The Significance of Signage

In a world where we are continually exposed to messages ... all attempting to grab our attention, it's important for business owners to take every opportunity to appropriately connect with their customers. There are many ways to try to make that connection and the effective use of signage is one that we want to take a look at this month. 

• What are some of the signage options available?  
• Which ones are right for you and for your business? 

Home based businesses may face special limiting constraints imposed by their local municipality. In many jurisdictions that we're familiar with, there are significant limits on the size and type of signage that can be used. When it comes to commercial business signage, here are some valuable insights from our friends from The Lease Coach!

Understanding the Significance of Signage – for Commercial Tenants

By: Jeff Grandfield and Dale Willerton – The Lease Coach

Readers of our book, Negotiating Commercial Leases & Renewals FOR DUMMIES, will learn (in-part) that it’s much easier for customers to find your business if you have a prominent sign with your business name on it out front. The bigger the sign, the better – and the more attractive the sign, the better too.

Don’t just assume, however, that your landlord shares your vision of a large sign identifying your business on or in front of his property. Commercial tenants can easily overlook that their landlords may want to restrict all tenant signage on the property and their requests for more or larger signage are often rejected by landlords.

Landlords impose signage criteria and restrictions mainly because whatever they allow one tenant to do signage-wise, the other tenants may also want to do. Most landlords prefer an uncluttered property without extra signage simply because it looks more attractive. If your landlord does allow you to place a sign on the property, creating and maintaining it is your responsibility. This extra work on your part, however, can be beneficial:

·      Signage can make your business easier to find for customers who are specifically looking for you. If you’re located in an area with a sea of shopping plazas or office buildings, a sign with your name on it makes it much easier for customers to pick you out of the crowd.

·      Signage can bring in customer traffic. People visiting other retailers in the property and shopping for other items may see your sign and be reminded to drop in. If your sign reads, in part, “Now Open!”, all the better!

·      Signage will become recognized by local residents who will see you as they commute to and from work daily. These residents are eventually more likely to visit your business because they are familiar with your name.

With that being said, note that your landlord may allow certain types of signage but not others. Typically, the landlord usually requires graphic drawings of your sign for written approval or provides you with a signage criteria package that you must follow as part of your lease agreement. Read this information carefully and understand that your landlord may consent to one type of signage but not another. To give you a better idea of what may or may not be allowed, here are the most common types of signage:

Building signage: This is the signage that almost every business location will have and it will generally appear directly above your main entry door. However, do not overlook the possibilities of having signage on multiple sides or even the rear of the commercial property if that will provide you additional exposure to walk-by or drive-by traffic.

Pylon signage: The tall sign by the roadway that tells passers-by what tenants are in the plaza is called the pylon sign.  A property may have several pylon signs, which all display the name of the plaza at the top of the sign. Don’t just assume that you will automatically get a panel of the pylon sign. There are often more tenants in a property than sign panels available, so make this a part of your offer to lease or lease renewal. Ideally, try to pick your actual panel (both front and back), because a panel higher up on the pylon sign is usually more visible and read first.

Monument signage: A monument sign resembles a tombstone coming out of the ground and, typically, advertises just one or a few select tenants. Monument signs are not that common, but they can make your business look more substantial if you can get one.

Sandwich board signage and banners: Commercial tenants may wish to utilize these forms of signage to advertise limited time specials/reminders; however, landlords may say no. If these are of interest to you, negotiate for them in advance. The Lease Coach will often negotiate predetermined times when the tenant can use these signs … landlords may be more comfortable in knowing these signs will not be out all year and thereby not create signage clutter.

Temporary pull-away signage: These are the signs on wheels covered with images or business messages. Most landlords hate these signs and the problems that they create. Don’t just assume that you may be able to have pull-away signage for your grand opening or some other special promotion. Landlords think these signs clutter or obstruct their property and may only allow limited numbers of pull-away signs to be used (and shared) by many tenants throughout the year. Again, negotiate pull-away signage rights up front, because the landlord doesn’t have to let you put these signs up if they are not included in the lease agreement.

For a copy of our free CD, Leasing Do’s & Don’ts for Commercial Tenants, please e-mail your request to JeffGrandfield@TheLeaseCoach.com.

Jeff Grandfield and Dale Willerton - The Lease Coach are Commercial Lease Consultants who work exclusively for tenants. Jeff and Dale are professional speakers and co-authors of Negotiating Commercial Leases & Renewals FOR DUMMIES (Wiley, 2013). 

