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Storage Authority Franchisee Partnership Program



Storage Authority Franchisee Partnership Program

Storage Authority Franchisee Partnership Program

 

It is hard to come up with the $400K – $500 minimum cash equity required to get bank financing. Or maybe even if you have it you are not ready to spend your last dollar of savings. I know this because I was short on equity for my first self storage and took on a 50 – 50 partner. It was the best decision I ever made. This self storage made millions in profits and is still making me good money every month and I now own 2 more facilities. Not to mention the growing nest egg when we decide to sell it. It took me a couple of years of asking around to find a partner. To make it easier for you Storage Authority decided to help potential partners find each other via the Self Storage Partner Registry.

Storage Authority is excited to announce its first of a kind self storage developer match program.  Everyday we hear from potential developers who are ready to move forward with their Storage Authority self storage but do not have the cash equity to get a loan.  Screen Shot 2017-06-28 at 2.52.40 PM The Storage Authority Match program will put two individuals together to create a joint venture team who will have the typical cash equity required to qualify for a self storage loan and move forward with their joint venture Storage Authority facility.   The program has just launched for the state of Texas and will launch for the rest of the US later this summer.  Typically, it is for individuals who want to be 50 – 50 partners.

To qualify for the program, you must have a minimum of $200K cash equity you are ready to invest in a Storage Authority self storage and:

  • Complete your review of the Storage Authority Platforms & Systems with your Franchise Director.
  • Complete a one page Match Program questionnaire that provides your geographical limitations and other basic information a potential partner would need.
  • We then facilitate introductions and we are available to help you navigate a winning partnership and of course the development and operation of your premier Storage Authority self storage.

If you are an investor we also have multiple investment opportunities as well from investing in individual self storages or Storage Authority, LLC.

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Parties Interested  in the Storage Authority joint venture program or investing in Storage Authority, LLC can call or email Marc at 860-830-6764 marc@storageauthority.com   for more details.

 

 

 

If John, Scott & Ed can do it so can you! – 3 New franchise locations

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.

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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.

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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

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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.

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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.

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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

 

Retirement funds for Self Storage Development? Why not?

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?

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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.

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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 photo 2014Diane 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

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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.

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Our Founder Marc Goodin Shares his Self Storage Secretes in the April ISS Issue

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Storage Authority President Marc Goodin  Shares Self Storage Secretes 
By Garrett Byrd
Our Founder Marc Goodin continues to share his secretes and knowledge with the self storage Industry.   His latest article entitled Customer-Centric Sales Techniques, Strategies for Creating Value and Trust is in the April 2017 edition of the Inside Self Storage magazine. Here is the link to subscribe now https://goo.gl/EkS1za
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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

Target Markets for Self Storage

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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,

 

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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.

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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.

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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.

 

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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

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$3,000,000 In Your Pocket for Being an Expert!

 

How Much is it Worth to Be Prepared For

Your First Year as a New Self Storage Owner? 

 $3,000,000.00?

By Marc Goodin  

 

If owning self storage is so great, why doesn’t everyone do it. Because It is just hard enough to keep the average person dreaming on the sidelines.  The good news is the barriers to entry continue to make it one of the best real estate investments to make both a great income and build a great nest egg while you have the option to keep your career. Heck most people will not even get to the end of this article, never mind start their own business.

So, the next two questions are:

1) Why is it worth millions to be prepared? As you read the rest of this article you will learn why.

2) Why are most self storage not prepared in their first year and often never reach the premier status they could.  The answer to this second questions is it takes time and knowledge to be prepared and the typical new owners simple do not have the time and experience.  Like most businesses, Self storage is unique and takes time to learn.

It took me 4 years of engineering college and two state tests to become a Professional Civil Engineer.  It took me 10 more years to become an expert in site plan designs.  And then it took me 5 more years to be an expert in civil engineering sales and marketing.  For the first 10 years, I was paid for my time, staring at $50/hr. and ending at $250/hr. But after I was both and expert engineer and expert at (engineering) sales and marketing I was paid for my knowledge and not just for my time. Of course, this provided financial success significantly more than trading dollars for hours.  Believe it or not the same goes for most businesses including self storage.

