Leaving business premises

A business can stop trading, finish using a building and settle its property position on different dates. These guides help you organise the questions, evidence and continuing responsibilities. Your property and other specialist advisers need to confirm the position for the actual documents and jurisdiction.

Start with the exit route and documents. Then work through the remaining use of the building, proposed works and costs. Keep someone responsible for questions that continue after the keys change hands.

Establish the property position

• Closing or moving: which lease exit route needs checking?
• Turn a lease break review into business closure milestones
• When the tenant and the equipment owner are different businesses
• Leaving premises when the lease file is incomplete
• Old alterations can change the premises exit plan
• Closing a site that has a subtenant or licensee

Agree the work and the remaining use

• What to ask a dilapidations surveyor before you stop trading
• Doing dilapidations works or discussing a settlement
• The landlord wants to keep your fit-out: what needs agreeing?
• Should reinstatement work start before trading stops?
• Can you return part of your premises before the rest?
• Which rooms must be released first for reinstatement work?
• When the next tenant wants to start work before you leave

Manage dates, access and running costs

• When a short premises extension could help a delayed move
• Budget for the period when you have two premises
• Leaving a shared industrial estate without losing essential access
• Do you need access to the old premises after the lease ends?
• Insurance questions for the gap between closure and handback
• Business rates when the premises become empty before the lease ends

Coordinate regulated site arrangements

• Keep environmental permit closure separate from property handback
• What happens to trade effluent arrangements when a site closes?

Keep the later enquiries answerable

• Plan for the rent deposit to remain tied up after closure
• Why property service charge queries can continue after you leave
• Returning keys and confirming the property exit are different tasks
• Plan the business closure when the premises exit date is disputed
• A property claim arrives after the site has closed: what to gather

When the exit will leave machinery, equipment or business contents to sell, UK Auction Group can receive an enquiry. Explain the business use and property dates that affect availability, including any matters still awaiting advice.

Return to Business Closure Guide for retirement, relocation and other closure decisions.