Temporary premises after a disaster: relocating and funding it

When the building is gone or unusable for months, the business doesn’t have to be. Plenty of businesses have kept trading from a borrowed kitchen, a shipping container, a spare shop down the road or the owner’s garage while the real premises were rebuilt. The customers they kept made the recovery possible.

business.gov.au’s guidance after an emergency suggests considering temporary relocation to business centres, hotels or co-working spaces, working from home, and using virtual office services such as answering and mail forwarding. Here’s how to think it through.

What temporary options are there?

Option	Suits	Speed	Watch for
Short-term lease nearby	Retail, services, offices	Days to weeks	Bond, fit-out, lease length
Shared commercial kitchen	Food businesses	Days	Hours available, food licensing
Shared workshop or factory space	Trades, manufacturing	Days to weeks	Equipment compatibility, insurance
Co-working or business centre	Office-based businesses	Immediate	Cost per desk, privacy
Shipping container or portable building	Trades, rural businesses	Weeks	Council approval, power
Pop-up at markets or a partner’s site	Retail, food	Days	Range and stock limits
Work from home plus virtual office	Services, professional firms	Immediate	Client meetings, security

Is it worth the cost?

A quick comparison:

1. Estimate how many weeks until your own premises are usable.
2. Estimate trade you’d keep by operating from a temporary site.
3. Add up the temporary costs: bond, rent, fit-out, moving, hire, signage.
4. Compare — and remember the customers you’d lose permanently by staying closed.

Our shutdown cash runway tool helps put numbers against staying shut.

Will insurance pay for temporary premises?

Possibly. Some business interruption policies include increased cost of working — extra costs you incur to reduce the loss of trade, such as temporary premises. There are usually conditions and limits, and insurers often want to agree the costs first. Ask in writing before you sign a lease.

Also check your lease on the damaged premises. Many commercial leases address what happens to rent when premises are damaged and can’t be used. Talk to your landlord early, and keep it in writing.

What will the move cost?

Cost	Notes
Bond or upfront rent	Often several weeks or months
Basic fit-out	Shelving, benches, lighting, signage
Equipment hire	Until replacements arrive
Moving and storage	Salvaged stock and equipment
Utilities and connections	Power, internet, phones
Marketing	Telling customers where you are
Double rent	If rent is still payable on the damaged site

If these costs arrive before any insurance money, ask us about funding the move — a real person will look at it, and there’s no credit check when you first enquire.

How do businesses fund temporary premises?

• Unsecured working capital — typically $5,000 to $500,000, sized on turnover and bank statements. Suits businesses still trading in some form. See unsecured emergency cash.
• Property-secured loan — $20,000 to $5,000,000 over residential or commercial property. Suits larger relocations or where the business is fully closed. See property-secured emergency funding.
• Bridge to an insurance payout — if increased cost of working cover applies, fund now and repay when the claim pays. See insurance delays.

Illustrative example only: a physiotherapy practice’s rooms are flooded and will take four months to repair. The owner leases two rooms in a nearby medical centre for six months, hires equipment and redirects the phones. An unsecured facility pays the bond, hire and signage; business interruption cover later reimburses part of the extra cost.

How do you tell customers you’ve moved?

• Update your Google Business Profile, website and social media
• Put signage on the damaged premises with the new address and phone number
• Text or email existing customers
• Ask neighbouring businesses to pass the word on
• Keep your phone number the same if at all possible

What should go in your plan for next time?

Knowing where you’d go before you need to is valuable. Our one-page business continuity plan includes a “where we’d trade from” section — a neighbour’s premises, a shared kitchen, a co-working space — with contacts.

What should you check before signing a short-term lease?

Temporary premises decisions are made quickly, which is when mistakes happen. Before you sign:

• Length and exit. Can you leave early if your own premises are ready sooner? What notice is needed?
• Permitted use. Is your type of business allowed there under council zoning and the lease?
• Licences and registrations. Food, liquor, health and trade licences may need updating for a new address.
• Insurance. Tell your insurer about the new location, and check the landlord’s requirements.
• Utilities. Power capacity for your equipment, internet speed, water and waste.
• Access and parking for customers, staff and deliveries.
• Make-good obligations when you leave.

A short checklist now avoids a second disruption later.

Can you share space with another business?

Some of the fastest temporary arrangements come from other local businesses: a café that closes at 2pm letting a caterer use its kitchen in the evening, a builder’s yard with a spare shed, a professional firm with an empty office. After a big event, local business chambers and councils sometimes help match businesses with spare space. Put the terms in a short written agreement — who pays for what, insurance, access hours and how either side can end it.

Ready to keep trading while you rebuild?

A temporary base can be the difference between a recovery and a closure. If the move needs funding, we can help.

You’ll speak with an actual person who has your details in front of them. Asking what’s possible costs nothing and leaves your credit file exactly as it is. We don’t farm out enquiries — one team holds your file from start to finish.

The more precise you are about the amount, the purpose, your state and any property, the less time we spend going back and forth. Start your enquiry here.