subject: Commercial Property - Find the Right One for your Business [print this page] Commercial Property - Find the Right One for your Business
Choosing the best commercial property can have huge benefits for small to medium-sized businesses. Property forms one of the largest overheads in business accounts, therefore getting the right property deal for your business needs is crucial.Take a moment to think about exactly the specifications of the building you require. Does your business really require, at this stage, that you purchase a large prestigious office - could you make do with a smaller leasehold property to grow into, or even one of the managed business centres or serviced offices that are springing up in many towns and cities. You must then ensure that your business will really be able to afford your chosen premises. The first step you need to take is to decide exactly how much you really have to pay - don't forget to include all costs - including utilities, business rates, any service charge, insurance, maintenance and of course IT. Make sure that your chosen premises are in the right location - many businesses have failed simply by not being in the right place. Is it essential for you to be based in the city centre? Don't forget how important road and rail links can be. Take care to allow for the expansion of your business - there's no point taking out a ten-year lease without a break clause if you plan on doubling the size of your business in say two years.Although very few business owners try to deal with the purchase of business premises without a solicitor, it's amazing how many small and medium-sized businesses try to do exactly that when renting premises. It is always advisable to seek experienced legal advice when purchasing a commercial lease, although the risks are not as high as purchasing a freehold property commercial lease's can be extremely complex. Renting commercial space can tie any business to potentially expensive and burdensome lease terms. In particular you should seek advice on issues of rent review, responsibilities for business rates and insurance, maintenance of the property, notice period, how and when rent is actually paid, and in particular any requirements to bring the building back to its original condition at the end of the lease. In any event it always worth considering more flexible short-term licence agreements if your business requirements are likely to change - as these are generally involve less long-term commitment and easier to exit.Don't forget when considering taking on business property, that in addition to commercial property agents and adverts in local papers, there are other ways to find your ideal premises. In particular don't forget your network of staff, friends, family and business contacts - it's amazing how often your own network may be aware of leasehold or freehold commercial property before it becomes available on the open market.In summary, make sure that you do your homework before looking to enter a lease or buy commercial property and get the advice of a specialised commercial property solicitor.
