Conducting an initial location search for your business can be exhausting and frustrating. Luckily, there are plenty of commercial real estate brokers and consultants who are available to help you find and lease the perfect piece of commercial property.

Tips to Help with Your Initial Location Search

Decide what kind of ownership structure will be necessary or desired for your business.

Consider the locations where your business will thrive. Service and consultant-based businesses can select from just about any location available, while businesses that rely on being in the public eye or on walk-in customers will want to stay wherever the potential customer base may be.

Perform an initial analysis to determine which elements need to be pre-existing on the property in order for you to begin business as soon as possible. Calculate the square footage needed and include any special plumbing or structures you must have. You can also discuss with the potential landlord whether there are fixtures appropriate for your business available as part of your lease.

Search the area around your potential property and determine whether there are any other businesses close by that will be competing with yours. You can also assess whether you’re in the right area to be of genuine service to the community. You should think about travel distance, particularly if you will be implementing any kind of delivery service into your business.

Help with an Initial Location Search

Business ownership comes with many complicated issues, especially when a company chooses to enter into ownership of commercial real estate properties. Though commercial real estate purchase can be tricky, the type of business structure that is outlined in the business plan can help an owner avoid large tax payments every year.

The Limited Liability Company Structure

The limited liability company is generally considered the best option for most small business owners, particularly when it comes to owning business commercial properties. It allows for leasing and loans to be paid out without accruing self-employment taxes, since any income reported for this tax must fall under the actual occupation of the landowner. Assuming the landowner is not in the business of making loans, any rent or lease payments would not fall into this category.

The General Partnership

This form of business ownership spreads the financial responsibility evenly among multiple owners of a business. This includes any real estate or lease income owned under the company name.

The C Corporation

Usually indicated by an Inc. or Ltd. designation, the C Corporation is the most complicated kind of business structure, and will cause the owners a considerable amount of startup costs. The owners of this kind of business are considered separate from the corporate entity, and therefore not personally liable for any taxes or legal fees. Many owners will personally hold commercial real estate while leasing it to their own corporations, providing a personal income separate from that of the corporation.

If you’re looking to lease commercial property, chances are you’re also looking to hire experienced commercial real estate brokers as well. Luckily, good commercial real estate brokers can often be found in the same locations as your favorite residential agent. Of course, there are also other avenues for locating the perfect broker to help you lease you dream commercial property.

Where to Find Commercial Real Estate Brokers

Most large and readily recognizable residential real estate agents are also certified and experienced as commercial brokers or consultants. The advantage of exploring your options at a real estate agency is that you may already be familiar with the brokers from a residential purchase. These individuals are generally full-time agents who deal with nothing but property, so you can be sure of their experience. The drawback to using these high-profile agencies is that they may lack the discretion of commercial business brokers, since they may have more residential than commercial experience. You can check a broker’s credentials with the IBBA.

Ask your friends and other business owners if they can recommend a good commercial real estate consultant or broker. Generally, you can get honest answers from word-of-mouth recommendations, so you’ll know who to avoid and who to seek out when you enter into a lease.