Business assignment

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Business assignment

Questions you should ask when signing a lease Questions you may have to answer when signing a lease Questions you should ask about shopping centre leases General questions Business assignment should ask about a lease Question Advice Has the landlord given me all the documents Business assignment are legally required by the Retail Leases Act ?

The landlord must provide the tenant with: What is the duration of the lease and have I got an option to renew? This needs to be clearly stated — it's usually much cheaper to extend a lease than to terminate early.

What will be my arrangements for rental payments? The most convenient arrangement is to set up periodic payments through your bank. This also protects you from late payment charges. Will any other fees apply to the lease agreement? Although it's uncommon, fees can be charged for things like monthly billing so it's worth asking this question before signing.

Will the cost of your rental payments be tax deductible? Before you sign, check the deductibility of rent and your tax liabilities with your financial adviser. Who is responsible for rates, taxes, insurance and other outgoings, such as contents insurance or council and water rates?

Outgoings and who will pay for what should be an essential part of the negotiation process, and made clear before anything is signed.

Who is responsible for maintaining the premises, fixtures, fittings and equipment? Responsibilities for the building and any equipment are often shared between landlord and tenant.

The agreement should make this clear.

Business assignment

Who will pay for creating the lease? As the tenant, you're not responsible for the landlord's legal costs, but there could be other lease set-up costs you will be asked to pay.

Does the agreement have an option to buy any leased goods or equipment? Any agreement for you to purchase leased goods or equipment will invalidate your right to claim rent as a tax deduction.

How will the lease be documented?

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Ask the landlord if they can offer a 'Master Lease' which means there is no need to sign an individual document for each item being leased. How will the depreciation limit affect rental payments?

If buying a luxury car, this could affect the depreciation limit on your rental payments and be made clear before you sign. When and how could the rent be reviewed and varied? This could be based on your turnover or profit, the Consumer Price Index; or a flat percentage increase.

It needs to be made clear. Does the agreement allow the lease to be terminated early? Be very clear about this. Leases are usually non-cancellable and an early termination can be costly for the person who is leasing. Will the lease have a Permitted Use clause outlining how the premises can be used?

If the lease has a Permitted Use clause, make sure it's not relevant to your operations or won't stop you from any future business development.True to Yourself: Leading a Values-Based Business (SVN) [Mark Albion] on kaja-net.com *FREE* shipping on qualifying offers. How do you build the kind of company you’ve always wanted to work in—one that serves people and the planet while being financially successful.

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