Community//

How to Kick-Start Your Self-Storage Business

Many entrepreneurs are drawn to the idea of running their own self-storage business. Much like a car wash or a similar side hustle, an independently-owned storage facility can provide things such as a consistent income stream, employment independence, equity, and tax perks. People will always need temporary storage as they transition through the stages of […]

The Thrive Global Community welcomes voices from many spheres. We publish pieces written by outside contributors with a wide range of opinions, which don’t necessarily reflect our own. Community stories are not commissioned by our editorial team, and though they are reviewed for adherence to our guidelines, they are submitted in their final form to our open platform. Learn more or join us as a community member!

Many entrepreneurs are drawn to the idea of running their own self-storage business. Much like a car wash or a similar side hustle, an independently-owned storage facility can provide things such as a consistent income stream, employment independence, equity, and tax perks. People will always need temporary storage as they transition through the stages of life. It is an industry for which there will always be a demand. Contrary to popular belief, however, there are many things to know before jumping in.

Just like any business, it is vital to do your due diligence before spending any money or time in starting an actual business. After confirming a market need for your business, the most important thing to research is your competition. An over-saturated market isn’t going to have room for another facility. 

Once you have established a market base, it’s time to research locations and start investing. When writing your business plan, it’s important to state a clear mission statement, along with market research that was completed and a five-year projection on profitability. Once you get investors, it’s time to begin the real work of beginning the business. Depending on the size of the business mapped out in your plan, you will need to find the right size property to build on. Location is key since it needs to be easily accessed by customers. You will want an area that is zoned for business on a road that is heavily trafficked. Anyone who sees your facility should be assumed to be a potential future customer. 

After you have enough funds to get started, it’s important to budget wisely. When it comes time for you to start laying out the funding, there are many costs to consider, including sunk costs. In addition to real estate, this money also goes towards promotional materials, PR, and initial startup costs such as purchasing secure storage units for your clients. If you choose to offer climate-controlled units, that is an additional investment. 

The paperwork involved in setting up a small business can be overwhelming. Be sure to navigate websites like the Small Business Administration in order to learn how to complete all the necessary paperwork, get appropriate licensing, pay the right taxes, and register as the correct business type.

This article was originally published on https://stuartsimonsen.net/

    Share your comments below. Please read our commenting guidelines before posting. If you have a concern about a comment, report it here.

    You might also like...

    Community//

    Marshall Weber: “Customer is always right”

    by Ben Ari
    Community//

    “Review and work on your key data points” With Charlie Katz & Alessandro Seina

    by Charlie Katz
    Community//

    “Follow your vision” With Charlie Katz & Pete Warhurst

    by Charlie Katz

    Sign up for the Thrive Global newsletter

    Will be used in accordance with our privacy policy.

    Thrive Global
    People look for retreats for themselves, in the country, by the coast, or in the hills . . . There is nowhere that a person can find a more peaceful and trouble-free retreat than in his own mind. . . . So constantly give yourself this retreat, and renew yourself.

    - MARCUS AURELIUS

    We use cookies on our site to give you the best experience possible. By continuing to browse the site, you agree to this use. For more information on how we use cookies, see our Privacy Policy.