In the storage industry, whether you are catering to businesses or you’re offering self-storage space to consumers, having enough storage space to meet client demand is crucial. This is fairly straight forward. The more storage buildings you have, the more storage space you can offer. The more storage space you can offer, the more money you can make. It really all boils down to that. It all really is that simple.
With that said, saying that you want to put up storage buildings is probably the easiest part of the building process. It’s one thing to realize that you need new storage buildings. It’s another to actually have the capital to make it happen.
But what Type of Building?
If you are going to be building traditional style storage buildings, you can easily get in a way over your head. There are a few issues which make them unpredictable:
- You have to go to the bank, get a mortgage, you might even have to use your existing storage space or your complete business assets as collateral just to get that loan. It is often easier to get a mortgage on a prefab building since the bank knows exactly what it’s getting.
- Labor costs are lower.
- Moreover, just because you have a few good years here and there, doesn’t necessarily mean your storage business will be racking up a lot of profit long into the future.
Anybody who’s been in business for more than a day knows that there are good days and there are bad days. There are good years and there are bad years. In many cases, the bad years can stretch on for decades. That’s how crucial it is for you to lower the cost of your storage buildings. It’s also very important to build in a lot of scalability and portability.