20 March 2019

The terms of your lease can have extensive consequences for your business. Seeking sound legal advice from your solicitor at the outset will go a long way to making sure that the terms and conditions of your lease work for all parties concerned.

It is essential that the tenant has a good grasp of basic lease terms before starting to negotiate the best deal for yourself.


Landlords will want to maximise their rental income but rent free periods can agreed in particular where the property might need work to be carried before your business can move in or operate effectively, so try and secure a rent free period.

The length of the lease The term of a lease is very much dependent on your business and whether you require the security of a consistent location. The Term can vary from one to two years to twenty five years.

Break clause

In the situation that the business is not as successful as you anticipate or more successful it is important that you negotiate flexibility. A break clause in the lease will allow you, the tenant, to end the lease before the full term. You will not want to end up with a premises that are not suitable for your business or that become an ongoing financial burden.

Security of Tenure

The Landlord and Tenant Act (1954) gives tenants the legal right to renew the lease when the old one has expired. Security of tenure will be important as your business grows, particularly if you decide you want to remain in the premises.

Repairing obligation

On a Commercial Lease, the repairing obligation is defined by the wording in the lease and not the condition you put the property in. Being liable for a property’s maintenance and repairs can be a real burden. It is important to negotiate obligations that reflect the lease duration and the condition of the premises.

Alterations to the premises

If you want to make minor changes to the premises, agree that these can be undertaken without the landlord’s consent. More significant or structural changes will require written consent from the Landlord.

For further information and advice from our commercial solicitors in Manchester please contact;

Shahin Akhtar on 01254 297130