A business lease agreement is a legal document entered by a lessor or owner of an asset and the lessee who leases that asset for commercial usage. Business lease agreements can be of many types and are made for various purposes. The most important reason of entering a business lease is that the lessee cannot afford to own a particular asset which is crucial for its business and needs to rent it from another entity. In this way, his business operations are not affected and he does not need to come up with large capital amounts to buy that asset. A business lease agreement is also made when the lessee wants a particular property because it is located at a prime location and so he leases the asset from the owner.
Sample Business Lease Agreement:
This business lease contract has been entered on March 22, 2012 by the lessor Sea View Real Estates to lessee Chi Chang Industries for a period of 15 months.
- Address: 822 Sunny Towers, Manhattan
- Rent per month: $15,000
- Purpose: To be used as the head office of the company
- Area: Two floors of 5,000 sq feet each
Terms and Conditions:
- The property mentioned above shall only be used for the company’s business purposes
- The rent must be paid in the first week of every month or there will be a fine of $100 for every late day
- A security deposit of $30,000 must be paid by the lessee to the lessor which will be deposited in a bank account in the lessee’s name
Signature (Lessor) Date
Signature (Lessee) Date