When signing an office lease, it is important to make sure you read all of the terms very carefully in order to avoid being taken advantage of by a landlord or proprietor. Many times, landlords will add small things into the contract that you may not notice until after you have already signed the lease. This is extremely important for newer or small business because some landlords will try to play on your passiveness or cluelessness. Here are some hidden costs to look for in your office rental or lease agreements:
Contracts are meant to confuse tenants so loopholes can be woven into the wording of the lease. A lot of the time, landlords will include clauses that allow them to “survey” the space and then up the rate if they think it is necessary. So you may start out with a fixed rate, but after a month or two you could find yourself paying significantly more for electricity than you started out.
Preexisting condition clause
Many rental or lease agreements will have a preexisting clause, which means when you move out of your office space, you are required to restore it to its preexisting condition. If the walls were white when you moved in, and you painted them yellow, you will have to paint them back to white. Anything you had installed must be uninstalled, and so forth. Restoring your office space to its preexisting conditions can end up costing you a lot of money, so make sure you know what is expected of you when moving out of your office space.
A common misconception among tenants is that building owners will cover most of the maintenance costs such as shoveling snow, trash removal, and any repairs that may be necessary. Ask the owner what sorts of maintenance costs are covered by him/her and which kinds of costs will have to be covered by you.
It is so important to read thoroughly through rental or lease agreements in order to make sure you aren’t going to get screwed over by a property owner. Whether you have or have not leased an office space before, you should make sure to look for these small clauses that could cost you way more than you initially planned.