When You Need a Solicitor for Licence to Occupy Agreements

solicitor contract agreement
AymanAyman

Ayman

Author

10th Sep 2025

🕰️ 6 min read (1,127 words)


Quick Facts

  • A licence to occupy  is an agreement that permits an occupier to use premises for a period without granting them exclusive possession or a formal leasehold interest.
  • Most agreements are arranged without lawyers, except in complex, high-value, or long-term scenarios.
  • Businesses are increasingly taking licences for longer periods, which introduces new legal risks and needs.
  • Several firms specialise in reviewing, verifying, and drafting licence to occupy documents, helping businesses feel comfortable with extended occupancy.

A licence to occupy agreement rarely involves a solicitor except in specific circumstances, but as business needs evolve, extended licence periods and higher stakes are accelerating professional legal reviews. This guide outlines those exceptions, profiles the property law firms that help analyse these agreements, and highlights businesses flourishing with specialist support for longer licence terms.

For hybrid and part-time occupancy options that frequently use licence to occupy agreements, read Day Offices: London's Best Options for Remote Teams

When You Usually Don’t Need a Solicitor

Most licences to occupy are simple, short-term solutions for pop-up shops, temporary offices, or interim arrangements, and typically do not require a lawyer. These are designed for speed and flexibility, with informal terms and limited legal consequences if disputes arise.

Short duration: Often used for less than six months.

Low value: For inexpensive, low-risk properties or agreements.

Shared or non-exclusive use: Where the owner retains control and multiple users are possible.

When Exceptions Apply: Cases That Need Legal Expertise

Solicitor input becomes critical when any of the following apply:

Extended Licence Terms: Licences stretching beyond several months (especially over six months) can be mistaken for leases, attracting statutory rights and unintended legal consequences.

High-value transactions: Large sums, fit outs, or significant business dependencies on the property make solicitor oversight essential.

Complex arrangements: Including exclusive possession or where the licence terms overlap with standard lease protections, risks security of tenure and complicated litigation.

Negotiations between buyer and seller before completion: Early access agreements during property transfer often require legal notices and documentation to exclude security of tenure.

Retail concessions or serviced offices: Multi-user spaces and bespoke agreements may need custom drafting and negotiation.

Document verification requirements: Businesses needing to verify property rights for compliance or financing should use a legal professional.

For deeper insight on license to occupy check out our pages on  Licensor Risks  Licensee Considerations  and  Legal Advice.

The Rise of Longer Licence Periods for Business

Businesses are increasingly using licences to occupy for longer periods, seeking cost-effective flexibility while avoiding the obligations of a lease. This trend brings new legal risks and has led to the development of specialist review services.

Many companies now use licences for a year or more, especially for serviced offices, concessions, and fit-out spaces.

Extended licences risk being classified as leases, with associated statutory rights under the Landlord and Tenant Act after six months of continuous business occupation.

Firms That Help Businesses Stay Comfortable Without a Lawyer

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Several legal service providers and tech-enabled review firms help businesses confidently enter longer licences to occupy, ensuring documents are analysed for risks and compliance.

Kayani Legal : Offers comprehensive property document verification and legal advisory, specialising in the analysis of complex licence to occupy arrangements.

Moore Barlow: Renowned for commercial property solutions, with a real estate team advising on tailored licence to occupy agreements.

Stephen Rimmer LLP: Experienced in drafting and reviewing licences for commercial property, with clear guidance for business clients.

Harper James Solicitors: Known for supporting businesses through decisions around long-term licences versus leases, including advice on statutory risks.

Mounteney Solicitors: Specialise in helping businesses navigate commercial licence agreements.

BTMK Solicitors: Focus on strategic, short-term licences for long-term ambitions; strong advisory for growing businesses.

How These Firms Support Longer Licences

These firms provide the following services to businesses considering licences for extended occupancy:

Document verification and risk analysis to prevent licences turning unintentionally into leases, which can trigger security of tenure or tax obligations.

Drafting bespoke licence agreements that reflect business needs while ensuring no unintended legal consequences.

Ongoing advisory for businesses negotiating complex occupancy arrangements, including sector-specific solutions like retail concessions and serviced offices.

While most licences to occupy are handled informally, exceptions such as extended terms, high-value deals, or complex use cases demand expert legal analysis. Businesses taking longer licences increasingly rely on specialist firms, such as Kayani Legal, Moore Barlow, and Harper James, to verify documentation and mitigate risks, allowing them the flexibility and security to occupy property with confidence.

Where to Find Licence to Occupy Templates

For businesses looking to draft their own licence to occupy agreements, reputable providers offer solicitor-drafted templates that balance legal soundness with practical flexibility. These templates are ideal for short-term or non-exclusive arrangements—making them a good starting point before seeking legal advice for more complex scenarios.

Top Providers of Licence to Occupy Templates

British Property Federation (BPF) : Widely used and respected in the industry, the BPF offers a well-structured commercial licence to occupy template suitable for short-term use and tailored for various property types.

Legalo : Legalo provides both residential and commercial templates, written and regularly updated by experienced solicitors. Their templates come with clause-by-clause guidance notes and clear drafting for England and Wales.

Wonder Legal: Offers a customisable business licence to occupy template that can be quickly generated online and downloaded as Word or PDF, catering to various commercial use cases.

Genie AI: Genie AI supplies solicitor-reviewed templates for mutuals, cooperatives and specialist occupancy arrangements, with tailored features powered by AI for legal compliance and clarity.

LexisNexis : Known for their comprehensive legal precedents and frameworks, LexisNexis publishes licence to occupy template documents for property professionals and is a go-to for more complex contract structures.

Key Takeaway

Choosing the right approach to licence to occupy agreements is about balancing speed and flexibility with the legal assurance your business needs as it grows. By leveraging trusted templates from reputable providers and knowing when to seek specialist legal support businesses can make informed, confident decisions on property use for both short-term and extended arrangements. Take advantage of today’s mix of expert-reviewed templates and sector-focused advisers to protect your interests, streamline negotiations, and unlock new opportunities in commercial occupancy.

For readers interested in how to keep occupancy rates high and maximise exposure for office listings have a look at
Office Space Marketing in 2025: How Leading Spaces Are Maximising Occupancy

To help businesses that might be considering flexible, short-term, or rolling licences, read UK Flexible Office Market Sees Highest Take-Up Since 2019

For those weighing up day offices, rolling contracts, or different workspace types, refer to Workspace Definitions: Demystifying Modern Workspace Terminology

For advice on generating income from empty offices (especially by using licences to occupy or rolling arrangements), see Vacant Space Management: How to Make Sure Your Spaces Never Become Idle