Allow Sufficient Time
Ensure that you give yourself 2 months to set up your first business location. Current tenants generally require 3 months (before their lease expire) to search for a new location.
Do not be pressured to settle for a less than ideal location at higher cost because you have already committed to other factors such as arrival of stocks, rushing to open a premise for year end sales or already signed a franchise agreement, etc.
Dealing with Agents
There are many types of agents. Seek the right one for your business needs. Most agents do everything from selling HDB to renting houses. Corporate Visions' specialize in Corporate Real Estate, i.e. assisting companies in their real estate requirements; leasing / sales of Commercial/ Residential properties.
Location, Location, Location
DO NOT look for the cheapest location. Look for a location that will enable you to Maximize your sales. Ask your agent:
- What is the right location for your business? Where to find such a location? E.g. CBD or outside; MRT or ample parking is more important for your staff/ clients, etc.
- How much can you afford to pay for such as space? E.g. Less than $2000 per month. For your business to run Profitably, find out what you can afford to pay.
Evaluating Your Requirements
- What is your Size Range? E.g. Range of 1000 to 1500 sq ft. Ask your agent to evaluate your requirements to reduce wastage and save rental costs; Hence, clients could choose a better location based on the same rental budget.
- What types of property do you prefer? Office Building or Shop House?
- Do you work Irregular/Extended Hours? Separate Air-con controls may be required.
Know Your Landlord
Understand the background of your Landlord will help you in the Lease Negotiation. Also seek advice from your agent before meeting your Landlord.
Negotiation
Negotiation between prospective tenant and landlord is the determinant of your rental. Seek advice from your Broker for good negotiation strategy. Company portfolio, paid-up capital & packaging of your company are other factors to consider in a negotiation. It is better to negotiate a poor lease agreement on the Right Location than securing a Great Deal on a Wrong Location! For the first time Entrepreneurs: A Great Business Opportunity in a Poor Location will soon become a Poor Business.