Chapter 2     Fun Self Storage Facts

• The self-storage industry over the past 35 years has been one of the most profitable and fastest growing business opportunities in the United States.

• The self-storage industry in the United States grossed approximately 24 billion dollars in fiscal year 2013 and is projected to grow approximately 30 billion by year 2019. This is a projected increase in growth of one billion dollars per year for the next five years.

• Self-Storage new construction is booming throughout the United States, with over $580M spent in 2014.

• Key drivers impacting the explosive performance in self-storage include the fact that there is little need for tenant improvements or paying lease commissions, which results in a higher net rental income than other commercial alternatives. Low maintenance requirements also contribute to an increased bottom line in performance. Self-storage has a low level of revenue volatility meaning self-storage is generally consistent regardless of economic conditions.

There are over 50,000 self-storage facilities today in the US. Compared this to 1984 when there were 6,601 facilities. Owners who own just one facility comprise over 30,000 of the 50,000 plus self-storages in the U.S. today.  But the word is out and the large REITS and other wealthy organizations are pumping in millions and millions of dollars of smart money, buying recorded numbers of self storage facilities.

• Increasing population, mobility and rising household formations, together with a limited pipeline, will keep self-storage conditions exceptionally tight.

• Americans continue to store more stuff year after year. Approximately 9% of all American households currently rent a self-storage unit.

• There are currently more self-storage facilities in the United States than there are McDonalds and Subways combined.

• Some 68% of all self-storage renters live in a single-family household; 27% live in an apartment or condo.

• Some 65% of all self-storage renters have a garage but still rent a unit; 47% have an attic in their home; and 33% have a basement.

• The approximate self-storage demographic distribution of U.S. households are as follows: 32% urban, 52% suburban and 16% rural

• The average revenue per square foot varies from facility to facility; however, here is the data for Q3 2014: $1.20 PSF for non-climate controlled 10′ x 10′ unit and $1.53 PSF for 10′ x 10′ climate controlled unit.

• Some 47 percent of all self storage renters have an annual household income of less than $50,000 per year; 63% have an annual household income of less than $75,000 per year.

• As the U.S. economy continues to build momentum, demand for self-storage facilities will continue to rise.

Must Read, Bloomberg Self Storage News June 2017

Bloomberg news recently published this Self Storage video & article you need to check out.  I often skip videos but don’t miss this one to hear about how self storage and apartments rent for the same price per square foot but self Storage cost much less to build and operate for more profits.  ExtraSpace management talks about $600,000 NOI per store.

If a slow moving machine with little to no sales and marketing can make this much, imagine how much you can make with The superior Storage Authority systems and sale and marketing platforms.

https://www.bloomberg.com/news/videos/b/2136db56-6ba2-473c-b665-79baec538ae0    video

https://www.bloomberg.com/news/articles/2017-06-13/the-hottest-industry-right-now-is-storing-all-your-stuff article

Cheers,

Marc

Your Self Storage

Planning – Site Selection – Design – Build

Over 150 proven ideas to save you time and money and make you a success!

By Marc Goodin

Chapter 1

Should You Take Control of Your Destiny with Self Storage?

So you’re looking for something different?  Maybe you were like me and enjoyed a great career but after twenty-five years doing the same thing you thought it was time for a change.  As a civil engineer I worked with a lot of business owners and entrepreneurs but most of them did not have the life style, flexible work schedule and income I desired.

There was one guy who had both time and money and he owned self storage.  His visit to my office over 26 years ago changed my life.  Please let me share what I learned from that visit and later experienced firsthand to be true.

Why Start a Self Storage Business When I Already Owned a Very Successful Business?  (Civil Engineering Company in my case)

Be Your Own Boss:  And just as important for me – there are next to no employees compared to most businesses and no company politics to deal with everyday.

 Flexible Work Schedule:  I was able to keep working at my engineering business full time. Then one day I had replaced my engineering income and retired from engineering.  Now my managers run the day to day business for my 3 self storages while I take care of the big picture and work in the office now and then for the fun of it.

Control Your Own Future and Security:  Even as an owner of an engineering business I was trading dollars for hours.  And there were never enough hours in the day.  Self Storage provides a kind of residual income for life once you get it running on all cylinders.  And all along you are building equity so you can have retirement income when you’re ready!

Growth Opportunity and Limited Risk:  I was willing to work hard but I did not want to risk everything I had already accomplished so I looked for a growing industry, with high profits and high success rates.  If you check out the self storage industry like I did you will find:

• Self storage has higher long term return rates of all the major real estate categories including; Apartments, Office buildings, industrial, and retail and cost less to build.

• “The Self Storage Industry has been one of the fastest growing sectors of the United States Commercial real estate industry for the period of the last 35 years.” Self Storage Association Fact Sheet

• Self Storage is presently a $25 Billion a year business and projected to grow a whopping Billion dollars a year over the next five years.

