Leasing an office space is a major move towards opening your own business. Unless you have previously leased commercial space before, you could commit one of the mistakes that many other first-timers do. To help make sure you are making a move that is right for you and your business, here are a few leasing mistakes to avoid.
Failing to Take Advantage of Concessions
Leasing companies usually want tenants to commit to long-term leases that will guarantee that their spaces are filled for an extended period of time. It saves the companies the hassle of recruiting new tenants and can help them avoid the problems that sometimes come with new tenants.
Since the leasing company is receiving a benefit for having you commit to a long-term lease, you should inquire about any concessions you can receive. An incentive, such as receiving free or reduced rent for a period of time, not only is beneficial to you, but it helps to foster a good relationship between you and the leasing company.
Waiting to Find Space at the Last Minute
Depending on the area in which you live, finding office space that meets your needs within the timeframe needed could prove challenging. In a competitive leasing market, office spaces could go quickly. You also have to factor in the possibility that once you find a space, it might not be ready for you to move your business into for weeks or months.
To avoid delays on opening your office, you need to allow ample time for negotiating and signing the contract and the necessary work from the leasing company to make it ready to move in. Ideally, you should start looking for office space at least six months ahead of time.
Failing to Understand the Terms
As with other contracts, it is important that you read your leasing agreement from top to bottom before committing. Unfortunately, some tenants do not and they find themselves facing fines and other expenses for violating terms they were not aware of. Reading the contract can help you avoid this.
While reading the leasing agreement, if you find any terms or conditions that you do not understand, ask for clarification. You also should discuss any terms that you feel are not agreeable. The leasing company will likely be open to negotiating the terms with you. Once you have taken these steps, you can be confident that you are getting a fair agreement that will be beneficial to both parties.
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25 May 2017
After I decided to buy a new home, I realized that I probably needed to prioritize the things on my wish list. Since I am not wealthy, I realized that I probably couldn't get everything that I wanted out of a single home--at least, not this time around. Fortunately, I worked with an incredible real estate agent who helped me to figure out which type of property would pay off in the end. Finding a home took a lot of time, but I am really pleased that I found the right one. This blog is all about learning to prioritize your home hunting wish list so that you can have the home and financial situation of your dreams.