Leasing a commercial property is not something new. In fact, it is a widely used practice among business entities and entrepreneurs. Although owning an asset adds to equity, it isn’t always the best option thus the demand for rental spaces.
But it is important for entrepreneurs to remember that commercial property leases come with limits. Because it isn’t under one’s name and ownership, there will be things that cannot be done or else face the risk of a breach in contract that might accelerate to a legal battle. Nobody wants that.
So to avoid the brouhaha and potential mess, read on the following do’s and don’ts to commercial property leases.
Do know your rights. Protect yourself and your business by knowing your rights. Read up the contract carefully and make sure to fully understand everything before signing it. If there are vague statements, always ask the landlord to clarify or rephrase it.
Don’t rent something that’s broken. It’s going to be costly on your part not only financially but also in terms of time. It can delay and put a halt to operations which will seriously hurt sales and profitability. Upon visit and inspection, keep an open eye and don’t be shy to test things out. You have the right to.
Do clarify the terms. For instance, does the rental payment include the utility bills? Who shoulders repairs and maintenance? It is crucial to talk this through to avoid the hassle later on.
Don’t nail on the wall. Of course unless otherwise allowed by the landlord. Most rentals won’t allow tenants to drill on the walls in which case command strips would be very useful.
Do keep a tab of all documents. This includes the contract of lease, modifications or updates to it, receipts and invoices to utility bills, repair and maintenance costs, one’s credit report and so on and so forth.
Don’t forget to document. Prior to moving in and before moving out, make sure to photograph every corner of the space. This should serve as your proof or security in case of unjust claims regarding damages.
Do pay on time. You wouldn’t want to be labeled as a bad tenant so make sure to keep your end of the bargain. If in the event that something really awful came about and a delay won’t be avoided, make sure to inform the commercial property landlord ahead of time. You’d have far more chances of getting on their good side than if you play mute.
More about commercial properties here singerviellesales.com.