When it comes to running a successful business, every penny counts. One area where businesses can find significant savings is by avoiding business rates on empty property. Empty property rates can add up quickly and become a burden on business finances. However, there are ways to legally avoid paying business rates on vacant properties. In this article, we will explore some strategies for saving money by avoiding business rates on empty property.
One of the most effective ways to avoid paying business rates on empty property is by applying for an exemption or relief. There are several types of relief available for vacant properties, including:
1. Small business rate relief: If your property has a rateable value of less than £15,000, you may be eligible for small business rate relief. This can result in a significant reduction in your business rates bill.
2. Charitable rate relief: If your property is owned by a charity and is used for charitable purposes, you may be eligible for charitable rate relief. This can result in a 80% reduction in your business rates bill.
3. Temporary exemption: Properties that are empty for a certain period of time may be eligible for a temporary exemption from business rates. This can provide businesses with breathing room while they work on filling the property.
It is important to note that different locations may have different rules and regulations regarding business rates relief, so it is important to check with your local council to see what options are available to you.
Another way to avoid paying business rates on empty property is by actively using the property, even if it is not currently being used for its intended purpose. For example, you could rent out the property for events, use it as storage space, or even lease it out to other businesses on a temporary basis. By being creative and finding alternative uses for the property, you can avoid paying expensive business rates on an empty property.
If you are not able to find a temporary use for the property, you can still take steps to reduce the amount of business rates you owe. One option is to challenge the rateable value of the property. You can do this by providing evidence that the rateable value is too high, such as recent rental values or changes in the local area. If successful, this can result in a lower business rates bill for your vacant property.
Another option for reducing business rates on empty property is by negotiating with your local council. In some cases, councils may be willing to provide discounts or payment plans for businesses struggling to pay their business rates. By reaching out to your local council and explaining your situation, you may be able to negotiate a more manageable payment plan for your empty property.
In conclusion, avoiding business rates on empty property is possible with the right strategies and knowledge. By exploring exemptions and relief options, finding creative uses for the property, challenging the rateable value, and negotiating with your local council, businesses can save money and avoid the financial burden of paying business rates on vacant properties. With these tips in mind, businesses can take control of their finances and focus on growing their business without the worry of expensive business rates on empty property.