Does Storage Authority Franchising have any Competition?
By Marc Goodin.
Heck no! Zero, nada, none, absolutely no competition! Skeptical read on!
There is a group of people that would truly like to get in the self-storage business. They have done enough research to know it is a very lucrative real estate business that allows an owner to leverage their time and investment cash. They are willing to work hard but cannot make it a full time effort because they have a successful career. They have the cash required but they simple do not have the time to start from scratch and have come to the realization there is no a way to get beyond this time hurdle and the lack of self-storage development and operations experience.
So doing on their own is obviously out of the question. A management company is not going to help them through the development process or allow them to use their skills or make the profits they require to make the significant commitment it requires to build a self-storage. So they have stayed on the sidelines.
But now Storage Authority, the only self-storage franchise in the US, is the only way to combine multiple powerful ideas that allows these entrepreneurs who were on the sidelines to move forward with confidence.
With a little bit of research it is easy to understand real estate makes more millionaires than any other business. And with a bit more research it is easy to understand why Self Storage is one of the most profitable real estate businesses in the US.
Try, as a first time developer to get a bank loan of $5,000,000 loan for your real estate deal. It’s not going to happen. But because self-storage has the lowest bank failure rates of most real estate types, self-storage is incredible loan friendly even for the first time developer! Tell a friend you are going to invest in real estate so you can be a multi-millionaire in five or six years and you are going to see a lot of skeptical smiles. But tell people in the know you’re getting in self-storage with the same goal they are going to know it is very possible!
And then with just a bit more research it is easy to understand that franchising by far is the most successful business model ever introduced to business. Franchising began over 40 plus years ago with companies like Holliday Inn and McDonalds. They realized that franchising allowed owners time to build their business faster because they do not have to reinvent the wheel. Quickly it was clear that by joining a team, the economy of scale, support systems, branding, training, and increased profits (that are impossible to obtain for most individuals) could be obtained by owning a franchise. This was the birth of modern Franchising!
Franchising is the fabric of many peoples success. It has changed the lives and fortunes for many who may have never done it if otherwise. Did you know 41 cents of every retail dollar is spent at a franchise? A new franchise opens every 8 minutes every business day. Franchises generate 2.3 trillion dollars a year in the US.
Storage Authority combines real estate, self-storage, franchising and a ton of experience for a one of a kind opportunity as the only self-storage franchise in the US. Franchising is an idea who time has come and Storage Authority has proven the model for self-storage. Storage Authority is for a small percentage of entrepreneurs who often have a full time career who want a lucrative second income and a significant nest egg that will allow them retire early. It’s hard to think of another way to become a millionaire in 5 years for just 5 to 8 hours a week.
The second group of entrepreneurs that choose Storage Authority have sold their business and don’t want to go back to work full time but would actually enjoy working a few hours a week improving their own business. And now real estate companies are also understanding the value of a Storage Authority Franchise.
If you are a skeptic you are still asking isn’t the option of doing an it on my own or having a management company run my facility Storage Authority Competition? The short answer is no. We are not in the same business as the management company or REIT facilities or the mom and pop facilities. We are not in business to serve the same set of self-storage owners. We have opened self-storage to a group of people that never had an opportunity to own their own self storage before Storage Authority. They will either develop self-storage with Storage Authority or will not get in the self-storage business.
REITs (management companies) are the Wal Mart of self-storage that include having the lowest rental rates in the industry and then to add insult to injury their main marketing consists of giving away a free month at a cost of $50,000 plus a year. Public Storage REIT has over 2,600 facilities. It is impossible for them to operate a facility as a premium facility with premium rates. They don’t need to because they can make a lot less per facility and still make a fortune. Most new owners can not afford to be anything but a premium facility given it is the fastest way to oversized profits.
If your career is being a serial self-storage developer, spending all your energy developing new facilities so one day you will have several and sell them for a huge multimillion dollar jackpot, REIT management is the way to go. The significant extra time and money for your facility to make money is not a problem or concern. But if your building one or two self-storages for a life style business you simple cannot afford to be like motel 6. Being more like the Ritz with a very high end sales and marketing program with over the top customer service is required.
And in my option the idea that anyone would recommend that a first time self-storage developer do it on their own is a bit crazy. Going with a REIT would even be a better choice by far.
