Business Rates

[bizideas]

Just a quick question, if a vacant commercial building has a rateable value of £3500 is this:

£3500 = Value of yearly rental
Business rates payable = 48.1p x 3500 = £1683

Does this mean I will also have to pay £1683 business rates aswell as normal rent applicable?

Cheers

Mark

[Joanne_UK]

yes, you have to pay the business rates on top of the rent but you may be eligible to business rates reliefs. (http://www.businesslink.gov.uk/bdotg/action/detail?type=RESOURCES&itemId=1073792393&r.l1=1073858808&r.l3=1074019801&r.lc=en&r.t=RESOURCES&r.i=1073792392&r.l2=1073859221&r.s=e)

[simon369]

Sorry to jump on the thread but its related.

if the rent was £55 a week for premises

Then therefore £2860 a year.

Thats 48.1 x 2860 = £1375 rates for the year. Then would i definately get business rate relief without a questions?

Which would therefor make the rates £687 a year.

Lastly can i pay that monthly? e.g £57 a month.

[Emcar Vending]

Rates can be paid monthy at 1/10th per month for ten months so you would be paying around £69 per month with two months off.

That's the way it works with my council.

[bizideas]

Cool, all makes sense and had a good look around my local council website which helps alot.

Mark

[davidakerr]

Effective lobbying in the Scottish Parliament by the FSB in Scotland means small businesses whose rateable value does not exceed £8000 PAY NO RATES........Yipee

[Rainbow Chasers']

Crumbs! Don't come down here then! Rates are pretty much the same as the rental rates set at around £15/foot! The last store i rented cost £140 rent per month, and £300 business rates lol!

[Rhodes100]

If your rateable value is less than £10,000 per annum you should be eligible for small business rent relief, its amazing how many business owners are still not applying for this relief. You the original question would be you should be paying 50% of £1683.

Assuming of course that this is the only premises that your business has.

[simon369]

How is the rateable value determined. I thought it was the amount of rent you pay but then its not is it?

The website with the rating list doesnt have the property im planning on moving into on?

thanks

[Rhodes100]

The rateable value is technically the amount of rent that a commerical landlord could obtain on the open market, determined by the government appointed valuer.

Many business owners tie themselves into a lease with a rent way above this figure increasing their risk.

In todays market, where commercial rents are falling there should be plenty of empty premises where the landlord is reasonable, and some will even offer rent free periods.

[simon369]

will the council go along with what rent your paying then.

e.g. i will be paying £55 a week rent. Will they just use that as my rateable value.

thanks

[bizideas]

Great thread, which has cleared my question and gave me an answer and now considering a move to scotland haha