Subscribe to our newsletter to receive business tips, learn about new funding programmes, join upcoming events, take e-learning courses, and more.
Take the first step to successfully starting and growing your business.
Join for free)
Posted: Mon 19th Oct 2026
11 min read
Reviewed by Amanda Peters, content manager
You walk into a unit and can already picture your business there. The frontage looks right, the layout seems workable and the agent mentions another interested party.
When you’re opening your first store, it’s easy to move too quickly.
Many founders I work with reach me between viewing their first unit and signing Heads of Terms, while there’s still time to check the costs, question the terms and consider another location.
Before making an offer, ask yourself: have I checked enough to know whether this unit is right for my business, or am I relying on how it looked at the viewing?
For each unit you view, keep separate notes under four headings. Record what you know, where the information came from and what still needs checking, keeping estimates separate from confirmed figures.
Customers and location: Record when you visited and who you saw in the area, then consider whether your likely customers were there during your expected trading hours
Total costs: List rent, service charges, business rates and other costs, marking estimates clearly. Ask the agent what the service charge covers and whether additional charges are payable
Lease terms: Note the proposed lease length, any right to end it early and the conditions attached. Identify anything you need explained before agreeing
Layout and facilities: Consider deliveries, equipment and staff breaks. If the toilets are outside the unit, check how far staff would need to walk and how you would keep the business covered while they're away
Start with who you want to sell to, then check whether those customers spend time around the location.
Visit two or three times, at different times and on different days, including your expected trading hours.
Observe who passes, where they stop and which businesses they visit. This helps you judge whether the area attracts the customers you’re hoping to serve.
Similar businesses can offer useful clues about demand, but consider what you would offer and why people would choose you.
Footfall means the number of people passing. A busy location isn’t enough if those people are unlikely to buy from you or are there when you’ll be closed.
Transport, parking and access matter too, because customers need to see your entrance and reach it easily. Consider whether likely customer numbers and average spend would support the weekly sales you need. Lower rent doesn’t help if the trade isn’t there.
Alongside the customer checks, list every cost of opening and running your store.
Start with rent, service charges and business rates.
Service charges contribute towards shared services or maintenance, while business rates are a tax on most non-domestic properties.
Include insurance, utilities, staffing, cleaning, stock and compulsory marketing contributions, checking whether VAT is payable on quoted amounts.
Smaller monthly payments add up, and leaving them out can make the difference between profit and loss.
Jas’s story in my book, The Retail Roadmap, shows why this matters. She chose a suburban shopping arcade for her cafe, with appealing rent and a suitable layout.
Once she opened, service charges and a compulsory marketing contribution put pressure on her finances. Her first opportunity to end the lease through a break clause, a right to leave early, was at year five.
She later recognised that understanding the full costs might have led her to choose elsewhere.
Separate running costs from upfront payments, such as the deposit, professional fees and fit-out, the work needed to make the space ready for your business.
Check when any rent-free period starts and which charges remain payable.
It usually covers rent only, so service charges and business rates normally still need paying, subject to any applicable relief. Your figures should also cover the period when normal rent begins, including quieter trading.
Get the landlord’s proposed terms in writing so you can check the lease length, rent, deposit, rent-free period and repair responsibilities. Rent reviews also matter because they determine when and how the rent could change.
Some landlords request a personal guarantee, which can put your own finances at risk even if you trade through a limited company.
If the company cannot pay, you could be personally responsible for obligations covered by the guarantee.
Before signing, ask your solicitor to explain what you could owe, how long liability could continue and whether the guarantee can be limited or avoided.
For any break clause, check the notice required and conditions attached to using it.
Heads of Terms set out the main proposed deal before the detailed lease is prepared. The lease is the contract governing your rights and obligations as a tenant.
In England and Wales, Heads of Terms are normally marked “subject to contract” and intended to be non-binding, but ask your solicitor to check anything that could commit you.
Legal processes differ across the UK, so obtain advice relevant to the property’s location.
Check the space against how your business will operate, including the layout, equipment, lighting, water and drainage. If you need extraction to remove fumes or cooking vapours, establish whether a suitable system is available.
Where changes are needed, find out whether they can be made, their likely cost and timing, and any landlord consent, planning permission or other approvals required.
Another case study in The Retail Roadmap follows Hannah, who was opening a skincare studio. Her unit had limited ventilation, no fire alarm system and no designated staff area.
Before signing, she brought in a health and safety consultant whose review identified ventilation, fire detection and layout changes. This helped her plan the fit-out before committing money.
Compare the work needed with what another unit offers. A more suitable layout or existing services could save time and money, even at a higher rent.
The agent may ask for an offer before you’ve finished your checks. Respond promptly, explaining what information you still need and when you expect to respond, but don’t let the deadline rush your decision.
Deal first with questions that could change your offer or stop you proceeding. Before paying for detailed design, establish whether the layout and services can meet your needs and whether the likely costs fit your budget.
An initial assessment from a designer or specialist may answer these questions without developing a full design. Final drawings and detailed quotations can usually follow, although some specialist quotations may be needed earlier to confirm affordability.
The detailed lease usually follows Heads of Terms, so get advice on the main obligations before agreeing them. If your offer depends on a survey, permission or another check, ask your solicitor how to make that clear in writing.
First-time founders can overlook costs or restrictions because they don’t know what to check. Someone with relevant experience can help identify those gaps before you commit.
A tenant-side retail adviser, working for you rather than the landlord, can assess the location, costs and proposed deal. A commercial property solicitor can explain legal responsibilities, while a designer or specialist can check whether the space will work.
Choose advisers with experience of businesses like yours. Be clear about what their advice will cover and agree the fee before they begin.
Their advice could save more than it costs by helping you negotiate better terms, budget realistically or decide against a unit that isn’t right for your business.
Where possible, view two or three suitable units, so you have alternatives if one takes longer to progress or the terms don’t work.
Compare them under the same headings, including costs, necessary changes, time to opening and unanswered questions.
Getting your heart set on one unit can shift your focus towards securing it rather than checking whether it’s right; alternatives give you something to judge it against.
Then decide:
Make an offer when the location suits your customers, the figures work and the space meets your needs, with outstanding checks and conditions identified
Investigate further if an unanswered question could change your decision
Walk away if the costs, terms or necessary work make the unit unsuitable
