Alternative model storage startup

[Erik W.]

For quite some time I had wanted to get in to the self storage industry. My local market seems hot, my nearby facility just expanded and filled the new units quickly. I'm in the process of doing market research.

I am currently trying to find out if this is even feasible for me. I have no debt, low bills and no wife or kids. The main issues are start up capital and experience. I could put out around $20,000, possibly $30,000 towards starting the business, but that's about it. On top of this, I have no experience in the self storage industry. I feel that these challenges can both be overcome, but I am looking for advice.

My primary interest right now is in the storage container style storage facilities. I feel that with my low startup capital this would be a better model for me. I could buy properly zoned land, make any needed modifications required by state or local area, and only purchase a small amount of containers. Then I could scale as I go. There are no existing facilities for sale anywhere near me (I am in the Northern Illinois region).

There is one big city and multiple towns nearby. The city is seeing a population decline so I am hesitant to start anything there. We have a nice community north of us that has a high average income, as well as a high percentage of homeowners. There is a reasonable amount of competition, but nothing crazy.

Once I have more data and feel that this is feasible for me, the next step would be to get a third party feasibility study. Do any of you have any advice for me?

I appreciate it!