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d. Signing a Lease

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If you rent or lease space, you will need to decide what kind of lease agreement you are willing to sign. The longer the lease term, the lower the monthly rent, but you are responsible for the full term of the lease whether you are still operating the business or not. Some lease agreements will not allow you to sublet the space.

For a brand-new business it is probably best to take a one-year lease or month-to-month rent at a higher rate until you have ascertained how well your business is going to do. It also gives you the option of moving to larger premises if your first year of business is very successful. Always seek competent legal advice before signing any kind of lease agreement.

Before renting or leasing space ask yourself the following questions:

(a) Is the space accessible for receiving and shipping?

(b) Is there a loading bay and elevators?

(c) Is there sufficient parking for delivery trucks and customers?

(d) Are there enough electrical power outlets for your equipment?

(e) Is the lighting, heating, and air conditioning sufficient?

(f) Will your lease allow you to make necessary alterations, such as installing track lights and shelving?

(g) What type of advertising sign is allowable in your lease agreement?

(h) How safe is the area and the building?

(i) Will you be able to buy reasonable insurance against burglary and fire?

Start & Run a Gift Basket Business

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