Nationally, the average cost of a storage unit is $87 monthly and the average cost per square foot is $0.97 per month. You will need to ensure that you get security gadgets installed to monitor activities on the property. This does not however mean that the industry hasn’t met with several challenges especially in metropolitan areas where there is intense competition as there are more companies looking to get a share in this sector. Word of mouth is by far the greatest advertising a business can get. Marketing is an essential part of any business either new or existing because not only does it help to generate funds for a business, it also ensures that awareness is created for the business as well. The founder, 22-year-old Mark Ang of Toronto, was inspired to start the business because of his own need for storage. For a businessperson wanting to start up a new self-storage facility, they would have to have the financial clout (or investor support) to be able to finance the land purchase and the construction costs. The portable segment of the storage unit industry is highly fragmented and generates more than $1.5 billion in revenue every year. Unless you have a large amount of money in the bank, you'll need some type of financing to build your boat and RV storage business. Okay, so we have provided you an in-depth sample storage unit business plan template. Most of what you will need to do after acquiring a land is to build the different units where your customers will store their belongings. For storage facility owners, “it’s their last legal remedy to get back the storage unit to … Know the Possible Threats and Challenges You Will Face, 7. However, the cost of the land is largely dependent on the area where you intend to build your storage units. In order to give yourself the best possible chance, it's essential that you gain a strong understanding of the sector before committing a lot of time, effort and money into getting your business off the ground. It also offers 24/7 access to your boat or vehicle storage. In order to stand out, companies have started specializing in niche areas. 10.) Compared to Big Yellow that’s a huge saving of £1,842 with at a fixed price! Do you want to start a storage unit business? According to a fact sheet from the Self Storage Association, 52 percent of storage unit facilities in the United States are in suburban areas, 2 percent are in urban areas while 16 percent are in rural areas. Press J to jump to the feed. You need to figure out how to make a scalable back-end storage infrastructure out of commodity hardware. Listen. How Much It Cost to Start a Storage Unit Business, Writing a Boat RV Storage Business Plan [Sample Template], 11 Best Mini Self Storage Franchise Opportunities for Sale, 50 Best Storage Related Business ideas for 2021, Starting a Self Storage Unit Company – Sample Business Plan Template, Top 10 Result Oriented Marketing Ideas for Self Storage Units, Writing a Self Storage Unit Business Plan [Sample Template], 2. Conducting a market survey for your business allows you to understand your target market and know what their requirements would be for your business. This does not exclude businesses of whatever size who are looking for a secured location and unit in which they can store their excess business documents. How much money does it take to get in to a Self Storage business? Following a plan will help to get started on a road to success.Author’s Bio: Peter Wayne writes for Ten Storage, a company which offers a spacious place for the storage of vehicles and boats. You can run your storage unit administratively from home especially if you have just one unit. Some of the options that are therefore available for you to explore when sourcing for start-up capital for your storage unit business include; Deciding where to locate your storage unit business is very important because the difference between a good location and a bad one is the ability to recoup your investment within a short period of time. Therefore, some of the basic legal documents that you would require in order to successfully run your storage unit business in the United States of America are; Most entrepreneurs going into this business usually do not have the funds necessary to start the business and so usually approach a bank or private investor to help with the require start-up capital. Most entrepreneurs starting out in this business are usually overwhelmed by all the marketing campaigns that have to be done and so usually hire marketing executives to draft marketing strategies in line with the company’s goals that will attract customers to the business. Some of the items can be gotten as fairly used if you are running on a tight budget. There is no technical, professional or any sort of experience required for any entrepreneur looking to start this business. There is no huge process involved in this business as all that needs to be done is for an entrepreneur to find a suitable location and acquire a property where he or she intends to build the storage units. Therefore, the franchise option is not available to entrepreneurs looking to start the business. On the surface, the self storage business and what it will cost to build storage units looks so simple. The corporation form of legal entity is also like that of the LLC, the only difference being that the corporation is more formal than, and not as flexible as the LLC. If you are however going to be employing people to work for you or you intend to have multiple storage unit locations, then it is important that you build an office facility in the lot where you have your storage units or rent or lease an office facility in town, this will enable your customers to come in and make enquiries. Once you are able to provide these, then you can safely compete against your competitors. Therefore, it is important that you do not locate the business in an area that is too far for your target market or in a seedy area. You cannot build or buy a self-storage facility in a small town of 5,000 people and be successful ' at least not successful enough to make any money with it. etc. The industry according to Dun and Bradstreet generates about $9 billion in revenue annually. Companies in this industry usually provide varying services in order to be able to meet with the differing personal and or business needs and requirements of their consumers. To save money, we were determined to empty it earlier this year and gave ourselves a two month deadline. Self-storage is a fast growing sector of small business and real estate, and it can be highly profitable if you get it right.