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Business Relocation Questions

Business relocation happens for many reasons. Usually the more popular reason involves operation costs and/or tax breaks are more attractive in other areas. The economy plays a large role on a business's targeted market which can also affect business relocation as well. These factors often lead to questions, much like the ones below that have been answered by Experts.

If my business is forced to move due to widening of the road, what is available for my business? I was told since this is a road widening project that eminent domain is not involved.

If you own the property in question, you should be compensated. You will receive a summons with notice of condemnation action has been filed. You need to have the property appraised to present to the court. The value of your property will be determined from the appraisal and the evidence that has been presented from the other party. If you lease the space in question, you can file a separate action if there isn't anything in your lease keeping you from doing so. It is possible that eminent domain is involved and you need to consult an attorney about your rights.

My landlord agrees that the conditions in my store are bad and they are willing to let me out of a lease. They have not responded about paying for my business relocation, what should I do?

Before you do anything, try to urge the landlord into a response. You also need to make a relocation list and add the amount of money that it will take to make the move. The list needs to include the actual move, lost business during the move, new stationary with new location, the time and expense of notifying your clientele, and the loss of advertisement that will not benefit the new location. The list is an important document that will allow you to come to an agreement with the landlord as well as your claim if this goes to court. You may be able to convince the landlord to give you free rent in another location of theirs in exchange for the lost revenue.

What options do I have if my landlord won't repair the plumbing in the building? I am losing business daily.

Your situation is known as a "Hobson's choice". This means that in order to fix the issues would be to relocate. The problem isn't the plumbing, rather the fact that the landlord won't fix the plumbing. If the situation is to the point that it is affecting your ability to conduct business, you are what are known as constructively evicted. This means that you are not bound by the lease and you can relocate. You have a couple of options here. The first option is to have a building inspect with the code enforcement to look at the problem and claim that if the problem isn't fixes, that he will red tag the entire building. Your second option is to have a contractor itemize the cost of repair. Next, you will give the estimate to the landlord with the understanding that if it isn't fixed, you will relocate based on constructive eviction and you will sue for the cost of your business relocation.

I want to relocate my business from Oregon to Colorado. How do I do this?

A "foreign Business Incorporation" may be the easiest option for your business. You will need to apply for this in Colorado. Once this is done, you can apply for a license as an out of state business entity and have your Tax ID and license transferred. Once this is done, you can file for dissolution of the business in Oregon. You will also have to file an amendment to your articles of operation to show that your headquarters will now be located in Colorado, and then change your business from a foreign status to domestic one.

Business relocation occurs for many reasons, many of which are out of our control. If you have legal issues regarding business relocation, consult an Expert for legal insight.
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