Business Leases
Many local businesses take on the huge commitment of a business lease for a shop or office premises without fully understanding the implications of this. Frequently they go into business with a partner without having a written partnership agreement in place or they form a company without any written agreement over how they will share profits and most importantly what happens if one person wants to leave.
Rhona Forster, head of our Property Commercial Department, says “We handle lots of commercial leases for small and large clients and can advise on the pitfalls and risks of taking on that kind of legal commitment. Also there will be details in the documents which require some alteration or negotiation to protect your position as the business tenant. Businesses, which simply sign on the dotted line of the lease which is presented to them, can be unpleasantly surprised when they realise what they are committed to. We are familiar with all the formalities for commercial leases. Under the Land Registration Act 2002 all leases of over seven years now have to be registered from 13 October 2003 and there is a new Code of Practice for Commercial Leases in operation. So ensuring you obtain legal advice from solicitors who are completely up to date in this area is crucial.
Our Company Commercial Department can advise on setting up any partnership or shareholders’ agreement and if directors are employed by the company there should be employment or service contracts in place as well.”
For further information contact Rhona Forster on (0117) 929 0451 or e-mail rforster@metcalfes.co.uk
This press release summarises the law on issues which we believe may be of interest to your business. It is not a comprehensive review of the subjects and accordingly is published without responsibility for loss occasioned to any person(s) acting or refraining from action as a result of information published