It took me 6 months to build my first self storage and become a self storage owner.  It took me 10 years to become a self storage expert and then 5 more years to become an expert in self storage sales and marketing (Over 10,000 hours) So when I say new owners do not have the time or experience to be prepared I am really not kidding.

Let’s take a look at those millions typically left on the table by most self storage owners.  For this example, I am going to use a 50,000-sf foot facility with 420 units with the average unit rental rate of $150/month.  For comparison, the average facility in the US is 67,000+_ sf and of course has more units.

I looked at several recent self storage feasibilities studies by the experts and they predicted rent up to 90% between 24 to 42 months. Typically, around 4-5% per month for 20 units a month.  Last week a self storage that just opened 4 months ago shared his first 3 monthly rent up stats with me and he rented 15 units a month.

With the right design, premarketing and team in place on opening day you should aim for 60 plus units rented in your first month.  If you use a conservative 12-month average stay each extra rental in your first month is worth $1,800 a year.

The first 20 extra units: 20 unit’s x 12 months’ x $150 monthly rental = $36,000/yr.

The second extra 20 units (60 units total) the 40 extra rented units’ value is $72,000/yr.

Done right the second month can be a repeat of month one in extra rentals compared to the average.  So why is the typical so low.  Again, because the new owner cannot tell you the 25 design elements or the 50 pre-opening and 50 post opening sales and marketing items required for these over the top results, never mind the secret sauce on how to execute them. Can you name them?

Typically, a new self storage facility opens with a manager who does not know how to sell and rent for over the top results.  At worst, they are order takers, at best they are good customer service agents, neither will get you past the typical results.

Once you are past the first couple of months the number of move outs increase every month.  And the increasing the facility visitors and renters becomes more critical.  Just as important, is these extra rentals can reduce the rent up period by a year or even more!  For a typical 50,000 sf facility of 420 units, 90% rented = .9 x 420 units = 378 units rented.  If you use the average stay of 12 months that means at this 90% full equilibrium point you have 378/12 = 32 move ins and 32 move outs every month. In other words, your job of attracting prospects and converting them to renters never ends.  So why not make sure you and your manager has all the tools before the grand opening.  The simple answer is this information and education is not often available to the manager and owner.

I am sure you would agree: With the 6 months pre-opening sales & marketing training and assistance and 52 weeks of new learning and implementing of new sales and marketing techniques in your first year you could significantly increase your rentals which would also lead to more rentals every year.

Would you believe or consider:

Training must start by collecting the low hanging fruit.  A sales and marketing manual, rental scripts, pre-opening rental program, two dozen rentals must do items, manager training, manager help hot line, along with more sales and self storage basics and you could increase your rentals by 1 a week.

Low Hanging Fruit: 1 extra rental per week for a year =

1 week x 52 weeks x 12 month stay x $150/month rent = $93,600 income/year.

Mid-level sales and marketing task for a second extra rental a week: co marketing with 15 plus local companies, over the top service, off site marketing & visits, social marketing, monthly marketing plan, secret shopping, warm calls, manager training, on site marketing, and much more

Mid-level training and education for a second extra rental per week for the is another $93,000/year.

And if you hire a sales manager to start with and throw in gorilla marketing and more sophisticated sales and marketing concepts for a third extra rental a week, it  would be another extra $93,000 income/year.

Just as important is these “extra rentals” can reduce the rent up period by a year or even more.

Will most managers or owners take the extra steps required for these extra rentals?  No, they will not even know the extra steps. Do you know the extra steps?  Are they possible with the right people, systems and knowledge? Yes!

