As I am a business broker, not a lawyer, I cannot give you legal advice, but what I can do is direct you to the sales contract that you signed when you sold your business, which is actually the instructions for the deal. When a business is sold, the buyer must be approved by the lessor to obtain a sale or a new lease. The seller usually only deals when the buyer has the money to pay the deal, but the owner does not want the buyer to “crush” and has nothing left in the bank account, or worse, put debts into the business. Landlords want to see reserves for a buyer to pay rent for up to six months, and they will ask for a “PFS” or a personal financial plan to assess a tenant`s creditworthiness. As in the case of an SBA loan, they might also want to see tenant experiences that are relevant to the business they are buying. While the landlord cannot tell a landlord how to run a business if he pays the rent and complies with the rules of the rental agreement, he can hardly enter it. There are a number of different circumstances that may require you to transfer a commercial lease. This will most often be the case when you buy or sell a business operated from leased premises. If a business changes ownership by purchase or sale, the lease must of course be made on behalf of the new tenant.
The owner of a store in a commercial store promised to sell the business at the nominal price, because they wanted to retire. He never mentioned what the nominal price would be. First, he stated that the lease expires in December 2020. I kept in touch with regard to the purchase of this company. he keeps confirming that as he approaches the extension of the rental, he will talk to management to rent me this case. Last week, when I approached him for the same purpose, he shocked me by saying that one of the employees of his company offers a price that was three times my expectation. In other words, I could not buy this company if I had to respond to its employee`s offer. I owned a similar business in Toronto at Scarborough Town Centre, where I successfully ran this business for five years and had to sell the business because of my divorce issues. Could you tell me that it would be wise if I communicated directly with mall management, how to let them make that decision based on previous experiences, etc., in that way I would probably be able to bypass the current owner of the business. You must ask the landlord in writing for permission to transfer (transfer) the lease. The lessor may charge you a reasonable amount to cover your legal and other costs related to the acceptance of your request to transfer your lease.
The owner cannot charge you a fee simply because he has given his consent. While the assignment is usually the seller`s responsibility, the owner can and will also ask the buyer for a deposit. A reasonable surety is a month`s rent, but it is also the subject of negotiations. I have seen up to six months of research, and again, it is very negotiable.