Having your own storage units might sound like a good business, but you should first do your research and know all the costs and risks that come with it. If you invest some time and learn about the business, it not only decreases your chances of making a beginner’s mistake, but it will also help you grow into an even better business. In the last several years, the housing crisis has actually helped the self-storage businesses. Families are moving into smaller houses and need a cheap place to keep their household items and furniture. This can be a lucrative business, but you still need some starting capital. Here are some tips on how to start off well and keep develop your business further.
Starting off
First off, you need to do your research and develop a good, solid business plan for your storage facility. Look for storage facilities in your area and how many there are, especially in the areas where new homes and business complexes are being built. Try to find out how much it costs to start a storage business, how much it costs to operate it and the projected revenue. This information and some other that you might need can be obtained in the office for small businesses, or the Chamber of Commerce. Make sure you talk to officials and obtain any business or land licenses before starting your company.
Location
When you start a business, you want it to grow, this is why it’s important that the area you open your storage facility in has demand for more storage units. Research the competition and evaluate the market. If there are storage sites that have been open for several years and aren’t fully occupied, this means that there isn’t a lot business in that area and you should start someplace else.
The area where the occupancy is over 90 percent is good for business, but nevertheless research it further. Consider hiring a consultant to help you with the research and estimate, investigate the land and see if there’s a place for a self-storage development. It’s important to find the land on which you are actually allowed to build. Flat, properly zoned, affordable and visible piece of property with high traffic would be perfect. Another big pro would be proximity to population centers or closer than your competitors. It’s highly unlikely you will find all of these in one place.
Advertise
Advertising is very important for an up and coming business. If you have storage units for rent, let people hear about it. You can advertise in the papers, radio stations, hand out fliers around town or create a website, advise experienced Sydney-based storage pros. Local media could also help you with advertisement if they do a short story on your business. Tell people what services you offer and what kind of storage facility are you running. Consider offering quality mobile storage solutions: because of the housing crisis, people need to store their household items somewhere and this proved to be a great option.
Funding
Before starting off, make sure you have proper funding for all your operations. This might require that you to spend your savings or take a loan from a bank. If you’re not sure about financials, consider hiring a professional to help you with everything and keep things in order. Make a plan for your financial needs and decide what the money will be used for.
Storage business is very lucrative at the moment. But, don’t rush things and go headfirst into opening one. Do your research and follow these helpful tips to get you off to a good start and later help you develop your business further.