Garrett Byrd our Storage Authority’s resident expert on manager marketing was working for a multi-unit self storage group as a manager and manager trainer.  When his company was building a new 3 story facility in 2016 he was chosen to manage and get the new facility off to a fast start.  It did not look easy as another 3-story facility was under construction, just down the road.   But he started with pre-opening marketing and continued his marketing every day.  He rented an unbelievable 80 units the first month and 80 units the second month.  At month 6 the facility was 60 % + rented – Wow.  And at the seventh month we hired Garrett!

Will your manager have even close the same results?  I do not know.  Will they visit (and know how to get referrals) the chamber of commerce, local banks, attorneys, funeral homes, realtors …. or have Santa’s visit during the holidays, beach day at their facility; or will they memorize a great rental script; or take the time to have answers to overcome the 10 self storage objections; or will they hand out candy, flowers, water and coffee to their visitors?   Will they even know the critical 25 environmental factors and 100 plus other over the top customer service required to be a premier self storage?  Can you list them?

If you and your manager learn the environmental and over the top customer service, and implement best management practices for sales and marketing not only do you get the extra rentals you also can be the price leader for additional income.

When a feasibility study is prepared, they determine the average rental rates of your competition and assume you will rent at the average rental rates.  And I have found most new owners actually want to charge less than the average.  With our help our franchisees rates will be 10% higher or more than if they set them on their own.  This means our services are free.  But if you understand you are not in the self storage business and learn how to solve customer’s problems and enhance their experience you can even charge more than 10% higher than the average rates.  You can become the premier facility and price leader. Most managers do not know their job is to find out what customer’s problems are, never mind how to solve them in a fashion that builds trust and rent units.  See my article Three Rental Rate Myths for more details, Where you can see first hand examples of charging 20% and more than the competition.

http://www.storageauthorityfranchising.com/news_room/the-3-big-myths-about-rental-rates/

For a typical 50,000 sf facility with 378 units rented every 10% increase in rental rates = $68,000/year.  Here is the math

378 units –  Average rent $150/unit – 10% higher rent

378 units x ($150 x 0.10) x 12 month stay = $68,000

20% higher rental rates = another $68,000/year

30% higher rental rates = another $68,000/year

 Can you answer why a customer would pay 10%, 20% or even 30% more to rent at your facility?  You need this answer before you start your design. Again, it is a combination of environment, over the top customer service, sales and marketing.  It’s about providing the “just right feeling”.   The typical renter calls or visits 4- 6 facilities, what makes your facility superior?  Your quality, your vault units, your additional unit sizes, your doors are 1 foot wider or higher, your landscaping, you, your manager, your security, your sale office, your sales and marketing, did you notice the customer car or his Boston Red Sox’s shirt, did your manager call a new prospect by name 3 times, did you …………. the list is endless?

I have heard many managers say I want to lower my rates to match the rental rates of the REITS down the street.  But do they want to explain to their customers and friends the $19/month rental rate increase in 5 months and $19 rental rate increase in 9 months that the REITS impose?  It is much easier and more fun to shine bright, surprise and delight your customers!

If you ask most managers what should be done to rent more units, they are going to tell you reduce the rates.  Nothing could be further from the truth.  The price is typically 4 to 6 down on the list why renters choose a specific location.  So, you need to know how to promote the items ahead of price and overcome price objections.

“Marc, I understand your concern about price and that you want to get the best value for your money.  I am sure you can agree with me that Storage Authority has many benefits and services our competition does not have, including the best guarantee in the business and me.   If I gave some of my customers a discount I could not provide the services, they expect and deserve.  Would you like to get that 10 x 10 in your name? I promise to earn your business everyday” There are several other steps and a couple of hours of training to perfect overcoming the price concern.  But in most cases overcoming the price concern is not even needed to rent.

The number one excuse is I do not need it today and this is the simplest one to overcome.   Last week I was checking out a possible new facility location and I called a nearby existing facility to see how full they were and their prices.  I simple asked if they had a 10’ x 10’ I could rent next week.   They had one but could not promise it would be available next week.  I said I could always rent a 10” x 15’ and asked if they had any.  He said he had two available today.  He never asked if I wanted to rent today.  For sure this facility is losing well over a hundred thousand dollars a year because their prices are too low and like most facilities they do not have any idea how to rent over the phone. And typically, of many facilities they do not ask for the rental each and every time!

