The self-storage business model using shipping containers is an attractive investment opportunity for companies looking to maximize their profits in the storage sector. Shipping containers offer several advantages that make this option increasingly appealing for storage facility managers. Below, we present the main benefits of this space solution.
1. Ease of Installation and Speed
Shipping containers are easy to install, allowing the self-storage business to be operational in record time once all necessary permits and licenses are obtained. They do not require construction work, significantly reducing costs and setup time. This agility in installation means you can start generating income much faster compared to other types of storage facilities.
2. Quick Return on Investment
On average, a shipping container can be amortized in a year and a half, depending, of course, on the location and type of container used. Containers can be used in various sizes: 10 feet, 20 feet, or 40 feet, offering spaces ranging from 3 to 12 meters long.
Thanks to the low initial costs and quick setup, the return on investment in shipping containers is faster than other storage solutions. By offering a cost-effective and flexible storage solution, you can attract a wide range of clients needing additional space, from small businesses to individuals, ensuring high and steady occupancy.
3. Versatile Spaces
One of the greatest advantages of shipping containers is their versatility. They can be adapted to offer different sizes of storage units, from small spaces of 4.8 square meters to larger areas of 28.8 square meters. Moreover, a single container can be divided into multiple units, maximizing the use of available space and catering to various client needs.
Double-door containers are designed with a door at each end. This allows the container to be divided into two separate units by installing a partition wall inside. Each unit will have its own independent access through one of the doors.
This design is especially useful in spaces where two aisles or corridors can be created on either side of the container, allowing each unit to have its own direct access. In short, instead of using a full container for a single client, you can rent it to two different clients, doubling the number of units available and optimizing storage space, significantly improving return on investment.
4. Drive-up Access
Shipping containers can be arranged so that clients can drive directly up to their unit door. This means they don’t have to park far away or walk long distances carrying their belongings. Instead, they can unload or load heavy or bulky items directly from their car or van into the storage unit.
This ease of access is especially useful for clients storing large furniture, appliances, sports equipment, work materials, or anything difficult to transport on foot. By reducing the physical effort and time needed to move their belongings, clients experience a much more convenient service, which enhances satisfaction and could make them prefer your facility over other, less accessible self-storage options. Therefore, this drive-up access system not only improves customer convenience but also increases business appeal by offering a practical and efficient storage solution.
5. Security
Shipping containers are extremely secure. Their robust structure is designed to withstand adverse weather conditions and possible break-in attempts. Additionally, being made of steel, they offer superior protection against fires and other threats, providing peace of mind to both investors and clients.
The combination of resistance to weather conditions, protection against theft and fires, and overall sturdiness makes shipping containers an extremely safe option for the self-storage business, instilling confidence in both investors and potential clients.
6. Durable and Resistant Containers
Shipping containers are designed to endure the harsh conditions of long ocean voyages, making them an ideal choice for the self-storage business.
- Reduced Operating Costs: Thanks to their durability and low maintenance, shipping containers significantly reduce long-term operating costs. This is especially important in the self-storage business, where maintaining a quality infrastructure without needing large investments in repairs or periodic renovations translates to higher profit margins.
- Resilient Design for Extreme Environments: Shipping containers are manufactured from high-quality steel, designed to withstand severe conditions at sea, such as prolonged exposure to ocean salt, strong winds, rain, and extreme temperature variations. This means that, when used on land for storage, these containers are more than prepared to face any weather condition, whether heat, cold, or humidity.
- Low Maintenance: Unlike other types of facilities or constructions, shipping containers require very little maintenance. Their steel construction is resistant to pests, moisture, and other factors that could damage traditional structures like wood. This means that operational costs related to maintenance and repairs are low, allowing business owners to maximize profitability without having to incur constant expenses to keep the facilities in good condition.
7. Growing Market
The self-storage market is expanding, driven by several factors that boost the increasing demand for additional space.
- Growth in Demand for Personal Space: More people are seeking flexible storage solutions for their belongings. Factors like moving, home renovations, or lack of space in smaller homes and apartments have increased the need for temporary or long-term storage units. Additionally, lifestyle changes, such as the rise in remote work, have led many to seek extra space to organize their homes.
- Growing Business Demand: Not only individuals but also an increasing number of businesses are turning to self-storage. Companies of all sizes, from small businesses to large corporations, need to store inventory, equipment, documents, or work materials safely and affordably. This makes self-storage a very attractive solution for those looking for an alternative to renting large warehouses.
- Global Trend Towards Minimalism and Mobility: People are adopting more mobile lifestyles, often requiring them to store their belongings while relocating or traveling. There is also a trend towards minimalism, where many prefer to have fewer items at home but need a safe place to store important items they don’t frequently use. This further drives the demand for self-storage services.
- Expanding Market with High Success Potential: The self-storage sector is booming globally, with impressive growth rates in many regions. This growth shows no signs of slowing down, making the sector a safe bet for investors. By opting for shipping containers as the storage solution, you are not only tapping into a growing market but also investing in a cost-effective and durable infrastructure. Containers offer a flexible, economical, and long-lasting option, positioning themselves competitively in this growing market.
8. Second-Hand Market at the End of Their Useful Life
At the end of their useful life, shipping containers still retain value in the second-hand market. This means you can easily resell them, recouping much of your initial investment. Unlike other infrastructures that lose all their value, containers remain useful for various sectors, such as construction or maritime. This reduces financial risk, as you can renew or change your business focus without incurring significant losses. In short, the resale capability makes investing in containers safer and more flexible in the long term.
In summary, investing in self-storage with shipping containers offers a profitable, secure, and low-maintenance solution. Thanks to their easy installation, durability, and resale potential at the end of their useful life, this option minimizes financial risks and maximizes profitability, positioning itself competitively in a growing sector.