Before signing on a lease, it’s always important to know what you’re getting yourself into. By carefully reading the lease entirely can help straighten out any probable problems before they happen. For first-time renters, signing on the dotted line is often thought of as just part of the rental process. The excitement that comes with a new office space sometimes surpasses the responsibilities that go with renting an office. Before signing that lease, it is important to read the fine print and be aware of what your landlord expects of you, as well as what you can expect of your landlord. Make sure you review the lease carefully for requirements relating to often overlooked polices such as guests, parking, pets, and painting. Here are some other things you might want to be aware of before moving in:
– As soon as you sign, you’re stuck…….at least until the term of the lease ends. Many people think that just because you’re not buying the space, you can bail out if things don’t go right for the business. But that’s wrong, a lease is a contract, a legal commitment. So take a second look and inspect the place, know what you getting yourself into before you move in and realize you actually need more space or that the building is not so safe at night.
– Second thing to consider is know exactly what is the tenants responsibilities. Before signing the lease, make sure you have actually inspected the unit you will be moving into. Make sure there are no damaged areas or safety hazards. Inspect all window and door locks to make sure they are in working order. If anything needs to be fixed, make sure it is taken care of before you move in, or have it added to the lease (in writing). Make sure any pre-existing damage the landlord isn’t going to fix, for example, stained carpets, broken blinds, or stained walls, are written into your lease agreement as “pre-existing”. If these damages go undocumented you can end up losing your security deposit or even charged for those damages when you move out.
– Security Deposits is another major thing to educate yourself on. Many landlords and rental agencies will charge what is called a security deposit. This deposit is usually equal to one or two month’s rent and is refundable if certain conditions are met upon moving out of the rented space. The purpose of the deposit is to ensure that rent is paid on time, and to cover unusual repairs that may be needed when a renter moves out due to damage caused by the renter. So be careful and document any and all repairs requested from the landlord as well as any repairs done by you.
– More importantly, what are the terms of the lease? If you expand rapidly, is there a provision for breaking the lease at minimal expense? If you later downsize, will the lease allow you to sublet the extra space you don’t need? Before signing any agreements, check out the landlord, too. Discuss the terms before requesting a lease and make sure the landlord spells out each party’s obligation prior to signing the lease agreement. Leases are written by the developer and/or their lawyers so most are tilted slightly in their favor. If some things seem unfair do not hesitate to have a lawyer review or ask for clarification from the landlord.
– The last and most important fact is that there’s too much space around for the number of active businesses. For the first time in many years, tenants are in demand. For every business that closes, another space comes onto the market. So now as a tenant its your chance to negotiate better terms for your lease. Ask for a shorter term. Don’t get tied up in a long term lease, that down the line if your business doesn’t pick up you will still be responsible for the remaining months. You’ll also want to factor in and negotiate rent increases over the term and renewal options so that you are not unexpectedly hit with a rent increase without warning from your landlord – something that can quickly compromise you cash flow and margins.
Finding the perfect office, in the perfect location, and at the perfect price can be time consuming and can also have a huge impact on your business. It is an exciting time in the growth of any business whether it is a new start-up or an expanding company looking for improved premises. Fortunately, with the large quantity of offices available on the market, combined with the multitude of fantastic resources that allow for easy searching, ‘finding any office space’ can now be transformed into “finding the perfect office space”.
The office you choose will be one thing you will need to consider but what kind of businesses that surrounds that office is what really is important. However, location is important even if you are not looking to pick up passing clients because we all want to give off the right impression to our clients and visitors. Whether a business wants to enjoy a remote location or be in the heart of a vibrant city, location is of great importance.
First impressions are made in the first ten seconds of meeting someone. This is also true when it comes to walking into a building. Business premises need to always look professional, clean and organized otherwise clients might get the wrong idea if things appear to be disorderly and untidy.
Instead of jumping in feet first and taking the first available office space, businesses should to take their time as the right location can make or break a business. It is easy to feel overwhelmed and emotional when trying to figure out where you are going to spend all of your time and a lot of your money. When you know what you want, it’s too easy to jump over important steps in the search process and land yourself with a space that looked great at first, but fails to meet your needs.
After you have found the perfect office you will need the perfect price to go with it. Many tenants fall into the trap of believing that since they have signed a long term lease they are locked in. Let me tell you if you haven’t already heard, everything is negotiable, especially in this market we are experiencing now. Landlords are desperate for tenants and they’ll do anything to keep from losing an existing one.
