In short
When you lease premises to a company, the risk is simple: the rent stops coming in and the space stays occupied until you get it back. Most warning signs can be seen by IDNO in a few minutes, before you sign. Below are the six things to check and what each one means for a lease.
We wrote about checking a business partner in general in a separate company check guide. This one is only the landlord's angle.
Why a company tenant is a different risk from an ordinary partner
A supplier delivers once. A tenant stays with you for months or years, and all that time you depend on it being able to pay every month. If the company goes into liquidation mid-lease, there is no one left to claim the rent from. If the person who signed had no right to sign, the lease can be challenged. That is why checking before you sign matters more than for a one-off deal.
What to check by IDNO
Ask the tenant for its IDNO and look it up on Datero.md. Everything below is on the company's page.
1. Status: the company is active
The first line on the page. A company in liquidation or struck off the register is not a tenant, however convincing its representative. If the status is not "active", there is no point going further.
2. Registration date: how old the company is
A company registered a month ago has no financial statements and no history yet. That is not a reason to refuse, but it is a reason to ask for stronger guarantees: a larger deposit or several months paid in advance.
3. Administrator and founders: who signs
The lease is signed by the administrator or by someone holding the administrator's power of attorney. Check on the company page who the registered administrator is, and ask for the power of attorney if someone else signs. Look at the founders too: if the same people have other companies, you can see what state those are in.
4. Change history
Frequent changes of administrator, founders or registered address right before a new lease deserve a direct question. The full history of register changes is in the "History" tab, on the Pro plan.
5. Finances: can it pay the rent
If the company files financial statements, compare the annual rent with its revenue. Look at profit and equity: negative equity means the debts exceed the assets. If revenue falls year after year, your rent will be one of the payments the company starts putting off.
6. Debts to the state budget: the CNAS list
Datero shows whether the company is on the CNAS list of insolvent debtors put up for claim assignment. The whole list, by amount and district, is on the insolvent debtors page.
Note: if a company is not on the list, that does not prove it has no debts. The list covers only part of the debtors and is updated twice a year.
What to do with the result
- Everything is fine: sign your usual lease.
- A new company or weak figures: ask for a larger deposit or advance payment, and write into the lease who is liable if the company stops operating.
- A company in liquidation, a signatory without signing rights, negative equity for several years: it is probably cheaper to find another tenant.
The check does not end at signing. A company's status can change during the lease, so it is worth looking at the tenant's page now and then, especially if payments start running late.
Frequently Asked Questions
What should I check first on a company tenant?
Its status. If the company is not active, the rest of the check no longer matters.
Where do I get the tenant's IDNO?
Ask the tenant: it is the company's identification code and has to be in the lease anyway. You can also find it by name in the Datero.md search.
If the company is not on the CNAS list, does it have no debts?
No. The CNAS list of insolvent debtors covers only part of the debtors and is updated twice a year. Not being on the list is neutral, not proof.
Who has the right to sign the lease for the company?
The registered administrator, or a person with the administrator's power of attorney. The administrator is shown on the company page.
Can I check a company for free?
Yes. Status, registration date, administrator, founders and the basic financial indicators are free. The full change history is on the Pro plan.
After signing
Once signed, the lease has to be managed: monthly payments, deadlines, indexation, renewals. For landlords and property managers, KX Estate keeps leases, the payment schedule and overdue reminders in one place.