Renting a unit.

[Roof101]

Baffled and bemused I was wondering if any of you had any thoughts on or are renting a unit. Is their any benefits? Or pitfalls other than the loss in profit? My theory is that having a unit will give us storage, give us a presence & a face to the business (building/roofing) but as always advice is golden. Would really appreciate what you think?

 

[skenk]

We have a lockup (brick w/roller shutter) which is £30/wk incl vat. That's just about manageable. I would like to have a bigger unit with an office but the rates, rent, sewerage, water, gas, electrics (not to mention paying office staff) mean we need to grow more first. I live on the 3rd floor and couldn't manage without the lockup though.

Unless there are a number of workers in your company it's unlikely to be worth it. Also beware of commercial property contracts... it's a minefield and you have far less 'rights' than with than non-commercial renting (full repairing leases (so you have to fix it up, even if it's in a state when you take it on), unknown rent increases within the term, cannot end the term early etc)

 

[s60tsy]

where i work the rates are silly, so they have to be considered, plus some bills are stupid, we had a 3k water bill but no running water in the unit (surface water) you have to look at if it would pay for itself, we are near a main road so it does

 

[OwainDIYer]

It's a convenient place for all your tools and stock to be nicked from

 

[Roof101]

Thanks for all the replies. It seems like a minefield! It's just an idea to bring more presence to the business, having a place people can see maybe instilling a bit more confidence for customers.

We advertise as much as we can, but it's just coming up with that idea to push it just that little bit further.

3K on water bills! wow!

I have noticed with peoples pockets squeezed & additional competition there is a need to be different & as for tools, I'll send Mr T after them

So maybe is it worth taking the hit to gain more customers/work?

 

[limerockconstruction]

Good luck mate - I admire your ambition to expand and do things others don't.

I'm not sure if an office presence is that effective for a building firm, but you never know?

Keep at it.

I've got a lock up, but its mainly for excess materials, there's no office space there whatsoever.

 

[s60tsy]

A small lock up wouldn't be too bad Id say but a proper full on unit would have to be open when potential customers Turn up, can that be done if you're out on a job? We run a trade counter for roofline Etc as well as other things but It has to be open 5 and 1/2 days a week, basically it has to pay for itself or there's no point doing it, when you're quiet it still needs paying for, which can get you in trouble.

 

[s60tsy]

on the other hand, we moved 3 years ago to a unit with a lot of passing traffic and we have got bigger than ever, we originally fabricated conservatory roofs and have seen lots of places go under, but we now sell frames, roofline etc. and utilise the space more