A self-storage company can be wonderfully profitable. Residents consistently need storage for their personal items, so this kind of enterprise is extremely reliable if you can hit the right markets.
It will take some time and preparation until you set up the company and acquire everything you need, but it will likely become a lucrative venture in the end.
Remember to invest significant time into the research phase, and don’t forget to trust only highly reputable companies that’ll supply your business with the materials you require.
Find our list below of practical steps to follow for a successful self-storage company.
Research the market and the local demands
Before you invest a lot of time, money, and efforts into your startup, it’s important to carry out a thorough research stage.
Is there a realistic demand for such a business in your area? Do you need to arrange for extra financial support such as a business loan? How many self-storage companies are currently operating in your area, if any? What services do they offer?
These are all questions that need to be answered right before you take the first steps, although they’re not necessarily deal-breakers. Find out everything about your competition, and outsmart it!
Estimated costs, and things you need for your startup
Starting such a business requires some essential investments. The startup costs are the most expensive, since this is when you will purchase or rent land, buy the materials and acquire the containers that will be available to rent by the customers.
Besides these costs, you will also need to pay for the setup of your website, and for the promotional materials that you will use to advertise your business; brochures, online ads, local media ads, and more.
Also, don’t forget about the eventual planning permission from local authorities. Consider all these costs when you construct your business plan.
Furthermore, consider some additional items that you may need on the site itself. These include floodlights, access gates with secure key codes, and welfare facilities for customers and staff. This could include toilets, an office, a waiting room, a canteen, or anything else that may be needed in a remote outdoors location.
As we’ll see, shipping containers make for perfect storage solutions, but they also provide great options for welfare facilities. For more information, see the site accommodation section of our website.
Synthetise information into the business plan
Now it’s time to write the business plan. This is an extremely important document containing essential information about your future business strategy:
- Describe your objectives and goals.
- Create a summary of your company, including its location, main structure, amenities and ownership details.
- Establish main products or services offered by your business.
- Create an infographic on current market analysis and demands.
- Describe your marketing goals and strategies that’ll be implemented. Read our self storage marketing guide.
- Establish an investment plan that outlines the general costs for starting up a storage company, plus the running and maintenance costs for the first few years of operation.
- Seek out professional help for bookkeeping and accountancy, and establish key tax and legal information.
The location and tools to start a business
At this point, you may already have the necessary capital to put your ideas into practice. Firstly, you need to arrange for the land. If you own land, you don’t have to go through the hassle of renting or purchasing space for your business. Then, it’s time to source your storage containers, which is something that the team at Willbox can certainly help with.
Ensure the purchase of different sized shipping containers, because customers have different demands – not everyone will want to rent a 40ft container. Diversity is the key, and another key is represented by budget-friendly prices. If you can manage to offer customers the right choice and a price-point that they can afford, you’re geared for success.
Why shipping containers work for storage
Nobody likes having their home jammed with possessions that are not required on a daily basis. Shipping containers are a convenient spacial size for residents to hire, and a convenient size and structure for landowners to use.
Shipping containers are highly affordable solutions, and growth is scalable for a storage business that’s using them. This affordability should be passed onto the customer that requires storage.
Shipping containers are fabricated of the toughest steel that provides security, but they are also weather-proof. Stored goods and possessions will be protected from damage.
Shipping containers are a good investment. They retain their value because of their effectiveness and durability, and can be sold on without significant loss.
You have a number of options in acquiring a shipping container. Firstly, you can rent one for an agreed period of time. Secondly, you can purchase a container outright. Another popular choice is the lease purchase option, which enables our customers to lease a container with the option of buying later.
For more information about the wide variety of shipping containers available to buy or hire from Willbox, get in touch today.