The key to negotiating a better lease is to find other office space for lease. . You have to know what other options are available to you and what the rates, sizes, amenities, access and availability are for comparison before negotiating.
Look at the cost of the lease, and determine whether it is a total cost for the property or if it is on a per-square-foot basis. If the cost is per square foot, inspect the property to see if it has space you can’t use, and ask that the landlord removed it from the cost calculation. Check for any clause concerning rent escalation over the course of the lease. Ask that landlord add an escalation clause to prevent unexpected increases.
|Home Office Getting too Crowded|
But there is also drawbacks to working out of home. A major drawback of working from home is that you can never truly leave work. Also, many types of businesses aren’t suited to a home location. The advantages of moving out of your home office boil down to increased professionalism, more space to work and unlimited growth potential. Of course, with any advantage come a few disadvantages, but nothing that can’t be overcome. For some people, the chance to move into commercial premises provides a more professional outlook, greater scope for expansion and the room to accommodate permanent staff.
For some businesses, such as lawyers,accountants, insurance brokers, classes most clients either want, or need, to come in for face-to-face appointments. Other businesses, such as advertising firms, may be able to service their clients while hardly ever meeting them in the flesh. Before you move out your home office, read on to learn about the pros, cons, and factors to consider when moving to a retail space. There will be lifestyle and financial changes to your business if you choose to do so. You probably considered these factors when you decided to start a home-based business, but you will have to consider them again. If you can afford the move and want to expand your business to a larger clientele and higher production rates, then moving to a commercial location will definitely accomplish that goal.
Short term office space is an excellent solution for companies that need a temporary place to conduct business. By renting a small office your company can save funds and use them towards other things. This could mean the difference between turning a profit and not turning a profit. . If a company’s staff is small, then it makes sense to rent small offices rather than whole floors or buildings. Size isn’t everything when it comes to business. A group only really needs a professional setting that has a enough space for desks and filing cabinets, among other company-specific items.
Renting an office is a smart thing to do when a business is still growing, but it is not obligatory. Renting an office helps out a lot in the first stages of growing your business. If your business would need to apply for a small business loan and having a commercial address would help out a lot. Many banks take small businesses with a commercial address more serious than those businesses that are running their business from home.
Privacy, client confidentiality, personality traits, etc. can all factor into one’s ability to benefit from a small office space. Small office suites provide small businesses with the space and professional image they need without breaking the business’s budget. You do not have to buy or rent out a whole building or entire floor to operate your business. Instead, lease a small office suites that has just the right space you need for your day to day operations. This is an affordable and effective to get your business idea going.
To run your business legally, there are certain federal and state licenses and permits you will need to obtain in order to conduct your operation.
Virtually every business needs some form of license or permit to operate legally. However, licensing and permit requirements vary depending on the type of business you are operating, where it’s located, and what government rules apply.
You can expect to secure the maximum amount of credit available if you set up your business in a commercial office location. A physical location that is zoned for business speaks volumes for your company and its operation.
If you’re determined about having a commercial address but renting office space is out of the question then you may want to consider the following 3 alternatives:
Due to the bad economy and not a lot of jobs out there, people are now taking the opportunity to build a business and develop a clientele. A lot of individuals take the plunge and take advantage of the many opportunities and resources available when starting your own business.
Starting your own business gives you the opportunity to follow a dream or interest. Pursing a passion as a career by starting a business can increase your motivation to work and overall job satisfaction.
Many people like the idea of not being restricted by the rules and regulations of a job. When you have your own business, you set your own hours and come and go as you please. Initially, many owners may need to work more hours per day than a standard job. But when the business is established, they may be able to take time off and hire help to run the business.
To better understand why people start their own business, we asked many new business owners what motivated them to start it.
69% Of them answered “Be my own boss”
20% Of them answered “Follow a dream”
11% Of them answered “For Financial Stability”
It’s interesting that the desire not to have a boss is the primary motivator of entrepreneurs because “being one’s own boss” appears to be the prime source of entrepreneurs’ job satisfaction.
While there are many answers to the question why start a business, the best answer is the one that motivates you to take action. If you encounter any obstacles along the way, reminding yourself why you became a business owner in the first place can help you regain your focus and enthusiasm. The rewards of starting and operating a successful business are unparalleled in the world of work so start brainstorming and come up with your own answers.