What happens if I want to close my business before an Ontario commercial lease term ends?

Closing your business doesn't end your obligations under the lease on its own — unless the lease includes an early termination right, you generally remain responsible for rent for the rest of the term, even after you've stopped operating out of the space. Simply locking the doors and walking away typically leaves you exposed to a claim for the remaining rent, subject to the landlord's obligation to make reasonable efforts to re-lease the space and reduce its own losses rather than letting the space sit empty and claiming the full amount regardless.

Realistic options if you need to exit early usually include negotiating a surrender of the lease directly with the landlord, often involving a lump-sum payment or giving up your security deposit in exchange for being released, or finding someone to take over the space through an assignment or sublet if your lease permits it. Landlords are sometimes willing to negotiate a reasonable exit, particularly if a suitable replacement tenant is available, since re-leasing quickly serves their interests too.

Because simply stopping payment and leaving creates real financial exposure, talk to your landlord, and get advice, before closing the business rather than after you've already vacated.