Top Tips For Choosing Your Perfect Business Premises
Posted on 7th October 2019 at 13:28
Choosing a commercial property is a big decision. Your premises can have a big impact on the success of your business so it’s important to make the right choice. Here are some things to consider:
Buy Or Rent
One of the first things you’ll want to consider is whether you plan to buy or rent a premises for your business. Buying is a great investment as you will benefit from any increase in the property value. You can also make any changes you wish (subject to planning permission) without having to ask for permission from the property owner.
Renting also has many advantages, you won’t need as large a deposit or initial outlay and you can easily move property at the end of your contract should your business outgrow the premises. When renting, you may still be liable for repairs and maintenance depending on the terms of your lease so it’s important to bear this in mind when choosing a property and setting your budget.
Know Your Budget
Whether you are buying or renting, it’s crucial to be aware of all the costs involved. Make sure you factor in any renovation costs, business rates, utilities, stamp duty (if you are buying), insurance costs, legal fees for both buying and renting and of course the rental costs. Make sure you factor all the costs into your business plan, especially if your business is a start up to be sure that you can afford the property.
Specify Your Requirements
Make a list of essential requirements and make sure you have a clear idea of what you are looking for. Keep your long term goals in mind and focus on the things that are essential requirements for your business. Be aware of what size property you are looking for, what facilities you need, whether parking is necessary and whether you have any specific access requirements. You should also bear in mind whether you are open to doing any building work or making alterations to a property to suit your needs.
Choose Your Location Wisely
The location of the property is one of the most important things to consider. You can make changes to a property but you can’t change where it is. Take into account the footfall of the area and the number of competitors nearby. You should also take into account accessibility, how easy the property is to get to and whether there are good transport links available. It’s also important to factor in the cost as different areas will vary in price.
Understand Your Lease
When renting a commercial property, it’s important to ensure you fully understand all the details specified in your lease. Make sure you are aware of the term you are committing to (this can often be a number of years) and be aware of what you are responsible for, this will often include repairs, maintenance and upkeep of the property. It’s also important to be aware of any additional costs such as insurance, business rates or the maintenance of any communal areas.
There are many legal obligations to be aware of when buying or renting a commercial property. There are health and safety regulations to consider as well as adhering to fire regulations. It’s also important to be aware that you may need planning permission to make any changes to the property. It’s also important to be aware of the use class of the property as there may also be limitations with regards to what type of business the property can be used for. You can find an overview of commercial property use classes here. Use classes can be changed but you will need permission from the council. You’ll also need to be aware of whether your business will need a license in order to operate and whether there are any specific legal restrictions. It’s a good idea to consult with a solicitor who will be able to advise on any legal obligations and restrictions.
Renovating a property to suit your needs is often an ideal solution as you can create a space specific to your requirements. It's a great investment when purchasing a property as you’ll be building equity and adding value. Renovating is also a good option when renting a commercial property as you may be able to negotiate with the landlord should you be willing to undertake the work yourself. Think to the future when renovating to make sure you won’t quickly outgrow your premises and be sure to hire a reputable company to undertake the work. Be aware of planning permission and any necessary surveys, map out your timeframe and budgets to avoid unnecessary delays and costs and make sure your renovation plans meet the needs of both your employees and your customers.
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