|
New To The Tanning Business Interested or Future Salon Business Owners discuss Topics Here and Ask Questions To The Pros. |
| LinkBack | Thread Tools |
12-18-2003, 04:08 PM | #4 (permalink) |
Join Date: Nov 20 2003
Posts: 58
Rep Power: 0 | Depending on the rate markup for years 4 and 5 I would probably sign the 3 year deal knowing that the renewal option is there. If the rate for years 4 and 5 is equal or slightly over year 3 then the 5 year option may make the most since. You have to take an educated guess on what your market rents will be considering the economy in your area. |
12-18-2003, 09:00 PM | #5 (permalink) |
Join Date: Nov 9 2003
Posts: 589
Rep Power: 21 | Do you have room in your current location to expand, should the time and money be right? If not, sign the 3 year one. If you have the time and money to expand and the business is there to support the expansion, if you are locked into a 5 year lease, it will hinder your chances of expanding. Just a thought... |
12-18-2003, 09:13 PM | #6 (permalink) |
Join Date: Nov 11 2003
Posts: 48
Rep Power: 0 | I did the 3 year lease just in case things did not go well with the owner of the building, and also because I was scared business might not do well -and I wouldn't be able to carry the lease myself for 5 years. Now my lease is coming to an end and I decided to build instead of renewing another lease. My lease is $20,000 a year here, so it wasn't that hard for me to decide to build after paying $60,000 - Sometimes I wish I had just built my own building and that I had applied all that hard work to something I would eventually own. But you've got to do what you have to do and you hope it works. |
12-19-2003, 02:41 AM | #8 (permalink) |
Join Date: Jan 21 2002
Posts: 2,709
Rep Power: 23 | Tanning salon do better overall in plaza that have good foot traffic. The ecomonic gain of owning your own stand alone building is great. But it has it's pitfalls too. It comes down to the same old saying "location location, location." BTW is this a gross lease or do you pay CAM?(common area maintenence) |
12-23-2003, 09:31 AM | #9 (permalink) |
Join Date: Jan 8 2003 Location: DFW
Posts: 339
Rep Power: 22 | I went with a 5 year on one of mine and I wish it was only 3! The shopping strip has gone downhill in a hurry and I don't think the landlord is doing anything to get new tenants in there. That hurts all of us. Plus a new strip is going up around the corner. In hindsight, I would have only done three and then I could have shut the place down in 1 1/2 years and taken my equipment elsewhere. |
Bookmarks |
Currently Active Users Viewing This Thread: 1 (0 members and 1 guests) | |
Thread Tools | |
| |
Similar Threads | ||||
Thread | Thread Starter | Forum | Replies | Last Post |
Lease negotiations... | cocotan | New To The Tanning Business | 0 | 07-27-2005 04:09 PM |
Truck / Lease write off? | Beachbum110 | General Tanning Industry Discussions | 13 | 04-07-2005 06:42 PM |
Signing a lease | Tanmand | New To The Tanning Business | 1 | 03-20-2004 02:04 PM |