• Self Storage customers are located everywhere and more and more people are using self storage every year.  Self Storage renters are as follows:
  • 41% Long term residential customers
  • 32% Short term residential customers
  • 19% Commercial Customers
  • 4% Military Customers
  • 4% Other

• Many self storages are under managed or poorly managed, including the REITs, allowing a knowledgeable owner to do better than the industry incredible returns. (Crush The Competition)

• Building, owning and developing operational systems for my three self storage facilities has made a huge financial difference for my life.  Just as important the personal fulfillment, enjoyment and satisfaction has been very significant.

What Are Your Next Steps?

Don’t take my word; check out the facts on your own.  Visit a half dozen self storages and see if you can talk to the owners.  This book will give you some more information and places to get additional information as well.

The Good, The Bad & The Ugly

The Ugly

Your success and your dreams are up to you.

We are ready to help but you have to make a decision to start and then pick up the phone and me (860-830-6764).

Unfortunately, we have to admit that perseverance is not the most human trait.  People often refuse the truth because it is inconvenient. Accepting average or status quo is the enemy of great success. Too many people have told me “I was going to build a self storage but you (or someone) beat me to it. There is always an excuse if you’re looking for one.

Don’t wait!  Get started today.  Action will give you the results and belief you need.

The Bad

Your success and your dreams are up to you.

I have so often heard people saying, “I understand” and then I see them doing the exact opposite of what they thought they had understood.  It is only when you put into practice what you have understood that you can really say that you truly understand.

Don’t wait! Get started today!  Actions will give you all the results and belief you need.

The entrepreneur, the professional, the self storage owner, the investor, you – anyone who wants to build a self storage facility and take control their destiny will value the ideas in this book.  It will provide a simple plan and required research that you can use to make your dreams come true; all you need do is make the choice to succeed.  In this book, there are over 150 practices that have been outlined to help you plan, design and build a better self storage facility and make more profits.

“Self storage is easy, does not take a lot of planning or time or out of pocket money and always makes money.” There is nothing further from the truth, but I hear this all the time. For a typical self storage facility of 50,000 square feet you may invest $400,000 or more of your own money, borrow over a million dollars from the bank, and will personally spend many hours learning and planning before you rent the first unit. But a properly planned, operated and funded self storage facility can be a very rewarding and profitable business.

As soon as your self storage business is under construction everyone is going to tell you “I was going to build a self storage” but I never got around to it.  You are taken the first step by reading this book.  The second step is to take action every day until your dream comes true. You Can Do It!

Why do I mention Storage Authority in this book?

Throughout this book I am going to mention Storage Authority Franchising.  At first you may think my goal is to advertise my Self Storage Franchise company. But I hope you understand, what I have realized after helping others in the self storage business for many years. Plus there is tons of great free information on the Stoage Authority News Room Blog from how do a mini demand study to 150+ K Kamrts that are closing, maybe in your town, that would make a great self storage conversion project.  One out of a hundred people (or less) who read this book will start their own business.  While in many respects, self storage is easy it is not simple and getting more complex everyday with very little help out there to get you started.

If you are the one in a hundred that will start your own self storage business on your own you can skip the Storage Authority information.  Or better yet check out Storage Authority in detail and see how we are changing the self storage industry from customer guarantees, to apps, to reward programs, to internet platforms, to customer satisfaction, to sales and marketing and many other state of the art platforms so you do not get left behind and get crushed by the competition.  Either way I believe this book will help you save and or make tens of thousands or even more before you open your doors.  I know You will definitely get your moneys worth and will even use Storage Authority as your guide.

If you are not sure if you are the one in a hundred, then most likely you are not.  The good news is I have referenced Storage Authority so you can consider joining us and taking what I believe is the fastest way to oversized self storage profits.  Our time, expertise and experience becomes yours and together, your success can be just around the corner.

Chapter 2  Fun Self Storage Facts – coming next week

You can purchase this boo and other books by Marc Goodin at entire www.SelfStorageMarketing101.com

Storage Authority is excited to announce 3 new franchise locations.

New Franchises John G.

John came on board last week. We are excited to be working with John. He is looking for land to build a new facility in central PA.

Why not make 2017 the year your financial future & retirement was changed for ever.  Contact us now for more information.

New Company Facility
Storage Authority Co founder Scott House has just started the design for the third Storage Authority company store. It will be located in Lakeland FL on an 8 acre parcel. Construction for the 75,000 square foot Self & RV facility is slated to start construction this fall.

The first thing we do is a quick hand sketch to confirm we can get the square footage based upon the local zoning and site.  Soon after we field determine the wetlands and do another quick sketch – see below

Franchisee Edward O.

Ed’s offer for 4 acres in Houston was just excepted. Houston is unique in the sense there are not the typical zoning regulations like most cities. The 60,000 square foot facility is under design and construction is slated for late fall.