Got a leasing question? Need help with your new lease or renewal? 

Call 1-800-738-9202, e-mail DaleWillerton@TheLeaseCoach.com or JeffGrandfield@TheLeaseCoach.com or visit www.TheLeaseCoach.com.

What's been your experience? 

Feel free to add your comments and thank you in advance

for sharing this post with those in your circle of contacts!

                                                                                           

QUESTION: When was the last time you took a look at your BUSINESS PLAN?

 IF it wasn't within the last 6 months ... let's take a look at it together! 

Be ready for when the next business opportunity 'knocks at your door' ... don't delay!
Let's make sure that you're ready to move forward!

If you're looking for feedback and suggestions to improve your business plan, and valuable input regarding how you present your opportunity to others, you'll want to use our “Business Plan Review” service. Let's explore this in more detail!

For more information see:

"Option 5 – “PVS – Business Plan Review”

It's listed on our Website Registration page:

CLICK HERE

Thoughts on Timing for Business

"Timing is Everything!" - or so the saying goes. 

You may have your own examples of where that's been important to you and we'd be pleased to hear from you. In our having worked with many entrepreneurs over the years, we've seen how timing can be so very important in areas related to: 

• Advertising and promotion, 
• Coordinating purchase of materials and inventory, 
• Hiring and scheduling of staff, and 
• Reporting to shareholders, funders & regulatory agencies ... 

Timing is also very important when it comes to arranging aspects of your commercial lease.  

Here with some important considerations related to negotiating or renegotiating your Commercial Lease, we trust that you'll enjoy the following valuable insights provided by our friends Dale Willerton and Jeff Grandfield at The Lease Coach.

Negotiating the Business Terms of the Lease Deal

By: Jeff Grandfield and Dale Willerton – The Lease Coach

For many business-owners, negotiating a good lease or lease renewal against an experienced agent or landlord can be a challenge. While an entrepreneur focuses on marketing and managing, savvy real estate agents and brokers are specialized sales people. Their job is to sell tenants on leasing their location at the highest possible rental rate.

As explained in our new book, Negotiating Commercial Leases & Renewals FOR DUMMIES (co-written with my colleague, Dale Willerton), tenants may go through the leasing process only two or three times in their entire lifetime – yet they have to negotiate against seasoned professionals who negotiate leases every day for a living. Negotiating appropriate leasing terms is vital for an entrepreneur as the amount of rent he pays will directly affect the business’ financial bottom line.

Whether you are leasing a new location for the first time or negotiating a lease renewal for your business, these are some money-saving tips for tenants:

Negotiate Renewal Option(s): Don’t forget to negotiate your Renewal Option(s) in advance and specify that it/they be assignable. Some leases state that renewal options cannot be assigned or transferred – thereby potentially making it more difficult to sell the business. Stating that the renewal option be for up to five years, for example, will give you more flexibility if you want to renew for only two years instead of a full five years. Renewal Option wording can be tricky … read this carefully.

Month-to-Month Leases: Month-to-month leases have both pros and cons. The pro side is flexibility – the con side is lack of security. Frequently, you can lease premises on a month-by-month basis more cheaply, especially if the space is already built out to suit you and the property has a number of vacancies. We recommend that tenants negotiate for a one-year lease term that permits them to terminate with 30 to 60 days notice. This way, the tenant remains in total control.

For a copy of our free CD, Leasing Do’s & Don’ts for Commercial Tenants, please e-mail your request to JeffGrandfield@TheLeaseCoach.com.

Jeff Grandfield and Dale Willerton - The Lease Coach are Commercial Lease Consultants who work exclusively for tenants. Jeff and Dale are professional speakers and co-authors of Negotiating Commercial Leases & Renewals FOR DUMMIES (Wiley, 2013). Got a leasing question? Need help with your new lease or renewal? Call 1-800-738-9202, e-mail 

What's been your experience? 

Feel free to add your comments and thank you in advance

for sharing this post with those in your circle of contacts!

                                                                                           

QUESTION: When was the last time you took a look at your BUSINESS PLAN?

 IF it wasn't within the last 6 months ... let's take a look at it together! 

Be ready for when the next business opportunity 'knocks at your door' ... don't delay!
Let's make sure that you're ready to move forward!

If you're looking for feedback and suggestions to improve your business plan, and valuable input regarding how you present your opportunity to others, you'll want to use our “Business Plan Review” service. Let's explore this in more detail!

