Business Location and Leasing Rules

Location & Leasing: Top Ten Do’s and Don’ts

THE TOP TEN DO’S

1. Talk to your city hall planning and zoning department to be sure your intended location conforms to all code requirements.
2. Create a Site Model Criteria for your particular business.
3. Look at many locations to establish comparable values for rent and location potential.
4. Order demographic data to provide information about your customers.
5. Retain a real estate lawyer to assist in negotiating your lease or purchase.
6. To minimize your risk, negotiate for a short-term lease with options.
7. Provide terms in your lease for potential expansion requirements.
8. Have every agreement put into writing.
9. Ask that no other similar business be allowed in your shopping center.
10. Use signs that are the largest allowed and clearly state what you are selling.

THE TOP TEN DON’TS

1. Be hasty in making a real estate decision. (There is no such thing as the last good location.)
2. Don’t judge a location entirely on rent.
3. Permit a potential landlord to dictate all the lease terms.
4. Personally guarantee your lease if possible.
5. Sign a purchase or lease document without the approval of your lawyer.
6. Depend on the advice of a landlord’s leasing agent.
7. Submit to unreasonable conditions; unemotionally look for another location.
8. Depend on any verbal agreements with landlords or sellers – get it in writing.
9. Open the second store until the first one is proven and profitable.
10. Sign a lease without the condition that it is subject to securing all permits and licenses.

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