Your business has expanded to the point you need retail space. Or perhaps you’re looking for office space and you decided that space in a shopping center works best for your business and customer base. Regardless of the reason, there are considerations when negotiating a commercial lease. This article discusses some of the common pitfalls to avoid when looking to rent commercial space.
Don’t make snap decisions – When you’re under the gun to sign a lease, you might make snap decisions that could be costly. Signing a commercial lease for the wrong property could even damage your business. Situations like this come up when business owners need to find a new store or office quickly. This could occur if you’re ending a short-term lease. Even business owners who have outgrown a location can feel the pressure to find a new space. In this or other situations, the worst thing you can do is panic. Seek advice from colleagues, friends, or business advisors. Don’t let a potential landlord see you sweat. Your business is important. Invest the time to discover creative ways to address your needs.
Your research and persistence have paid off. You found the perfect place to house your business. Now it’s time to sign the lease. Here is where many commercial tenants make costly mistakes. Make sure you have an “out” clause built into your lease, or you could be stuck in the property if problems arise. You need to have a sound plan for the future or your could cause yourself significant financial harm.
Business owners often find the “dream” property. You can set yourself up for failure if you become too attached to any particular space. Go into negotiations with the knowledge that if you don’t get a fair deal, there are other spaces that are equally as desirable. This is where it’s critical that you find an experienced commercial leasing firm.
Seeking the advice of a lawyer who knows how to negotiate commercial leases is one of the best investments you can make. Find a lawyer with whom you feel comfortable. After all, you could be in this space for years.