An opportunity for cost containment for small businesses could be easily found in self storage. Use of self storage units could solve a number of small business issues. The prevalence of self storage businesses makes these units a viable cost containment source for small businesses.
A home office or garage is often the first site for small business operations. Space is sought outside the home when this no longer meets the needs of the business. But new businesses cannot always afford space large enough to accommodate future growth. As growth occurs, space issues and employee expansion may once again cause plans for relocation.
Moving a small business involves significant costs. The need for movers and changes required at the new site are potential costs and the time required for the move and potential loss of business are risks for loss. When limited space is the primary driver for relocating a business, it may be more cost effective to lease a self storage unit to store records and equipment not required for immediate use. This can reduce the amount of storage required on site and may free up space for staff, eliminating or delaying the relocation.
When moving is required, businesses sometimes liquidate furnishings and fixtures. Liquidation may occur because of a time lapse between vacating the existing location and moving into the new, or because the new location may be in a different city. Selling furnishings such as portable cubicles, desks, chairs, file cabinets etc. results in loss of capital and assets that will be increased when the furnishings must be replaced. Self storage units can be rented for a fraction of the cost of replacing these expensive furnishings. Some self storage companies offer rental that includes the use of a moving truck the first day.
Many self storage businesses will rent on a month to month basis while other self storage companies require a minimum number of months rental or a contract. Rental fees generally depend on location, size of the self storage unit and amenities, such as climate control. Self storage costs anywhere from $50 to $200 per month, based on all for the above variations. However, even at $200 a month for a full year, the cost would be a fraction of replacement costs. For long distance moves, portable self storage units can be packed at the originating site, and then moved or stored by the self storage company.