There are many options when you require some space for your business.
What do I need to consider?
There are many different options when you require some space for your business, our expert Commercial property solicitor, John Knight, knows how to advise you for your business - 0114 256 4771
Moving or starting your business can be an exciting step, and can make or break your business opportunities. Moving into a new commercial property can allow for dramatic business expansion, and allow you to create your vision.
The most difficult aspect of this, is to find the perfect location and property for what you need. When it comes to your business, there is not point over-spending on a property that is too big or in an expensive location, unless absolutely necessary.
Once you have set your sights on the perfect property, we can be there to guide you through the process to get your business moved or started in its new location.
It is important to weight up the pro's and con's of getting property for your business. Obviously in retail or hospitality sectors, property is crucial to the business, but entrepreneurs who need little more than a computer and a phone, should consider the options carefully before jumping in with two feet.
For protecting your business, it is worth assessing how secure the building is, does it have a security system for example.
Some business models will also require specific permission to be carried out in the property, for example manufacturing or that involves the public.
The great thing about using our commercial property lawyers, is that they deal with this day in and day out, so often hear about up and coming areas for commercial property.
We can also advise you on what types of properties have been successful in the past for different sectors.
Most people need a commercial mortgage to buy a property. This is usually held for a minimum of 15 years, so it is a long term financial commitment for the business. To do this you will need to provide details of your business accounts and projections for cash flow to the mortgage lender, as well as providing a deposit of between 20-30% of the value of the property.
It is important to budget for the future, costs that often get forgotten about can spiral out of control, such as, decorating/equipment costs, setting up IT or telecommunications for the property, and then marketing the business in its new location.
Most people will need to arrange for a survey to be completed as part of your mortgage application. As all round lawyers, we can point you in the right direction, as we have a group of surveyors who we can recommend to you.
Once you are ready to sign contracts for the property, we can talk you through the agreement, and arrange for the exchange between contracts.
Most of our clients say that the overall cost of buying commercial property is slightly more expensive initially than renting a premises. However, if you see your business as a life-time investment, this initial cost is not as high in the long-run, and similarly with residential property, means you own any increased equity in the property and the business.
We can also advise you on getting a lease for a premises. This is for businesses who technically rent the commercial space from the owner, but own the business within it.