Knowing which storage business ideas to explore is key to your success and profitability. The demand for storage space has been steadily increasing over the years. The need for extra storage is universal, whether it's due to a lack of space, downsizing, relocation, or businesses seeking secure warehousing solutions.
Recession-Resistant
Storage unit businesses have proven to be resilient even during economic downturns. In fact, during challenging times, the demand for storage has risen. Whether you are considering a small operation or a storage business franchise, over 90% of new businesses are successful. This recession-resistant nature of the industry offers stability and security for entrepreneurs, making it an attractive investment option.
Steady Cash Flow
Another reason starting a storage unit business is a good idea is the consistent cash flow they generate. Wondering how much storage franchise owners make? Would it be more profitable to start independently with a small operation?
In 2022, revenue for the self storage industry reached $39.5 billion. More than likely, independent or franchised, your business will be profitable.
Income streams from a self storage business include but aren't limited to the following:
- Monthly fees to rent storage units
- Auction proceeds from past-due accounts
- Fees such as administrative lost key, late, and lock removal
- Sales of moving supplies, locks, and/or other related products
- Leasing moving trucks
Low Overhead Costs
Starting a storage unit business requires relatively low initial investment and operational costs compared to many other businesses. While securing a suitable property and constructing the storage units may involve some upfront expenses, ongoing maintenance costs remain modest. Researching self storage franchises for sale may be a more cost-effective solution. Only you can decide which direction to explore.