Doing business comes with lots of things. One of them is renting a commercial property to use as an office, store, headquarters, and other depending on what the business is. Having a business in Los Angeles is a great idea as it is a big city with lots of opportunities as there are millions of people living there and millions visiting every year. This creates a perfect environment for a business. As this is so, commercial property in Los Angeles is very expensive. First of all, because real estate in LA is generally very expensive, and second because it is a great place to have a business in as you could earn a lot of money from it. That is why one of the things you must do at some point is to negotiate a commercial lease in LA to your advantage.
If you are new in the world of business and you want to do everything just right, you came to the right place. We have collected all the things you need to know in this guide on how to negotiate a commercial lease in LA in order to get the best deal possible for your money.
The length of the lease is very important
Once you have found your potential property, you need to get all the details about it as well as the lease before you agree to sign any papers. And one of the first things you must pay attention to is the length of the lease. This can be a make or breakpoint. If you are just starting a business, it probably means that it is going to be small and not so successful for a certain period of time. This means that in the first few weeks, months, or even years for some businesses you might not have high revenue. This is a normal circumstance and you need to be ready for it. This is why the length of the lease should be something realistic.
Signing a lease saying you will be using the property for the next ten years is certainly a bad idea. You never know what could happen in such a large time range. It could go really well and you end up really being able to rent this property for a decade but in most cases, it has been shown that the best thing to do is to sign a shorter lease. A year or two is perfectly fine. Because if something goes wrong along the way, you will not have overly large expenses to cover. It is better to be safe than sorry.
Terms regarding ending the lease
Not only is the length of the lease important when you are trying to negotiate a commercial lease in LA but the terms regarding ending the lease as well. What if you decide to relocate your business to another city or state perhaps or you decide to relocate and start a new business completely? You need to find out what are the terms.
Would you need to pay a certain fee? Or would you have to pay all the rents until the end of the lease? It is usually the second option but it isn’t the best one for you. This is why we believe you should try and set the first term – a certain fee to be paid if you decide to leave the property earlier.
And if you do decide to relocate your business, experts are the best assistance to hire. Moving an office, a store, a hotel, a salon, or any of the sort is not easy. And if you want to relocate without stressing too much about the entire process, hiring professional commercial movers is the best thing to do.
Some favourable clauses
When negotiating a commercial lease in LA, make sure that you also have something good out of the lease, not just the landlord. One of the things we advise you to ask for is that the landlord does not rent out other properties close to yours to a business similar to yours. This way you will somewhat be closer to having a successful business of that kind in that area.
Another thing you need to be able to do is to put up a sign for your business. A lot of commercial property owners do not want to let you do this. Their reason – it can be damaging the property. But to you, this is very important. Especially as this is LA we are talking about. You need to be noticeable. There are thousands of businesses around you when in LA. This is why you need to make sure to stick out in some way in order to attract more people. This goes for all types of businesses. And if you do not manage to stick out in LA, moving your business with royalmovingco.com is always an option. There are plenty of places where your business would have a better chance of being successful.
Are there any hidden costs?
Another thing you must certainly ask about when you are negotiating a commercial lease in LA is whether there are any hidden costs after you sign the lease. For example, if you happen to be late with paying rent, will you also need to pay a certain fee for being late? If you cause damage to the property, you should be able to just fix it yourself. After consulting the landlord first, of course. But all this without having to pay some sort of a fine.
There are plenty of things you need to think about in advance. This is why we believe that hiring a professional real estate agent to handle this is the safest way to go. But, this certainly is a big expense to cover which is why most people avoid doing this. But if you want to get the best deal possible out of your commercial lease in LA, having a professional by your side is the safest option.