For more information see:

"Option 5 – “PVS – Business Plan Review”

It's listed on our Website Registration page:

CLICK HERE

 

Move In With Extra Cash!

You've circled the date on your calendar. Boxes are all packed and ready to go. Everything has been carefully considered - from where every wall and door will be positioned to where every piece of equipment and furniture will be placed. Everything is ready for the big move. Now the waiting is over. Today is the day that you finally move into your new location!

Congratulations - that's great, and it's reason to celebrate. But is it possible that you've still left a little money on the table? Have you really considered every cash-saving option prior to signing your Commercial Lease agreement?

With some helpful advice, here once again are a couple of "FREE" tips from our friends, Dale Willerton and Jeff Grandfield with The Lease Coach.

Thank you Dale and Jeff.

Negotiating Commercial Leases & Renewals FOR DUMMIES

Commercial Leasing Tips for Commercial Tenants

By: Jeff Grandfield – The Lease Coach

For many business-owners, negotiating a good lease or lease renewal against an experienced agent or landlord can be a challenge. While an entrepreneur focuses on marketing and managing, savvy real estate agents and brokers are specialized sales people. Their job is to sell tenants on leasing their location at the highest possible rental rate.

As explained in our new book, Negotiating Commercial Leases & Renewals FOR DUMMIES (co-written with my colleague, Dale Willerton), tenants may go through the leasing process only two or three times in their entire lifetime – yet they have to negotiate against seasoned professionals who negotiate leases every day for a living. Negotiating appropriate leasing terms is vital for an entrepreneur as the amount of rent he pays will directly affect the business’ financial bottom line.

Whether you are leasing a new location for the first time or negotiating a lease renewal for your business, these are some money-saving tips for tenants:

Convert Allowance to Free Rent: Let’s say that you have negotiated for a $60,000 tenant allowance. The landlord has calculated that amount into the rent but the lease will likely stipulate that the allowance is payable to the tenant on completion of all work based on paid receipts that you provide. In case you don’t spend the entire allowance, add a clause that says an amount less than the $60,000 allowance that you spend on improvements will be credited in free rent first accruing.

Moving? Have Them Pay: Moving costs are an item which most tenants overlook negotiating for. In some cases, this is a point that can be successfully negotiated, especially if your tenancy has been aggressively prospected by a leasing agent. Never just state that the landlord will have to pay your moving costs. Instead, make an estimated but detailed price list for having telephone lines relocated, printing new business cards and letterhead, moving truck costs, mail forwarding, and so on. In lieu of a cash payment, you can offer to accept the moving allowance in free base rent.

For a copy of our free CD, Leasing Do’s & Don’ts for Commercial Tenants, please e-mail your request to JeffGrandfield@TheLeaseCoach.com.

Jeff Grandfield and Dale Willerton - The Lease Coach are Commercial Lease Consultants who work exclusively for tenants. Jeff and Dale are professional speakers and co-authors of Negotiating Commercial Leases & Renewals FOR DUMMIES (Wiley, 2013). Got a leasing question? Need help with your new lease or renewal? Call 1-800-738-9202, e-mail DaleWillerton@TheLeaseCoach.com  or JeffGrandfield@TheLeaseCoach.com or visit www.TheLeaseCoach.com.

                                                

What's been your experience?

Feel free to add your comments and we'd very much appreciate

if you would share this post with those in your circle of contacts.

QUESTION: When was the last time you took a look at your BUSINESS PLAN?

IF it wasn't within the last 9 months ... let's take a look at it together!

Be ready for the next business opportunity that 'knocks' at your door.

Be ready to move forward!

If you feel it would be helpful to receive some feedback and suggestions to improve your business plan, or improve how it's presented to others, ask us about our “Business Plan Review” service. Let's talk about how you can move forward!

For more information see:

"Option 5 – “PVS – Business Plan Review”

It's listed on our Website Registration page:

CLICK HERE

Keep an Eye on the Terms of the Lease

Have you noticed that it can be a real challenge trying to keep an eye on "the fine print" while still moving ahead with the "BIG" picture?

As challenging as it may be, it's something that every successful entrepreneur needs to master!

"Recognize your areas of Strengths, and access appropriate expertise in critical areas that require attention."

When it comes to negotiating or renegotiating your Commercial Lease, the valuable insights provided by Dale Willerton and Jeff Grandfield at The Lease Coach are certain to be most helpful.