Back to why Storage Authority Franchising has no competition. Our Franchisees or potential franchisees are going to either do self-storage with us or not do it all thus we don’t not have any competition. Again our Self storage franchise model is the ONLY MODEL for the busy professional that does not have 10,000 hours to become a self-storage development expert and self-storage operations and marketing expert. Storage Authority created a brand new self-storage opportunity that did not exist before. If you want to learn more our story is out there. Talk to the self-storage community and our franchisees. Here is a couple of quotes:
"When I first started to investigate different franchise opportunities, I struggled to find one where I continue my career while building a successful business. Thanks to Marc and his team at Storage Authority, I feel I am on the right track to meet my goals. The support from Storage Authority has been outstanding." Kamal S., Storage Authority Franchise Owner, Millstone, NJ
Storage Authority is exceeding my expectations! Their guidance saved us both time & money during the development phase. And now we are renting up lighting fast pace in the crowded Houston Market. I highly recommend Storage Authority Franchise to anyone getting in the self-storage business. Ed & Jenny O., Storage Authority Franchise Owner Houston, TX
"Storage Authority’s design and construction expertise has saved the day over and over. It would have been impossible for me to succeed without the ongoing expertise of Storage Authority!" Scott H., Storage Authority Franchise Owner, Mulberry, FL
As a seasoned owner/operator, Marc has experienced and practices what works and openly shares the missteps and problems he has witnessed around him. He sums up what it takes in his hands-on, tell-all guide to building a storage business and why and how his franchise concept is the ideal vehicle to storage success.” Markus Hecker, Chief Client Advocate, SiteLink Software
“Trachte has long standing relationship with Marc Goodin and looks forward to providing Storage Authority franchises top quality buildings. Storage Authority offers a one of a kind opportunity for developers.” Steve Hajewski, Trachte Building Systems
"I am so pleased to be preparing the state specific form rental agreements for all the franchisees of Storage Authority. Once the franchisee has their rental agreement, Storage Authority allows us to work with the franchisees to make the rental agreement and other forms specific to their operations. That kind of support and flexibility is unprecedented in the franchise industry." Jeffrey Greenberger, esq., Partner at Katz Greenberger & Norton, LLP, Cincinnati, OH
Many of our franchisees told us they had been studying the self-storage for a while or trying to get started for a while but got nowhere. One even came to us after he ran into road block after road block. We are excited to say he is well on his way to his goals now.
So in a sense the competition to Storage Authority is peoples choice to leaving their money in the bank, in the stock market, in their retirement account or maybe in other real estate like residential rentals. Only 1 percent of the population are entrepreneurs who will declare “now is the time” and are ready to work to get it done vs 99% of the population who will always be “waiting for the right time “ and never get started.
Given the success rate and profits of real estate investing, owning a self-storage business, benefits of franchising and it comes down to one simple question if you qualify: Are you willing to pay the price of disciple for your self-storage dreams and goals? We have the experience from the trenches, the secrete sauce and are ready to guide and assist you with find land, design and obtain approvals, build and open your facility, and then ongoing operations and sales and marketing.
Here are three of Franchisees projects. Each has a different story to tell. I would be happy to put you in touch with them. Give me a call (860-830-6764 cell)
Jerome will be submitting his site plans to the City next week. He owns his own successful business but will be the first one to tell you he could have not gotten this far without Storage Authority. He might even scare you a bit when he tells you how often we email back and forth and are on the phone to insure the success of his business.
Scott’s Florida Facility has been open for 2 years this month. His 82,000 sf net rentable project was built in two phase. He is 85% full, renting 90 units a month and just hitting the $100,000 a month in income. It just went on the market for $14,200,000 and the buyer is presently doing their do diligence. If you do the math the profit will be several million. Of course, now it looks like once in a life time dream come but Scott will be the first one to tell you it took commitment and a lot of work.
Eds is presently building phase 2 of his Houston TX facility. Houston has an extreme amount of competition, which means lower rates than many communities in the US. Ed has been an excellent student of the Storage Authority programs and systems, including the Storage Authority Sales and Marketing Dynamic Ease system. The average rental rate in Houston is $1/sf/month – i.e. a 10’ x 10’ unit rents for $100 a month. Eds rental rates are an incredible $1.34sf/month or 34 percent higher than the competition and they have a waiting list. Ed, Time to raise the rates again!
If you would like to learn more about the required discipline is to succeed send me an email at marc@StorageAuthority or better yet call me at 860-830-6764. Or you can get more info here: storageauthorityfranchise.com/opportunity1/
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 30 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 best-selling self-storage books are available at Amazon.