7 Mistakes To Avoid When Scouting For Commercial Spaces
Scouting for commercial spaces is a significant decision to make. The right commercial space has extreme benefits for the success of your chosen business undertaking, and the wrong one will also be detrimental. Here’s a list of mistakes to avoid when scouting for commercial spaces to rent:
Not keeping your occupancy date in mind.
When looking for a commercial space to rent, it’s essential for you to keep in mind your target date of occupancy; this is something that a lot of those looking for commercial spaces forget to take into consideration. If it’s impossible for a particular commercial space to be fulfilled the time that you wish to occupy it, then you should choose another option instead.
You don’t ask the advice of an expert in leasing commercial spaces.
Before you start your search for the perfect space for your business, ask the advice of an expert in leasing commercial spaces. This expert can be anybody: a lawyer, a real estate agent, a businessman, a colleague, and even a friend. Before you enter into a commercial lease agreement, you have to be familiar with particular terms, key phrases, and possible risks and outcomes. Asking the help of an expert in this field will help you make a more informed decision.
Along with this line, too is the mistake of doing everything all on your own. Although it may mean additional costs, if you want to scout the best deal possible on how to find office space on Gumtree, it’s still highly recommended that you enlist yourself for the services of an unbiased real estate broker.
Choosing a space in a building that isn’t well maintained.
One of the factors that you have to consider when searching for the right location is to choose one that’s situated in a well-maintained building. A lot of potential lessees try to save on costs by choosing cheaper places that, however, are inside buildings that aren’t well maintained. This unfortunate situation can often lead to various problems with old, faulty electrical and plumbing systems.
Not knowing how to negotiate.
One of the common mistakes made by those choosing commercial spaces to rent is not knowing how to negotiate. When you’re scouting for commercial spaces, you should also negotiate every option that you’re presented. Often, the owners of these spaces for rent are very open to negotiations first before making a deal, because they want the transaction to be successful as well.
You immediately sign a long-term deal.
Many landlords tend to offer long-term deals with discounted prices, rather than short-term rentals for a higher price. To you, this can be very tempting, as most people in business always love a good discount. However, do remember to think of the long-term consideration as well. In ten years, do you still see yourself in the same location? Or perhaps you might be expanding, hence, needing a bigger space?
Always remember the pitfall of long-term deals: the contract is often difficult, and costly to rescind.
You focus too much on the lease price alone.
Money is always a big deciding factor in any business transaction; it’s a major one. However, there’s many others that you’ll have to consider as well. If you focus too much on the rental price, then you’re in for a disaster, as you’ll tend to forget and overlook other significant decisions as well. Some of these include:
– How much would the whole renovation cost be?
– How much is the cost of maintenance and upkeep per square meter, amenities included?
– How old, or how new are the electrical and plumbing systems in place?
– Does the building have safety features, too?
What are the do’s and don’ts of renting this commercial space?
When scouting for commercial spaces, and eventually making a final choice, your choice should be a collective and informed choice, after taking into account all possible factors and issues that are necessary.
You forget to think about accessibility.
Apart from the factors that have already been previously mentioned, it’s also noteworthy to remember the commercial space accessibility. If your chosen location isn’t accessible, then you will lose your clients over more accessible places. If the budget doesn’t afford this, it doesn’t necessarily mean that you have to be in the central business district. When thinking of accessibility, remember the following:
– There’s a nearby parking space
– There’s proximity to public transportation systems
A lot of business owners tend to have the notion that scouting for a commercial space, and eventually renting one has fewer risks than owning a building yourself. However, you also have to take note that whatever your business will be, signing a commercial lease contract is one of the most vital decisions that you’ll have to make. This list of mistakes to avoid will help you close the business deal more successfully, with the end goal of success in mind.
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