Negotiating the Business Terms of the Lease Deal

By: Jeff Grandfield and Dale Willerton – The Lease Coach

Dale Willerton and Jeff Grandfield

Although it would be nice, it’s highly unlikely that a commercial landlord will hand you a proposed lease with correctly-worded and perfect terms and conditions. 

As we explain in our new book, Negotiating Commercial Leases & Renewals FOR DUMMIES, it is likely that you will have to negotiate many of the primary business terms critical to your business success. Here are a few things that commercial tenants should not ignore:

Choosing between an Offer to Lease or Letter of Intent: Commercial tenants, landlords, and agents often use these phrases interchangeably, but these initial lease documents are different. A Letter of Intent (or LOI) is often shorter and is non-binding to either party. An Offer to Lease is, typically, more in-depth and is binding – subject to conditions by the landlord and tenant. Given a choice, The Lease Coach recommends using an Offer to Lease rather than an LOI. An agent may try to sway you otherwise with the argument, “It’s non-binding … what have you got to lose?”. The truth is that you can have a lot to lose if you send in a hurriedly composed and/or poorly thought out LOI or sign an LOI that is unfair to you.

Determining the Parties to the Lease Agreement: The landlord’s corporate identity is usually well-established; however, yours may not be. The Lease Coach recommends that you not list your personal name on the agreement (as you will become personally responsible for any future losses). Instead, form a corporation or LLC for your business. Establish your corporate identity ahead of the negotiation process and have it ready to use on all correspondence because this name that you use on the Offer to Lease will carry over into the formal lease agreement, unless noted that it will change.

The lease term (or length): The majority of commercial lease deals are five-year lease terms; however, exceptions have become more commonplace. The Lease Coach frequently negotiates three-, seven-, or 10-year lease terms. A lease term can be stated in either months or years. It’s important to factor in the start and expiration dates of the lease term relative to what’s best for your business. Franchised commercial tenants should make sure that their lease term matches their franchise term to avoid issues with the lease term. This happens when the start date of the franchise agreement is prior to the start date of the lease agreement – which may be several months later, when the franchised business actually opens.

Listing the Base (or Minimum) Rent: Base rent is the portion of the rent payable to the landlord, excluding operating costs, and is the most negotiable portion the rent you pay. Calculating your total base rent is easy – take the number of square feet and multiply it by the annual rent per square foot to equal your annual base rent. By dividing the annual base rent by 12 (months), this will equal your monthly base rent for your tenancy.

There are, of course, many other business terms in a commercial lease. Don’t overlook any of the following:

·      The amount of tenant allowance and/or free rent

·      The amount of operating costs (Common Area Maintenance / CAM charges)

·      A list of the landlord’s and the tenant’s work to be done

·      The amount of the lease deposit

·      Conditions (business permits, including zoning; construction estimates; financing; inspection of the property / premises; partner / franchisor approval; and satisfaction with the formal lease agreement)

·      Assignment Rights

·      Days and hours of operation

·      Expansion right

·      Parking

·      Signage

·      Personal Guarantees

·      Termination rights

For a copy of our free CD, Leasing Do’s & Don’ts for Commercial Tenants, please e-mail your request to JeffGrandfield@TheLeaseCoach.com. 
 
Dale Willerton and Jeff Grandfield - The Lease Coach are Commercial Lease Consultants who work exclusively for tenants. Dale and Jeff are professional speakers and co-authors of Negotiating Commercial Leases & Renewals FOR DUMMIES (Wiley, 2013). Got a leasing question? Need help with your new lease or renewal? Call 1-800-738-9202, e-mail DaleWillerton@TheLeaseCoach.com or visit www.TheLeaseCoach.com.

What's been your experience? 

Feel free to add your comments and thank you in advance

for sharing this post with those in your circle of contacts!

                                                                                           

QUESTION: When was the last time you took a look at your BUSINESS PLAN?

 IF it wasn't within the last 6 months ... let's take a look at it together! 

Be ready for when the next business opportunity 'knocks at your door' ... don't delay!
Let's make sure that you're ready to move forward!

If you're looking for feedback and suggestions to improve your business plan, and valuable input regarding how you present your opportunity to others, you'll want to use our “Business Plan Review” service. Let's explore this in more detail!

For more information see:

"Option 5 – “PVS – Business Plan Review”

It's listed on our Website Registration page:

CLICK HERE