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Commercial Lease Agreement (Business Lease Agreement)

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  • Commercial Lease Agreement 1

    Commercial Lease Agreement 1

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  • A commercial lease agreement or a business lease agreement is a contract between a business/company and a property manager/landlord. It usually outlines the terms of commercial tenancy wherein the tenant rents the space from the landlord to conduct business. This type of lease agreement is used for warehouses or industrial facilities, office spaces, restaurants, retail stores, hotels, medical buildings, or storage facilities.
    Before approaching a landlord of a commercial space, you need to understand how these leases differ from the residential forms. You should also understand fully and agree with basic terms of such lease, including the rent amount, holders rights, the layout of the physical space, and the length of the lease.

    More about Commercial Lease Agreement

    The commercial lease form is much more complicated than a residential one because it has negotiable terms and they vary significantly.

    It is not easy to change or break a commercial lease because it’s a legally binding and long-term contract. Lots of money is often at stake.

    Most of the leases for commercial purposes are not based on standard forms or agreements. Each one can be customized to suit the needs of the landlord. For this reason, it is important to examine a commercial lease agreement or application carefully.

    Commercial leases are usually subjected to more negotiation between landlords and business owners. Businesses generally need special features in commercial spaces and the landlords are usually willing to give in to special requests because they are eager for tenants.

    Ensure that the Commercial Lease Fits Your Business

    These are some of the other things to consider before signing if you want to ensure that the lease is right for your business:

    Consider the rent amount to ensure that it is affordable, as well as the length of the lease to avoid being tied down to a five or ten year contract. Your business might grow a lot faster than expected or the location may not work out well for you. A good recommendation is to use a lease calculator to guide you and choose a short-term contract with renewal options to be on the safer side.

    The physical space should be considered. Make sure that the necessary changes can be made by the landlord or yourself if the existing space needs modifications to suit your business.

    There are other terms which might be less conspicuous in the lease and you should look out for these to ensure that nothing impedes on your business success. As an example, you need to know if you have the right to install a sign that customers can see clearly from the street if your business depends mainly on walk-ins.
    If you want to see how a business or commercial lease agreement looks you can download a sample online right now.

  • Commercial Lease Agreement 2

    Commercial Lease Agreement 2

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  • Commercial Lease Agreement 3

    Commercial Lease Agreement 3

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