A business lease contract is a formal document created by the owner of a property or any other asset who leases it to a tenant in return for a rent amount and where the tenant agrees that he will use the asset for only business or commercial purposes. A business lease contract helps companies which do not have enough capital to buy all the necessary assets required to conduct business. It also helps a company which has contracts in different places or conducts periodic business and hence does not need to possess the asset all the time. It saves the companies the hassle of storing and maintaining equipment as the asset is only leased for a particular duration.
Sample Business Lease Contract:
Name of lessor: Ryan Reynolds
Address: 811 Greenview Avenue, Oakland
Name of lessee: Build Hard Industries
Address: 132 Malt Lane, Oakland
This business lease contract has been entered on March 22, 2012 by the lessor and lessee for a period of 5 months during which the lessee shall have the right to use the equipment owned by the lessor for the construction of a road from Atkins Lane, Oakland to Roman Intersection, Oakland.
Terms and Conditions:
- The lessee shall pay the lessee a monthly rent of $5,000 and a security deposit of $10,000, which will be returned to him at the end of the contract.
- The lessee will be responsible for maintaining the equipment and must follow all the safety standards while operating it
- Both parties must give 30 days’ advanced notice to terminate the contract
Signature (Lessor) Date
Signature (Lessee) Date