Why You Need a Commercial Real Estate Agent
Looking for an affordable location for your business isn’t easy, and it can be tempting to try to sift through all the listings and negotiate with the seller yourself to save money. What you may not realize is that a commercial real estate agent may actually save you more money – and contrary to popular belief, businesses hardly ever pay their commission out of pocket. Bring an expert on board to make sure you get the best possible deal on your new location.
What Commercial Real Estate Agents do
If you look at your own facility and negotiate the contract yourself, you’ll be dealing with a listing agent, who is charged with representing the landlord’s interests and maximizing the returns for their client rather than finding the best fit for you. When it’s time to negotiate a contract, only one side of the table has extensive experience with commercial real estate, putting you at a disadvantage.
A commercial real estate agent (also known as a broker) looks out for you by finding properties that fit your company’s needs and offer the best potential profit. They can leverage their experience and understanding of local markets both during the property search and negotiation stages. This not only puts you on equal footing with the landlord’s side as far as contract experience is concerned, it also helps the rest of the deal progress quickly. Your agent has been through this many times and thus can streamline the process, which will include negotiating terms (perhaps several times), completing a hefty amount of paperwork, and making offers on your behalf.
Having an agent’s sharp eyes and ears during the negotiation period is equally invaluable. Negotiations are extremely complex and an agent who knows what to look for will be able to find hidden charges or other profit centers for the landlord that an untrained eye may not notice. Potentially harmful clauses may be hidden in the lease behind legal jargon, and a good agent should be able to interpret them and negotiate more favorable terms.
How to Find a Commercial Real Estate Agent
Look for a commercial real estate agent who has extensive experience representing tenants, not just landlords (some firms represent both). That experience requirement extends to the business itself – it should be well-established in the community, which means that your representative will be familiar with the local market and the firm is financially stable and has roots in the community.
When you meet agents in person and interview them, you’re not just looking for answers to questions – you’re also looking for a thorough individual who can foresee and dodge potential pitfalls, shepherd you through negotiation with an eye on getting you the best deal, and otherwise persistently pursue the best outcome for your business. The best agent for you will maximize their experience, network connections, and eye for detail to find the right location for you so that you can focus on what’s truly important – growing your business.
Once you’ve decided that you’re ready for a real estate agent, call Craig Byers at 319-294-3339 to set up an appointment.