The Ultimate Guide to Affordable Conveyancing For Business Owners

When your business requires physical premises, you may choose to rent a building or lot, however, this can often come at a cost in comparison to buying.

If, however, you decide to buy a property for your business in the South West, you’ll need the services of a commercial conveyancing solicitors in Bristol, local estate agents and some local knowledge to pin point the perfect plot.

In this article, we’re sharing the ultimate guide to affordable conveyancing for business owners.

What is Commercial Conveyancing?

The term ‘conveyancing’ covers all of the legal aspects of buying or selling a property and, while this is fairly straightforward for residential properties, commercial purchase can be a little trickier. Conveyancing can present a significant cost to a business as this will generally be charged at between 0.5% and 1.25% of the value of the transaction; i.e. the price of the property.

The process of conveyancing is designed to protect you as the buyer through a number of important checks on both the property and the surrounding area to make sure that the purchase is a viable one.

While it is technically possible (and certainly not illegal) to perform conveyancing tasks yourself, this is rarely a good idea as errors made due to inexperience can be costly and can even land you in legal hot water.

The process of conveyancing will usually take between six and eight weeks in the UK, but this can vary depending on the complexity of the transaction.

Commercial Conveyancing for Limited Companies

A Limited company is one which is a standalone entity, distinct from its owners. This has a number of advantages including limited financial liability for the owners should the business fail, easier access to loans and credit and some tax benefits.

While there may be tax benefits, buying property through a limited company will usually incur extra costs of between £500 and £700 as extra checks are required.

Affordable Conveyancing for Business Owners

While there’s no avoiding conveyancing fees when purchasing a property for your business, there are a few ways in which you can keep costs as low as possible, including:

Shop Around

Although all conveyancing solicitors carry out the same tasks, their fees can vary widely from company to company and from county to county. For this reason, it’s important to gather as many quotes as you possibly can in order to make a comparison before committing to a company.

A conveyancing company will charge a fee for each activity carried out so it’s important that you compare each charge rather than just the whole amount quoted.

Do Independent Research

When purchasing your commercial property, your estate agent will almost certainly recommend a conveyancing company to you. While this may be convenient, it can also be costly as the estate agent will, in many cases, receive a commission from the conveyancing company which will be factored into your fees.

By law, your conveyancing company must disclose any fees that they are being paid by the estate agent but it’s a good idea to also ask your estate agent about this up-front as you may then be able to negotiate on this.

Consider Doing Some Searches Yourself

Conveyancing is made up of a number of sections including:

• Pre-contract searches
• Commercial property standard enquiries
• Local council searches
• Land registry searches

Some searches – for example, local council searches, are not mandatory (although they are recommended and, a mortgage lender may refuse your application without these).

If budgets are tight, it is possible to conduct these searches yourself; however, if doing so, you should consider No-Search Indemnity Insurance which will cover you for any loss which occurs through any adverse entries which may have been brought to light during a search

Check the Fine Print

When searching for a conveyancing solicitor for your business you are likely to come across a large number of adverts offering these services for a surprisingly low fee.

While the price may look good on first glance, these companies are the Ryanair of conveyancing and, in most cases, once you’ve signed on the dotted line, you’ll find yourself being bombarded with lots of extra charges.

If you absolutely, positively want to go with one of these deals, always read the small print. Check for any additional fees and charges and, where possible, ask a solicitor to check out the pre-contract information for you to make sure that it’s all above board.

Affordable conveyancing for business owners…

For a business owner, the acquisition of a property will almost always be the largest purchase that you will ever make and so cutting corners is usually not recommended when it comes to your conveyancing.

Having said that, as we’ve detailed in this article, it may be possible to trim the costs a little when purchasing your property and this is done by making sure that you conduct research and comparisons, thinking carefully about which services you do and don’t need and avoiding any great deals that may turn out to be duds.

Many people find conveyancing solicitors a little intimidating but, always remember that they are working for you and, as such, don’t be afraid to ask questions and demand clarification on which services are being performed on your behalf.

Please be advised that this article is for general informational purposes only, and should not be used as a substitute for advice from a trained legal professional. Be sure to consult a lawyer/solicitor if you’re seeking advice on conveyancing for business owners. We are not liable for risks or issues associated with using or acting upon the information on this site