It is where a company secures the property on behalf of their employee, usually because they’re relocating from abroad or from another city. Under this arrangement, the company, and not the individual, is responsible for all the tenant’s obligations, including the payment of the rent and all the utility bills. Although the company is your tenant, most companies will have some written agreement with their employee to ensure they look after your property as if they were the tenant themselves.
On the whole, having a corporate tenant can be the most desirable of all rental agreements. As London continues to accommodate a thriving and expanding expatriate community it would seem like the obvious choice for many landlords. However, there are risks to take into account and handling a corporate tenant is very different from having an individual to deal with, whom you can meet and negotiate with on a one-to-one level.