The Oakland Furniture Storage Business Is Profitable

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Oakland furniture storage business sector has an excellent reputation – both among customers and entrepreneurs. Oakland has a thriving furniture industry thanks to the abundance of oak and redwood trees in the region. As a result, both common public and commercial organizations such as furniture manufacturing companies and furniture suppliers make use of rental storehouses in Oakland.

The ever increasing demand for furniture storehouses attracts many entrepreneurs to the Oakland rental warehousing business. The furniture storing business in Oakland offers consistent business opportunities. All these make the Oakland furniture storage , an attractive proposition.

The following are some of the factors that make the business attractive and profitable in Oakland.

Low Start-Up Cost

The start-up cost of a rental store unit is relatively low, unless one plans to buy a property and construct a building there. If you have a property at a prime location in Oakland, rental warehouse is one of the most lucrative businesses that you can possibly think of.

Even if you do not own a property in the city, you can hire a property on long term lease or rent. When you hire a property for lease or rent, make sure that there is a secure building on the property that can be converted into a storehouse. If you have to construct the building, it will increase the infrastructure cost and overall capital of your Oakland furniture storage business.

Low Administrative Costs

Running a rental store unit is an expensive job. You will have to pay the rent of the property and the building, pay salary to the staff, allocate some amount for advertisement and marketing purposes, and pay routine bills for electricity etc.  If you own the property, you can save on the rent.

Minimizing Salary

You do not need a large staff for running a rental storehouse. However, one or two trained security guards are a must. For effective supervision of the activities of the store unit, a manager is also required. A receptionist cum telephone operator and accountants are optional. In many start-up cases, the owner of the storehouse performs the role of  manager, receptionist, and accountant.

If you do not have any other full time job, you too can run an Oakland furniture storage firm with minimum support. This would allow you to minimize the monthly expenditure of giving salaries. One can think about hiring more staff members once their business is established.

Reducing Electricity Bill

The major share of other administrative costs comes from electricity bill, which will be a substantial amount if you have climate control features. You need to think carefully about whether you need temperature control facility or not. It is always better to do a market study before you make a decision about the climate control facility.

If the storehouse is situated in an affluent neighborhood, one may well opt for climate control equipment. Certain kinds of furniture and antiques are best stored in a climate controlled store unit.

The problem is that only rich people will be ready to pay additional rent for utilizing these facilities. Therefore, you may not get much business mileage out of climate control facility, if the rental unit is situated at a poor or lower middleclass neighborhood. In such situations, you can save on electricity bill and setting up cost by not opting for this facility. Even with climate control facility, several Oakland furniture storage firms have been registering good profit because of steady demand for storing space.

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Disclamer: This entry is intended to promote our partner StorageMart and some or all participants received compensation.