When you think of the industrial heart of England, what might come to mind? For many, a dusty warehouse is probably not the first thing that comes to mind. However, as this article will explain, industrial properties in Stourbridge are plentiful and these areas are perfect for setting up a business.
In this article we will explain how to legally establish a commercial property in Stourbridge and the advantages of doing so with the help of estate agents in stourbridge. What Are The Advantages Of Legally Establishing A Commercial Property? Many people who are looking to start a business may find it difficult to find suitable premises.
This is because not all commercial properties allow tenants in or they do not meet the legal requirements for operating as such. By establishing your business on a property that is already zoned for industrial use, you can avoid these difficulties altogether.
That being said, legal restrictions may still apply depending on your local area and any special conditions that need be met before construction can begin. Here are some of the main advantages of legally establishing a commercial property:
Easy Access To Utilities – The majority of businesses require access to utilities such as electricity, water, telecommunications and drainage services in order to operate efficiently and effectively; if you plan on having one at all times then it is imperative that you have access to them close by (i.e. within metres).
If you do not plan on having utilities close by then you can look into renting space in an industrial estate where there will be access to these utilities within walking distance from your new
Legal Protection For Business Assets
The most important benefit of legally establishing a commercial property is the legal protection that it gives to your business assets. If you intend to invest in equipment this could include machinery, tools, furniture and computers. If you are unaware of what laws protect these assets then you could face significant financial loss as a result of negligence or breach of duty by someone else such as a third party contractor.
Once you set up a business on a property that is zoned for industrial use, you can choose to either elect Business Protection Insurance (BPI) or protect your assets with a legally established Landlord’s Protection Insurance policy. Business Protection Insurance provides legal protection for your business assets such as machinery, computers and equipment in case of negligence or breach of duty by a third party contractor.
Duty of Care For Premises and Premises Equipment
If you own a commercial property, you are required by law to maintain the premises and all of the equipment on the premises in a safe condition. If a third party incurs damage to your premises or equipment due to negligence then you may be able to make a claim for compensation.
By electing to legally establish a commercial property, you are protecting yourself from potential claims for negligence. If you choose not to elect this insurance, then you are responsible for any damage incurred by a third party on your premises and equipment.
Reduced Risk of Collision Or Falling Objects
If you have a business in an industrial area, it is inevitable that there will be a risk of collision with vehicles or objects that fall from the sky. If this were to happen in a commercial premises without protection, you could easily face significant losses as a result of personal injury or damage to your premises.
By legally establishing a commercial property, you can reduce this risk and protect yourself by electing Business Protection Insurance. By doing so, you will have legal protection for your premises and equipment and you will receive financial compensation for any injury or damage caused by a third party.
Reduces Costs and Improves Efficiency
Commercial properties that are established in an industrial area can experience lower rates of tax compared to properties in residential areas.
By legally establishing a commercial property, you can reduce the amount of tax payable on profits and can also gain an advantage over commercial property tenants who are required to pay rates and taxes.
Additional Benefits For New Start-Ups
Echoing the previous point, by establishing a business on a legal commercial property, you can save on rates and taxes and you will also be able to operate more efficiently because you do not have to worry about paying rates and employing staff to collect taxes.
Disadvantages of Legally Establishing A Commercial Property
The main disadvantage of legally establishing a commercial property is the cost of protection. If you opt for Business Protection Insurance, it could cost you upwards of £1,000 per year. If you only require Landlord’s Protection Insurance, it could cost you as little as £80 per year. These costs may be too much for new businesses and larger firms with a large number of assets that would need to be protected.
Conclusion
By following the simple steps laid out in this article, you can make the process of legally establishing a commercial property in Stourbridge quick and easy. The more informed you are about the process, the less chance there is of something going wrong.
There are many benefits to legally establishing a commercial property in Stourbridge. Not only is it safer, but it is also cheaper and more efficient than operating in a residential area. The process is also easier and quicker, meaning you can get back to running your business without delay.
