When expanding or establishing a business, you may need to sign a commercial lease. Whether it is for an office, retail space or a manufacturing facility, a lease agreement outlines the terms and conditions of the property rental.
However, the process of signing a commercial lease can be complex and fraught with potential pitfalls. If you are not careful, you might find yourself bound by terms that are unfavorable or even detrimental to your business. To help you navigate this complex terrain, here are some common mistakes to avoid when signing a commercial lease in Mississippi.
Not understanding the lease terms
Every commercial lease contains various clauses and provisions that detail the rights and responsibilities of both the landlord and the tenant. You must thoroughly read and understand these terms before signing. If anything is unclear, seek clarification from the landlord or a knowledgeable friend or family member.
Failing to negotiate
Many people do not realize that commercial lease terms are often negotiable. Do not hesitate to discuss the terms with the landlord and negotiate items such as rent, lease duration, maintenance responsibilities and more.
Overlooking maintenance and repair responsibilities
Understanding who handles maintenance and repairs is vital. The lease should clearly outline whether the landlord or tenant is responsible for various upkeep tasks. Overlooking this detail can lead to disputes and unexpected expenses.
Ignoring zoning laws
Before signing a lease, you should verify that the property’s zoning laws allow for your intended business use. If the property is not zoned for your type of business, you may face legal challenges and potential fines.
Not planning for the future
Consider your long-term business needs when signing a lease. If you expect significant growth, you might need a larger space or more locations in the future. Ensure that the lease terms provide the flexibility you need to expand or relocate as your business evolves.
Signing a commercial lease in Mississippi is a significant commitment that requires careful consideration and understanding. Make informed decisions, and your commercial lease will become a foundation for your business success rather than a hindrance.
