What Do Commercial Landlords Look For?
- January 19, 2021
Finding the right commercial space is critical for your business; it’s not only a place to work, it’s a place in which you will make your mark as a brand. However, it’s not as easy as checking out a commercial or retail property and signing on the dotted line. Landlords have high standards, and they are not going to lease space to just any tenant, particularly in sought-after areas. What do you need to know about qualifying for a commercial lease?
5 Things Commercial Landlords Look For
First off, what do commercial landlords look for? They often take into account a variety of factors, including credit reports and tax returns. Ultimately, they need to know that, as a tenant, you have:
- Financial Stability Commercial landlords will look at your credit history and financials; they want to minimize their risk, and this is the starting point. Is your business solid financially? Do you have a track record of obligations met, and do you have the wherewithal to pay?
- A Sound Business Plan To succeed in business, you need a plan – and landlords are looking for this. Have you prepared and planned so you can move forward?
- The Capability of Being a Good Fit How does your business complement the others in the space? Will other tenants benefit from having you there (e.g., increased foot traffic, services that add value to their customers, etc.)?
- A Willingness to be Cooperative Commercial landlords want to know that you will be a strength for the space and contribute towards its overall success. They don’t want problem tenants draining profitability or morale.
- A Readiness to Move If you’re interested in a space in a desirable area, you need to move fast. Landlords need to know that you are ready to commit and get to work!
Qualifying for a commercial lease is about more than just putting up a deposit. It is important to prove that you are serious, that you have a plan, and that you are going to be a valuable tenant. The right space is a game-changer for your business; be sure to let the landlord you’re ready.