If your business has come to a point where you are not sure if your supply will meet the demand, and if you are already having trouble fulfilling orders on time, first of all, congratulations. It means your business is growing, and it’s time to consider leasing a warehouse. Having a warehouse has a lot of advantages, including maximized productivity. Having a warehouse allows you to pack, store, and fulfill delivery needs in one area. This will greatly reduce delivery time and costs for your company, leading to higher customer satisfaction. With a warehouse, you also get additional storage space. Having a warehouse allows you to store your products in the ideal temperature and shelving. With best practices, you’ll be able to minimize spoilage and damage to your products. Having a warehouse is a great way to protect your goods from theft. You can also improve your risk management. If you stock up on your production essentials, price fluctuations won’t greatly affect your business and you’ll be spared from losses.
Now that you know some of the advantages leasing a warehouse, read on for 5 tips if you’re leasing for the first time.
Define a Clear Budget
Before checking out available spaces for lease, the first step is to define a clear budget. Keep in mind all the expenses that come with leasing a warehouse, such as rent and utilities, among several others. Factor it all in and make sure that your business will still operate at a profit even after leasing a warehouse.
Know The Responsibilities of the Landlord
If you found a big enough space for your business that you can afford, don’t go signing into any contract yet before you know the full extent of the responsibilities of the landlord, in terms of taxes, insurance, and maintenance. Read the fine print of your contract and if anything is still unclear, demand your landlord to give you specifics. Knowing the expenses that the landlord is responsible for, such as trash and maintenance of parking space, will help you define your budget better.
Determine The Actual Square Footage
When you’ve drawn out the exact square footage you need, make sure it is communicated well with the landlord. Lessees compute square footage differently, and especially in a multi-tenant setting, you want to make sure you are paying for actual, usable space that is unique to you. Your landlord might include walls, pillars, or edges in your contract’s space measurements. If you are not confident in your landlord’s dimensions, consult with an architect and discuss the usable space with your landlord. Make sure to take out as much unusable space in your contract as you can.
Some other things to consider when leasing a warehouse are electricity, zoning, ceiling height, floor load, docking area, parking, and expansion options. If it will take you a year to move into a warehouse, then take that year and use it to make your warehouse as functional as possible. Your warehouse should fulfill all your business needs, from production to fulfillment. Just as you shouldn’t rush into any business decision, you shouldn’t rush into leasing a warehouse. This is an important business decision, so do weigh its pros and cons. It is much better to spend time planning ahead than to waste money fixing unforeseen problems later on.
Consider Hiring a Professional
Leasing a warehouse is a big deal, and it entails a lot of time and energy. If you need help in making the next step, look into exclusive tenant representation. Finding the right representative will help you avoid unnecessary expenses and difficulties.
Do You Need Help Finding a Warehouse For Lease?
Contact us for help finding the perfect industrial property for lease or purchase! Schwarz Properties specializes in commercial and residential property management in Virginia, South Carolina, and North Carolina. We lead the market for industrial and warehouse spaces for lease and our portfolio also includes retail space, restaurant space, residential, office space, and many more. Please contact Schwarz Properties at 336-895-1336 or visit our website.