One of the most important stages in starting your first business is finding the right retail space. First, you need to identify what you want and what you need for your space then search and search until your find the perfect fit.
Here’s our 5 advice you before you sign your rental contract lease:
Keep your costs low during the early stage of your business. Your retail space or any other spaces for that matter have a huge impact and takes a lot of from your capital. It is only wise to save. There are other important aspects on running your business that requires funding. It will help you find your right commercial property buy researching online; usually property listing sites indicate the rental details. Check Franchise Souq Property for possible spaces.
It is better to be safe than regret. Commercial space rental requires you to sign a contract for years. So before you do, better to know everything about that space. Tenant brokers are professional who can help you determine who are the good landlords, what are available spaces in the market ideal for you and other information you need to know which are not easily available online, such as the electricity cost in the area and some hidden costs you may not be aware.
Landlords are also business owners. Their main goal is locking you on contract for several years. Yet, you still have complete control and still can walk away. During the early stages of your business, you will eventually determine what works and what’s not; and you might reconsider scaling up or downsizing, which could prevent you from doing if you have a multi-year lease. It is important for you sign a lease that gives you an option to change your plan if a need arise.
Your retail space is not the only cost you have to consider. Once you start using your space, then utility, equipment, furnishings costs kick in. Equipment for your retail store can be rented or you can buy them. This depends on your capital and funding. We recommend you to lease your equipment. The main reason is that you won’t be stuck when the machine or equipment becomes obsolete which is a huge factor considering how fast technology evolves. And also, it is easier to get financing to lease than purchase. If you decide that this is the way to want to go, check and if possible add in your leasing contract a clause a “option-to-buy”.
Starting and setting your business can be overwhelming but it is always smart to do you research and ask help from professionals. Importantly, review over and over again your budget, company goals, and always protect your company. You alone can do this by making the right and proper decision.