Making the choice to relocate your company takes in-depth research and careful preparation, for example accounting for all time implications and budgeting for and financing the relocation costs. Here are 3 considerations which should help to minimise the risk of business disruption.
It is important to consider your ability to exit an existing lease and if it is even possible to move. Most leases should allow the tenant the ability to assign or sublet their lease but that is not a certainty so the lease terms should be checked. Assuming the existing lease can be assigned or terminated, it is probable that costs will be incurred. A Landlord is likely to charge fees for breaking a lease and a tenant may face costs associated with the state of repair of the building at the time the lease is terminated or assigned, for example decorations, repairs and the Landlord’s professional costs. Y
Consider any costs that may straddle the end of an existing lease and the start of a new lease. For example, rent deposits, parking permits, refurbishment and decoration costs and professional fees. Careful budgeting may be needed.
Choose a premise that has the potential for expansion and will able to accommodate any future developments.
Be sure that relocating isn’t going to interrupt any core operations. It is very likely that a business’s productivity will be reduced for a period of days or even weeks after a move. Planning meticulously for the move will reduce the risk of business disruption. This should be considered in conjunction with your commercial property solicitor as some control over timescales may be needed to keep all parties to the transaction happy.
If you plan on moving your company to new premises there is always the potential that not all staff will be happy with the move. You must also make sure staff employment contracts include a mobility clause and due consultations are held.
If you considering relocating your company and require any advice or assistance, our experienced solicitors in Bristol can help. Please do not hesitate to call us on 0117 962 1205 or fill out a contact form.