As a potential tenant, you should negotiate the lease terms with your commercial landlord before entering into the lease agreement. It is important to ensure that each party is content that the lease terms meet their needs and are confident they can comply. This is important as it encourages both parties to abide by the lease and can decrease the chance of a breach of the lease agreement. Also, a commercial lease is a significant financial commitment. Accordingly, you must be comfortable with it. However, rather than focus on what you want to see in your lease agreement as a commercial tenant, it is also vital to consider what you wish to avoid. This article will explain some things you, as a commercial tenant, should avoid when negotiating a lease in the UK.<\/p>\n\n\n\n
A commercial lease generally means you have the sole occupation of the business premises for a specific business use and a specified period. In return, you will make rental payments to your commercial landlord and carry out your other lease obligations. <\/p>\n\n\n\n
The details of a commercial lease are in the commercial lease agreement<\/a>. This is a legally binding contract detailing your and your landlord’s rights and obligations. You will negotiate this at the outset of your lease through heads of terms. These are written documents of the key terms both parties intend to include in the lease agreement. Below we detail some points to avoid when negotiating a lease in the UK.<\/p>\n\n\n\n A crucial point to avoid when you begin a commercial lease is to include your personal name on the lease as a party to the lease. Instead, you should use your company’s name as the commercial tenant in the lease agreement. This prevents you from being personally responsible for the lease. Similarly, where you intend to use a corporate tenant, avoid offering personal guarantees on the commercial lease. For example, suppose you are the tenant personally, or you are personally guaranteeing the tenant company. Then, if you fall into arrears with your rent, the landlord can try to recoup this from your income and assets by suing you personally.<\/p>\n\n\n\n You may find negotiating this tricky, particularly if your company does not have a previous rental history. Therefore, it is advisable to get legal assistance from an experienced property solicitor with this.<\/p>\n<\/div>\n\n\n\n\n\n Continue reading this article below the form\n <\/i>\n<\/a>\nName on Lease<\/h2>\n\n\n\n