Did you know you will rent more units priced at $149/month than at $143/month?  People have been trained that prices have been cut back when the price ends in 9.  Did you know you will rent more units at $149 plus tax than the same price of $159 tax included?  Did you know you will rent more units at $149 than at $149.00?  Did you know you will sell more $12.99 locks if the sign says $17.99 Locks on Sale $12.99?  I have been to hundreds of self storages and never seen a lock on sale.

Unfortunately, or fortunately (depending how you look at it) self storage marketing and sales is years behind the hotel industry and the retail industry in general.

If you understand you are in a retail business and not the self storage business you will make more money.  If you understand you are in the people business and the sales and marketing business you will make even more money.  People do not rent self storage because they want self storage. But they will choose you because you understood them, took the time to discover their problem and desires and helped them resolve them and feel better.  As soon as you understand it is not what is between the 4 walls of a storage unit but what is outside the 4 walls you will be on your way to having happy customers willing to pay more for your services.

I recommend you visit 5 self storages and see how many managers show you a unit (half or less I bet.).  Call you by name (none).  Ask the manger the last time they called back a prospect and asked them if they wanted to rent; the last time they visited the competition to make sure they sent prospects their way when they were full; the last time the competition referred clients to them; the last time they visited the local business in the 5 mile radius; the last time they raised their renters rates, the last time they carried free water out to their renters; how many people are on their newsletter list or how often they send out newsletter?, what is their guarantee?, What percentage of renter buy insurance and go on auto pay?, why they sell the cheap unsafe shank locks? or, how many boxes does it take to move a house? …………the list goes on.  Then you will start to have a better understanding of the concepts here. Send us an email and we will send you a check list that will help you understand what you are looking for on your visits.

Call a couple of facilities and let them know you are just getting prices and see if they even try to rent you a unit over the phone.

If these self storages, in businesses for many years, have not figured out how to be premier facilities how is your manager going to figure it out?  It takes an experienced team.

A well set up retail office with the right training will provide you an extra $50,000 a year in what I call manager sales.

You have 32 people moving in every month, so the opportunity for add on value keeps repeating itself month after month!  At most self storage, most add on sales are close to zero.  In fact, most managers are willing to give free stuff like a free lock or dropping the $20 one-time admiration fee or reducing the price at the drop of a hat.

If you consider items locks, boxes & tape, insurance, admin fee a person in the know can add a couple of thousand dollars a month in profits or an extra $25,000 a year and if you stop the unnecessary discounts you have another $25,000 a year

I love customers on auto pay because they save us time (for marketing) Typically only the few who put themselves on auto pay get on auto pay.  Even if asked if they want to go on auto pay say no because most yes or no questions naturally end up with as a no. This one is a no brainer.  It just takes learning the script and techniques mandatory and one hour of training and the proper lease. Because people stay 2 extra months if they are on auto pay an extra 10 auto pays a month is worth $30,000 a year.  As far as I know we are the only one who has this option on the front page of a lease making it easy to present and get a yes at just the right time.  And no extra paper work like every other facility.  Of course, I had to pay a self storage attorney to set it up to make sure we met the law.

One of my all-time favorites is eliminating the crazy “free month” deal.   For our example of 32 new rentals each month at $150 it would be a whopping $4,800 a month or $57,600 giveaway each year.  The REITS have to do this because they have $9/hr. managers and this is the only rental tool they have.

A couple of years ago, I was hired for 2 days to visit a self storage to simple confirm they were not doing anything wrong.  They were making a great income and they were not looking to make any changes that would create more work for them, like better training the staff or sprucing up the office.  In the end to get them to items I knew would make them a ton, I offered to give back my $5,000 fee if they made two changes and if they did not make triple my fee in profits.  The first was to eliminate the first month free offer and the second item was to eliminate the big sign out front “units starting at $9/month and change the price of these small unit to a still great below market price of $39/month.  In six months, the owner called me back and they were making $8,000 more a month because of the 2 changes.

