You are caught up in a catch 22 situation. You need to relocate your business premises but have a temporary cash flow constraint.

According to the SA Chamber of Commerce, businesses in general are experiencing sluggish turnovers along with increased competition, and  rising input costs. This means tighter margins and further pressure on business to "hang in" over the next few years.

Landlords and tenants are in the same boat, so it makes sense for them to be as flexible as possible, so long as the overall risk is properly assessed and managed.

Of course nothing is really free and rental holidays are simply deferred payments amortised over the term of the lease. The success of achieving a 6 month free rental (Basic rent) is totally dependent upon your ability to enter into a strong lease covenant with the landlord.

In determining the strength of the lease covenant, it is likely that you will need to produce copies of your company's audited financials for the past 2-3 years as well as a set for the current period. Financial security could be offered in any one or more of the following: Bank guarantees, property collateral, sureties or share pledges.

We have a few properties that may match your requirements, so why not give us a call and let's see if we can work out a deal for you. T&C applies.

Interested? Contact either Angela or Colin.