Whether your business focuses on products or ideas, having a great office space in a good location is critical to your success. Since you and your employees will be spending hours every week there, finding the right office lease for your company is important.
If you think you’ve found the perfect spot, remember to consider these six things before you sign the lease and commit yourself.
1. Do Your Homework
Depending on the needs of your business, you might need a specific type of location and facility. Therefore, it’s always important to research the local market around the new location before committing.
You should also get a professional assessment of all the facilities to ensure they meet your needs. Additionally, check the terms of the agreement. Some landlords will provide basic utilities while others won’t. All this knowledge will come in handy as you come to an agreement.
2. Seek Legal Advice
Many rental agreements come loaded with legal jargon. This is a necessity to protect the owners from liability for certain things. However, to a layperson these types of contracts can be confusing.
Therefore, make sure to run all your legal agreements by your attorney. Ask your lawyer to double-check so that you know exactly what you are signing up for in your new office space. There is a lot of protection in place for consumers in residential rentals. However, commercial leases are less accountable. An attorney can pick out aspects about your new office lease that might harm your business.
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3. Remember That It Isn’t a House
A key mistake many business owners make is to assume that commercial and residential leases are the same. While they have the same basic concept, in practice and in law they are two completely different processes. Therefore, they require different mindsets.
As mentioned above, consumers are legally protected from unfair contracts and other scams on rentals for residential property. The same safeguards don’t always apply to commercial properties.
Moreover, there are several other key differences. For example, there are differences pertaining to the length of the contract and the amount of flexibility the parties have. These factors will change how you should approach a commercial office lease.
4. Negotiate Your Office Lease
One of the benefits of a commercial lease over a residential lease is the amount of flexibility the parties have. For this reason, some owners might be willing to negotiate with you.
The commercial rent market is smaller and more expensive. Therefore, many landlords are eager to get someone into their building. As a result, almost everything about the terms of the rental agreement could be negotiable. If this isn’t the case, walk away. You will get more value for your money from an owner who is willing to negotiate.
5. Double-Check the Total Cost
Presumably, your business has a concrete budget. You should also have a financial plan to cover the rent and the cost of your move. All the same, before you commit to anything, make sure to double-check the total cost of the move and rent. You need to ensure that the total cost stays within your budget.
What’s more, there could be hidden costs in the agreement. For example, there could be maintenance fees or utilities costs that you thought were covered but aren’t. Therefore, going through the agreement with a sharp eye will help you feel more confident about your budget. It will also help to prevent any unpleasant surprises.
6. Be Familiar with the Terms
Even if you don’t bother with all the legal jargon, you still need to be highly familiar with the exact terms and conditions of your agreement. If there is anything you disagree with or something you want to add, you need to know so you can request it or pull out of the deal.
Look for things such as exclusivity in your building and first right of refusal if the building is ever sold. Paying attention to these details will benefit your company in the long run.
If you’ve checked all these things off your list, then you can feel confident you are getting the best deal on the perfect space for your company. Congratulations on your new office lease!