When you look at land you should consider the opportunity to buy less than the whole parcel.  Here the owner was willing to sell 4 acres keeping the land cost down and still have the 50,000 sf development.

Normally we may need 5 acres but Houston does not have the restrictive zoning that most cities have.

Why not you? Why not now?  Feel free to email me at marc@StorageAuthority.com for more information and how to get started.

Cheers,

Marc

Can Retirement Funds Be Used to Develop a Storage Authority Franchise?

By Marc Goodin

Absolutely!  Should they be used for a self storage Development?  While I would not tell anyone how to invest their retirement funds for me the answer was easy. Absolutely!  Why not?

Using retirement funds such as 401K, IRA, pensions, 403b, 457, or annuities, you can buy a business, pay for any business expense, and to pay yourself a salary without incurring personal taxes or penalties for doing so. You can use retirement funds for the equity required by the bank and take a loan for the balance.

You can pay yourself a salary as soon in the process as you wish, even before you reach profitability. Since this funding option is not a loan, these funds are actually used to buy stock in your business, and therefore are not a personal distribution or a withdrawal.

The first decision is self self storage for you.  Self storage is an active business that will requires time and experience in addition to money. Where as, retirement funds are often invested in vehicles such as stocks and bonds that do not take time.   Of course the goal is much larger rewards due to your personal efforts.  I may be biased but the best way to get the experience you need for both development, operations, sales and marketing is with a Storage Authority Franchise

The major reason for a retirement funds is so you have funds for retirement.  If you could turn $600,000 in your retirement account into several million for retirement would it be worth it? Just like any retirement investment you need professional help insure it meets your investment goals and you understand the risks

There are required procedures, rules and laws you have to follow and you will need an expert to help you with the process. .  To learn more about how to use your retirement funds for a Storage Authority Franchise I recommend you contact:

Diane Rosenkrantz, Senior Consultant

Tenet Financial Group 

413-754-3298  

Diane@TenetFinancialGroup.com

817-887-1720

www.Tenetfinancialgroup.com    

Feel free to contact me with your questions.  marc@storageauthority.com.

To Success!

Marc

_________________________________________________

Storage Authority Franchising is about owning your own hometown self storage business. And having the professional systems and knowledge to assist and guide you. We like to say You are in business for yourself but not by yourself.  If you are thinking about self storage you owe it to yourself to contact Garrett at 941-928-1354 or Garrett@StorageAuthority.com to learn more about the Storage Authority Franchise opportunity.  Check out the details at www.StorageAuthorityFranchise.com

Marc Goodin is President of Storage Authority LLC.  He owns 3 self storages he designed, built and manages. He has been helping others in the self storage industry for over 25 years.   He can be reached at marc@StorageAuthority.com or directly at 860-830-6764 to answerer you self storage franchise, development, marketing, sales and operations questions.  His best selling self storage books are available at Amazon.

Target Markets for Self Storage

By Garrett Byrd

Below is a list of self storage target markets where you want to consistently cross market with and bring awareness to your services and brand.  Start by setting up your calendar and reaching out to your target market with a visit at least every 90 days, you can call and email as well but the face to face visit is the most impactful.  The key is staying consistent and making it part of your, daily, weekly, and monthly routine.  If you want to be the home town self storage, you must make an impact in your three-mile radius.  When you are helping, your local business grow their business your facility will fill up exponentially with referrals.  With Storage Authority, we have the systems and we will show you how it’s done.

Moving Companies, Truck Rentals (that don’t provide self storage) & Senior Move Managers –

Co-operative marketing and referral partnerships opportunities

Real Estate – Realtors / tittle companies / mortgage/ Home Inspectors / Staging / Designers

Great for cross marketing

Apartments / Condo HOA’s –

For their move in Packages – Self Storage Rack Cards with coupon for move in packets, helps leasing consultants  overcome objection of downsizing to apartment.

Senior Communities – 55+ Mobile Homes / Assisted Living & Independent Living

Do they do move in Packages?  Resource Center?

Senior Care Providers – like home health care services.  Cluttered homes are a safety hazard and they can recommend storage is they don’t want to part with the items.

Child Centers – Day care /After School/ Recreational like: ballet, karate, sports: – Families need storage

Restoration Companies/Disaster/Construction Companies – Emergency cleanup and store items able to salvage while home is being restored.

Pharmaceutical Reps—They will target climate control units that is central their distribution location, that will receive packages for them and store their sample drug inventory, marketing materials and literatures

Insurance Companies –

Auto/Boat/RV –  (their clients may need a place to store these)

Homeowners – Buying/Selling – they call their insurance provider – may need temp storage or downsizing

Bankers and Attorneys—They are a perfect source for referrals and often need your self storage services for time sensitive record keeping complying with their industry regulations.

