It would help if you always asked questions from your landlord. They are more familiar with the area and will know some essential details that you need to know. For example, you need to ask your potential landlord about the zoning laws in the area. If they don’t know, then you should go to your local government. It is important to have a legal operation so that you don’t suddenly get shut down. Other laws that you should be familiar with are the nuisance and environmental laws. You want to be able to make your business operations work optimally, and this might mean disrupting the quiet of the neighborhood.
Another thing to ask is about the various expenses. You need to know how to pay essentials like taxes, insurance, and more. The important ones are the utility bills, which you need to pay to continue operating, and the maintenance, which ensures that your current location is in good condition.
Ensuring that your lease is not going to be a disaster for you can save your business. Work with professionals so that you can be sure that you are getting the best deal possible.