When you run a business, there are lots of bases to cover. For instance, it’s imperative that you get the recruitment process right. It’s also a good idea to keep costs low so that the firm’s finances don’t edge into the red. More importantly than all of the above, though, is negotiating a deal. The types of arrangement differ, but today we are going to concentrate on a property agreement. Any company that wants to be successful will need premises, but it’s important to strike a bargain because the costs can be high. With that in mind, here are the tricks to negotiating a beneficial agreement.
The last thing you should do is enter into negotiations alone. After all, you are an amateur that doesn’t know the first thing about a property. Thankfully, property development lawyers are on hand to help. With their skill and experience, the process should go smoothly. Well, as smoothly as possible anyway. Anyone that doesn’t hire help is going to be an easy target unless they have previous experience. Yes, they are expensive, but they will save you money in the long run.
Test Their Flexibility
Landlords know that you want a good deal, and they will take that into consideration. Usually, it is this reason why they like to play hard ball from the beginning. They are testing you to see whether you are a weak link or whether you are strong. To turn the tables, you can use the same tactic on them during negotiations. A sneaky trick is to push the envelope regarding a feature that is insignificant. If the landlord buckles, it is a sign that you will be able to get more when it comes to the valuable features. A property negotiation isn’t a place for the faint of heart.
Keep The Lease Short
Like all sellers, landlords like to make deals. However, theirs tend to focus on paying less for a longer tenancy agreement. Sure, the cost might be lower, but the length of the contract might not suit your needs. For example, it is a bad deal if you plan on expanding even more and the premises are not big enough. Anyway, a short lease provides the company with a greater level of flexibility that allows you to jump ship should you find a better deal. As a rule, opt for a shorter lease over a long-term one.
Don’t Put All Your Eggs In One Basket
Last but not least, don’t focus on one property and put it on a pedestal. When this happens, it reduces your leverage in the negotiations. Quite simply, you have to agree to everything for fear of losing out on a dream building. If you have alternatives, it is easier for you to keep a balanced view on proceedings. The backup choices might be worse, yet they are better than agreeing to a bad deal. The key is to find several properties that you like and use them as leverage.
Then, you can flip the script on the landlord and make them think they will lose your custom.