Benefits of using legal contract kits

Business Lease Agreement

If you are one of the many people who want to get away from the soul-crushing world of the cubicle, starting your own business may have a special appeal to you. Of course, the prospect of building a business can often be a daunting one. Even starting a new franchise will take time and energy to get it to the point where your cash flow will be sufficient.

Business Lease Agreement
A Business Lease Agreement involves you leasing a pre-existing business as-is, with all the equipment, real estate space, etc. You lease the business from the owner and pay a monthly sum for the right to run it.

So what if you are not willing to take the kind of chances a new business needs? What if you want the freedom to be your own boss and the security of an already settled job? The answer may lie in leasing an already proven business, meaning you can have the best of both worlds: the freedom to work for yourself with the stability of an established business. If this is the step you are thinking of taking, this is what you need to know.

What is a business lease agreement?

Essentially, it is a rental agreement between you and the business owner. 

Typically, they involve you leasing a pre-existing business as-is, with all the equipment, real estate space, etc. You are acting as a manager, but instead of earning a salary, you lease the business from the owner and pay a monthly sum for the right to run it.

What kind of business can I lease?

Any business you want to. No matter if you are a business owner, who wants to turn your business into the steady income of a leased property or a prospective buyer, who wants an established business to run yourself. You can enter an agreement if the other party is willing and ready.

Can I buy the business outright?

Maybe. The option to buy the business can be included in the agreement.  In the event that the business owner wishes to sell the business in the future, you will then be given the first right to purchase.

Depending on the wishes of each party and the nature of the agreement, suitable option clauses may be included.

What do I need to include in the agreement?

Leasing a business is a lot more complicated than simply renting space for a business. As well as the pre-existing equipment, the agreement may contain clauses about correctly running the business, the right of the owner to inspect or advise, options to buy, rights to automatic extensions, rights of refusal, etc.

Because of the risks involved in starting a new enterprise, some people prefer the business lease option instead. No matter if you are leasing your business or considering taking on a business lease, you will need to be ensure your document is completed to a satisfactory standard.

A well drafted agreement will be the strong foundation on which you can build, so be sure to get it right the first time.

more informationBusiness Lease Agreement kits are available to download:

 

In your travels you may come across the need for such other documents as Commercial Property Lease and the Confidentiality Agreement.