Schools – Public & Private / Elementary – High – Families & Faculty need storage

What marketing opportunities with local school to participate in

Teachers – Teacher Lockers to store supplies during the summer and keep home clutter free

Colleges – Focus April & August – Student Flyer – Students use storage between summer semesters.  Lockers during school year to keep personal items locked up.

Funeral Homes/ Crematoriums

– Families need quick storage to clear out house for sale, time to grieve and then go through stuff and decide keep or give away.

Local Businesses / Restaurants / Dr. Offices / Retail / Thrift Stores – store extra inventory, business records, catering supplies

Laundromat, pizza places, etc.  Look to see if they community boards, place to put our display – Get lots of traffic.

Home based businesses – HVAC/Sales/Accountants/etc. – We accept package and deliveries, store inventory, equipment, business records,

Storage Authority Franchising is about owning your own hometown self storage business. And having the professional systems and knowledge to assist and guide you. We like to say You are in business for yourself but not by yourself.  If you are thinking about self storage you owe it to yourself to contact Garrett Byrd at 941-928-1354 or Garrett@StorageAuthority.com to learn more about the Storage Authority Franchise opportunity.

www.StorageAuthorityFranchise.com

Three Must Do’s for Over the Top Success while Pre-Marketing your New Facility.

By: Garrett Byrd

1.)       As soon as you have closed on the parcel you will be building your self storage facility make it a point to get your self storage coming soon sign up.  Make sure you get permission and adhere to the city/county rules and regulations with signage. This will be your introduction to the community for the next six to eight months so make sure your hello to the community stands out and is inviting,  remember less is more on a quick drive by sign.  You will want to have your  phone number on the sign where your future customers can  call and receive information  or leave their contact information phone and email to be put in your data base for your facility updates and progress.   It’s a good idea to have your website on the sign as well, even if your website is in the beginning phase it’s nice to have a place where your customers can receive basic information as well as register their interest as your site progresses.  As soon as you have temporary electricity, make sure you have spot lights or even Christmas lights on the sign.  It’s the 15,000-30,000 cars driving by your parcel that well be your future customers you want to be as visible to them as you can. The average facility has 15-20 rentals and reservations, Storage Authority’s goal should is to have 50-60 hard reservations or rentals before you open your doors. If this isn’t your goal you are likely losing out on $60K in income your first year due to poor pre- planning.

2.)          Join your local chamber and real estate associations.   When you join these types of associations you must be involved and you should network all angles.   You are networking, it’s not net-eating, net-socializing, or net sitting, it’s networking and you have very little time to make connections and utilize each other’s platforms to generate new business.  For your local chamber, you want to attend as many events as you can, let them know your facility will be open soon.  Business card exchanges luncheons, support any grand openings for your fellow chamber members.  It’s important that you let them know you care about their growth just as much as you care about your facility’s growth.  It’s the law reciprocity, people feel a sense of obligation to do something for you when you’ve done something for them. Help your fellow businesses achieve their goals and it will pay dividends to your facility’s growth.  The realtor associations are important as well, self storage is a transition business and  realtors are constantly in front of their clients who are on the move and in need of storage solutions. The realtor associations usually will let you sponsor their training classes for a luncheon or brunch.  They will allow you to set up a table and give a five-minute information pitch about the self storage services you provide.   Be sure to have some branded give a ways (totes, pens, marketing material) for the realtors and let them know you have a realtor resource center at your facility to help promote their business.  Ultimately the realtors want to know if they are referring your self storage facility their clients are going to have a first-class experience.

3.)      Community outreach to your local businesses with in your three-mile radius.  This is critical to do before you open your doors.  You want to prepare yourself with a branded marketing tote and have your marketing material in your totes along with a pre-leasing discount.  Your objective is to visit all businesses in your three-mile radius, let them know your facility is opening soon and leave them a tote.  You also want to take their business card as well and learn as much about their business as you can in your short visit.  The key is to get the local businesses card for your contact list and let them know you hand one of these totes out to every new customer.  You like to help to promote your local businesses so you include a coupon to their business to bring awareness to their brand.  Let your fellow business owner know you are a transition business some of your customers are new to the area or on the move.  There is no fee to promote their business with you all they should do is give you a stack of coupons to stuff in your totes.  You always want to keep a master coupon with their business card, when you run low on their coupon you can give them a call and they will gladly swing by to deliver more coupons for you and thank you for handing them out.

Storage Authority Franchising is about owning your own hometown self storage business and having the professional systems and knowledge to assist and guide you. We like to say You are in business for yourself but not by yourself.  If you are thinking about self storage you owe it to yourself to contact  Garrett Byrd at 941-928-1354 or Garrett@StorageAuthority.com to learn more about the Storage Authority Franchise opportunity.

www.StorageAuthorityFranchise.com