I currently have an online business that has grown over the last year due to my attending our local downtown market. Also, I have given classes, and had some free publicity in our local newspaper. I want to take it to the next level and open a garden shop which will allow me to offer plants, garden decor, classes, display gardens etc. I have looked at several houses on a well traveled highway that are now being rented as commercial. The shop setting as a house, versus retail space is what I want so that I can offer the above. My idea is to offer a "unique garden experience" I live in a suburban area, and the big box stores are about 15 minutes away. I have researched the traffic count, need for a shop etc. and feel this would be a good place to rent a house. My question however, is like most people starting out, I don't have a lot of money. The house I want is being remodeled, and the rent will be about 900.00/month. I think this is a little high, especially for the area. How can I work with the owner to reduce the rate?, what incentives can I offer? Anyone ever successfully done this?
Karen
www.GardenChick.com

Karen
www.GardenChick.com

Congratulations on your success! Sounds like you did all the right things to grow your business.

As far as taking it to the next level, you want to be very careful. Your expenses will be pretty high (compared to an online biz). You will have the rent, utilities, taxes, payroll, more inventory/supplies, advertising, permits, accounting, etc...
Be sure to write up your business plan first so you're absolutely sure it's the right time for the big leap.

As for the rent, if it's a commercial lease it should be negotiable. You don't necessarily need to offer incentives. If anything, the owners should be offering you incentives. For example, it is customary to get the first 1 or 2 months rent free while you develop a customer base. Some owners will foot the bill for remodeling.

Good luck!

Sylvia
http://businessplanmentor.com
Business plan and start up resources

>The house I want is being remodeled, and
>the rent will be about 900.00/month. I think this is a little
>high, especially for the area. How can I work with the owner
>to reduce the rate?, what incentives can I offer?>Karen
>www.GardenChick.com


Hi, Karen. Make the owner aware that you're knowledgeable in terms of comparable rental rates. Even if you feel that this is the perfect place for your business, having specific alternatives will put you in a better bargaining position.

Would sharing space be feasible for you? If so, and the owner was agreeable, that might be a solution. You wouldn't necessarily have to split the space and cost 50-50. Someone with a need for a small amount of office space might be all you need to make it affordable enough.

You might even find someone in a complementary business that could be an added value to your business because of your shared location.

If the rent is higher than comparable properties in your area, you should still try to negotiate a lower rent. Then, you could propose a shared space and cost arrangement, contingent on your finding someone.

Nancy
Cheap Advertising Ideas
http://www.CreateYourMarket.com

What a great idea about sharing the space, especially with someone in a comparable business. I will give this some thought, and see what I can come up with.
karen

Karen
www.GardenChick.com