Leasing A Commercial Building? Do These Things First
If you are looking for the perfect building to house your business, it's generally easier to lease rather than buy. But commercial leasing is a bit more involved than renting an apartment is. Before you sign on the dotted line of any lease, make sure you do these four things.
Compare Lease Prices In the Area
Most people who lease buildings do not exactly do so often. This means they don't always know what the buildings they are leasing are actually worth. Building owners sometimes take advantage of this and over-charge. To ensure you don't overpay, spend some time looking at pricing on other leased commercial buildings in the area. Don't just look at buildings that are up for lease as you have no way to know if the person who rents them will end up paying what the owner is asking. Instead, ask other business owners what they pay for their lease. You may feel strange asking these questions, but most people are willing to share this information for the betterment of the market.
Make An Offer
Even if you find that the price the owner is asking is fair, it does not hurt to make an offer. Do not insult the owner by under-cutting them by thousands of dollars. However, if they are asking $2,000 a month, you can offer $1,800 and see what they say. Know beforehand if you still want to lease the space if they decline your offer. Or at least decide the absolute most you're willing to pay in case they try to negotiate further.
Check the Lease Restrictions
Make sure you read the lease carefully to ensure the type of business you run is even permitted in the building. For example, if the lease excludes animals from the building and you plan on opening a dog spa, then you need to either negotiate with the building owner or find another space.
Hire a Lawyer
You should never lease a commercial space without the help of a lawyer. They can look over your lease and associated contracts to make sure everything is legal and straightforward. They can also guide any negotiations between yourself and the landlord to ensure they are done fairly. You can retain this lawyer so that if you do lease the building and run into trouble later on, someone who has knowledge of your lease situation can guide you through it.
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