We have reviewed a lot of first year extra income items, but in the end most if not all are important every year, year after year.  If you add them all up they equal several hundred thousand dollars, so of course, it is not very likely that they will all be extra profits. But at least you can understand that they can make you a larger first year income and the ability of renting up twice as fast. And enjoy your business with more profits year after year by building a great team with self storage expertise along with a sales and marketing background.

If you are not ready to do the some of the work yourself and be part of an experienced team, I would not recommend you go it alone.  That leaves you one other choice and that is to give your facility over to one of the REITs to manage your facility.  I believe strongly once you pay for their fees and add on expenses (and often lower rental rates) you will make less money.  If you want to be totally 100% hands off this is a route to consider.

So how do we get to that that 3 million by being prepared.  It simple, let’s cut all those additional incomes back to just an extra $100,000 a year income.  If we assume you own your business for ten years you have the first Million Dollars.  As you may know self storage sell based upon cash flow after expenses.  If you have and extra $100,000 in profits and a 5 cap rate your sales value would increase by $100,000/0.05 = $2,000,000.

If your like me and thinking why not aim for $200,000 or $300,000 of extra income give me a call, we think alike!

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.

www.StorageAuthorityFranchise.com

Marc Goodin is President of Storage Authority Franchising.  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 your development, marketing, sales and operations questions.  His bestselling self storage books are available at Amazon.

You should not base any investment decisions on these examples and ideas.  It is strictly for discussions. Many factors will vary significantly based upon any given facility, location, competition, your efforts, experience and time.

This information is not intended as an offer to sell a franchise or the solicitation of an offer to buy a franchise. Certain states regulate the offer and sale of franchises.  If you are a resident of one of these states we will not offer or sell you a franchise unless and until we have complied with the applicable presale filing, registration, and disclosure requirements in your state.

In NY, an offering can only be made by a prospectus filed first with the Department of Law of the State of New York.  Such filing does not constitute approval by the NY Department of Law.  Minnesota Franchise Registration #F7944.   If you have any questions, please let us Know

StorageAuthority_Horz_logo

 

 

Adaptive Reuse of Big Box Buildings

Here is a ling to a great Article by Nick on self storage conversions.

N. Malagisi big box conversions

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If your looking for a highly qualified broker to help you find and purchase ( or sell) your self storage I recomend you give Nick a Call. Check out his web site for a full list of the services they provide.
Nicholas J. Malagisi, SIOR
Managing Director | National Director Self Storage
Sperry Van Ness | Commercial Realty
P.O. Box 1015
Buffalo | NY 14231
o 716.633.9601 | c 716.310.8314
Nick.Malagisi@svn.com | www.storagerealty.com

 

 

Franchise Business Radio – Interview with Marc Goodin, President of Storage Authority Franchising

Name and Title of Person Interviewed:

Marc Goodin, PresidentIMG_3170

Guest BIO:

Marc Goodin is President of Storage Authority Franchising. As a professional civil engineer he has designed commercial developments and self storage facilities for over 25 years. His self storage expertise has been fine tuned by designing, building and managing 3 self storage facility he presently owns. Marcs experience from the trenches and his expertise is apparent in his two best selling marketing and planning self storage books available on Amazon.. Marc is uniquely positioned to provide simple, straightforward and effective guidance in achieving industry-leading service and profits in the self-storage Industry.

 

 

Click Here to Listen to Interview with Marc Goodin, President of Storage Authority Franchising

 

  • Topics/Questions:

  • Why Self Storage for the Busy Professional
  • How to get started in self storage
  • How to double your profits in self Storage
  • Storage Authority

Web Site and/or Social Media Links:

www.StorageAuthorityFranchise.com

Facebook
Twitter
YouTube
https://www.linkedin.com/in/marcgoodin