Setting up a storage unit business

1. Figure out the services you can offer

There are two main types of storage: container and self-storage. There are pros and cons to each option and what you offer is dependent on how much space you have in your facility and what your budget can accommodate.

When you purchase your facility, you should install 24/7 CCTV monitoring and a state-of-the-art alarm system. This can be costly to set up but will ensure that you are protecting your business as much as possible. Your customers will also appreciate that you are keeping their belongings secure as well.

Some storage companies also provide removal services. This means you can offer a full moving experience for customers and also earn more money for the additional services.

Here are more details on each service:

Self-Storage

Self-storage units are the cheapest service to set up. Each unit is a room within the facility and your customers will have access to their belongings. You can choose whether to make your facility accessible 24/7 or have specific opening hours. This option comes with no extra overheads such as transportation as customers often bring their own goods to the warehouse.

This option is ideal for those looking to serve the local area as it relies on customers coming to bring and collect their goods. However, some self-storage businesses do offer transit services for an additional fee.

Container Storage

Container storage is when belongings are kept in a locked container that remains in the facility. Most businesses do not allow access to goods without an appointment or prior notification once they are in the container as they will transport the container to and from the facility.

A great choice for those looking to provide services in a wider range of locations, container storage prices can be more costly. This is because most container storage businesses have to spend more on overheads. This includes driving belongings to and from the facility. It is also useful if container storage business owners have a vehicle that can comfortably fit a container such as a Luton van.

Removals

Some storage businesses also provide removal services for an extra cost. This can be highly convenient for customers who are moving house as they will rely on your services only. This will require a larger team of storers and movers and you will also be expected to have Goods in Transit in place.

2. Apply for insurance

Once you have purchased your facility, one of the first steps you need to complete is taking out the relevant insurance for your storage unit business. Not only will this ensure you are protected if any problems occur, but customers will see you as a viable establishment.

You will need to arrange the following:

Public Liability Insurance

Public Liability Insurance will ensure that you are protected if the goods are damaged or if anyone is injured. Having this in place will also show that you are a professional business.

Commercial Building Insurance

Taking out Commercial Building Insurance will cover you in case any damage occurs to the facility itself.

Vehicle Insurance

If you plan on offering transit services, you will need to take out vehicle insurance. All vehicles must have full insurance in the UK. You will need to take out commercial vehicle insurance as your vehicle will be used for business purposes. You should also take out Goods in Transit to ensure you are protected at all times.

3. Do your research

You need to decide which areas you want to operate in. Once you’ve shortlisted some locations, research other companies offering the same services.

You can also look at your competitors’ current prices as it is a good indication of what people are willing to pay. If you charge too much then customers will look elsewhere, but if you charge too little then you will struggle to make a profit.

If you plan on operating across a wide range of locations, you will have a larger client base. However, you will need to consider the cost of travelling in your overheads. Likewise, those working locally will have lower overheads, but a more restricted clientele.

Partners can use our Postcode Data Tool to choose areas of operation. It allows you to view high-demand and low-competition locations. This will assist you in targeting your leads and generating as much success as possible.

4. Create a website

One of the best ways to build brand awareness and generate business is by creating a website. Make sure you highlight your services and include that you are covered by Public Liability insurance. If you are also offering removals, you can mention that you have Goods in Transit in place. You should also include your current location and contact details.

You can also add our review widget to your website to show off and build 5-star reviews. This helps to gain organic jobs and build trust among your customer base.

5. Get high-quality storage leads

Compare My Move can help boost your business with high-quality storage leads. Whether you are starting a storage business for the first time or have years of experience in the industry, you can benefit from lead generation.

Thanks to our no-commission business model, partners keep 100% profit from all jobs. This means you don’t have to worry about any additional costs such as referral fees. We also don’t show your prices, meaning you quote the customer and avoid a race to the bottom. This ensures that you have the best chances of growing your business and generating success.

Learn more on partner success with our case studies.