Is a triple net lease right for my business?

| Jun 6, 2019 | Commercial Real Estate Leases |

Choosing the appropriate property lease will be a key component in determining your business’ success or failure. Therefore, it is important that you take your time in choosing the best option for your specific circumstances.

Business leases can vary widely in terms of what they include, how much they cost and how long the terms last. Owners of a new business tend to want to avoid complex financial hassles, but they may end up paying more in the long run due to this. If you are considering signing a triple net lease on behalf of your company, it is important that you understand the pros and cons associated with the agreements.

The rent will be lower than other options

Tenants of triple net leases often enjoy the fact that they pay the minimal amount to their landlord. Tenants have the responsibility to pay taxes and property maintenance costs out of their own pocket, and therefore, are able to enjoy a competitive rental price.

Costs associated with the property will not be fixed

While you may save money overall, it is important to recognize that triple net leases may not be ideal for businesses with cash flow issues. This is because you may need to pay unexpected cost. An example is when the building needs to be repaired.

When considering what type of property lease to sign, you should take into account the age of your business, the health of your cash flow and your company’s ability to handle complex financial issues. If you want to learn more about choosing the right lease in Florida, an experienced attorney can help.