I have an idea for a new business. I dream about it. I talk to other people about it; tell them I own it already, in fact! I write advertising for it in my head. I can see it with crystal clear vision. I’m tempted to order furniture and other supplies for it. So far, it’s only a domain name I have purchased, but have yet to make real in any other way.
What held me back, you ask? Well, I’ve never ventured into the realm of commercial real estate. This business will require some space; some unconventional space at that. I didn’t know anything about leases, utilities, insurance, etc…and that held me back for a bit; until a recent phone call with an entrepreneurial inner circle I belong to, when I shared my vision and what was stopping me moving forward, and one of the women shared how commercial leases work.
Voila! I had an entirely new level of understanding. Here’s where I was and where I am now.
Driving around the locations I think might be appropriate for my business, I look at buildings for lease. One, in particular, has a sign on it that says “$6-8 per square foot.” I assumed — without investigating — that meant $6-8 per square foot PER MONTH! For 1000 square feet, which is too small for my needs, that would be at least $6000 per month!
I thought it was insane. After all, I don’t live in Manhattan, London, Paris, or the like! I wondered how that could be and how small business could afford it. There’s my ignorance on full display.
I was enlightened on Monday, that those kinds of lease rates are typically based on a 1-3 year lease agreement; the cost is per year, not per month! With that new understanding, I quickly did some preliminary math and discovered I can afford commercial space without too much concern over being able to cover the rent.
The result: I’ve already spoken with a developer who specializes in renovating vacant buildings, as well as a commercial realtor and will be looking at a few spaces next week. I’m not just jumping in; first I will do some market research to ensure there is indeed demand for what I want to offer and also to determine appropriate price points for the service.
My point is this: I was allowing fear to hold me back. Fear that I didn’t have the resources necessary to even move forward. Fear that I lacked something fundamental that would keep me from success. Fear that what I would learn about leasing commercial space would tell me my dream wasn’t going to become a reality.
And think of the very simple thing I needed to do that would allow me to understand what was really involved: All I needed to do was pick up the phone, call a commercial realtor, and ask a simple question — how do lease rates work? That simple.
So what is holding you back today? What simple step could you take to increase your understanding of something that would move you forward in whatever you are striving to achieve?
I encourage you to simply take a deep breath, and do the thing you think you cannot do. You just may literally astound yourself!
