What happens if you sign a 5 year lease and you break it?

Hi, I just started a business and it seems it might not make it. I signed a 5 year lease with this shopping center. What happens if my business fails and I break the lease? Will i have to pay any fees? Or think i can just walk away without paying? Any helpful information will be appreciated.

Thanks

If you break the lease you still pay unless the people who own the shopping center will let you out of it. If they do, get it in writing. Sometimes if you can find someone to take over your lease and finish out the time you have left on it, the owners will allow this but it is up to them. be sure you get everything in writing if they allow you to get out of your lease.

they sue you for the money that you havnt paid on the lease yet

You could try renegotiating the lease. But, I think that the owners have you 'hooked' for five years. Hope you have a good day job!

read your lease carefully. it will tell you all the things you need to know. If your lease says you need to pay some thing you May have to pay because of the agreement you made. However everything is not all dark and bleek. you may be able to get out of paying the breech of contract clause if there is another clausethat states you are not responsible if you buisiness fails. check into. every lease has clauses to help you if need be. good luck.

You pay!

you need to read the lease from top and bottom and see if it discuss this, but I would be lead to think, that you will be held responsible, when you start a business you never sign more than a year lease, then after that you go into 2 to 3 year lease, but any how you will be held to it and there will be fines, no deposit return, i would sit down with the person who lease this space from them and be frank and honest with them up front and express your concerns and maybe they will work something out with you that is fair to them and you after you, get advise from a lawyer so then you know where you stand.

Generally, you are still committed to pay off the lease term, but, as already advised, read your lease for "opt-out" clauses. Unknowing of your business, maybe your marketing strategy could be up-graded to keep you in business? The best of luck to you.

You aren't the first, and you won't be the last. Technically, you're on the hook for the full term of the lease, but if you or the landlord can find a new tenant for the space sooner, your liability may be reduced significantly.

Don't ever just walk away from the lease -- that is prima facie evidence of bad faith on your part. If you're in trouble, let your landlord know that your business is in trouble and try to work out something with them. Remember that a commercial landlord has a vested interest in seeing your business do well. The sooner you let the owner or management company know about your problem, the better your chance of getting the landlord to work with you to ease your exit.

yes you are responsible for the lease. try to sell your business or transfer the lease to someone else. Otherwise you could always file for bankruptcy if you don't have any other tangible assets.