How to Start a Trailer Rental Business
If you’re looking to start your own trailer rental business, you’ve come to the right place!
Starting your own trailer rental business can be a great way to earn some extra income and work on your own schedule, but it’s important to get the right techniques in order to succeed!
We’ll show you how to get the necessary equipment and permits, plus we’ll give you the resources needed to get your business off the ground and running in no time. Read on to learn how to start a trailer rental business!
How to Start a Trailer Rental Business in 8 Easy Steps
The following are 8 steps about How to Start a Trailer Rental Business:
1) Research the market
As with any business, research your target market to understand their needs and challenges. Knowing who you are serving will help you focus on how you can solve those challenges. The following questions may give you some good insight into your target audience:
- What kind of trailers do they need?
- What types of events are they often contracted for?
- How often is it that they need a trailer rental?
- Is there currently someone providing the same services in the area?
2) Choose your target customer
Choose your target customer and identify their needs. Find out what they’re looking for and figure out what they need to know before deciding if this is the right business for them. Figure out how much they will have available to spend on renting trailers. You can do this by asking some basic questions, such as How many hours per week would you be able to work?, What are your average hours per day? or What is your budget? The more time they have available, the more time they’ll need a trailer.
3) Create your pricing structure
Pricing is always an important consideration, and it needs to be on your mind from the moment you decide you’re ready to start your business. When it comes down to it, your pricing structure needs to meet two criteria: it has to make sense for the type of business you have and reflect the cost of what goes into running that business. Here are some considerations as you put together your plan
4) Find locations for the storage and pick up
The first step in starting a trailer rental business is finding a place for storage and pickup. You will need storage for customers’ trailers during the off-season and a pickup location where you can meet them when they arrive with their empty trailers. Choose somewhere that is easy to get to, has adequate space and has plenty of parking, such as an industrial park or warehouse area. It should also be near an interstate or major highway, so your clients don’t have far to drive with their rented trailers.
5) Search for vehicles with low mileage
Finding low-mileage vehicles is important because they don’t break down as often. Avoid looking at anything with over 150,000 miles on it and anything older than 10 years.
6) Invest in quality equipment
When you start your trailer rental business, investing in quality equipment will be one of the best decisions you make. Saving money on purchasing low-quality equipment can end up costing you a lot more because it won’t last as long and you’ll end up spending more money replacing it sooner.
7) Purchase liability insurance
When you first set up your trailer rental business, purchase liability insurance. This coverage is required by most banks and will protect you if someone were to get hurt on your property. Just as importantly, it protects you against bad customer reviews that could potentially harm your business.
8) Invest in marketing
Invest in social media (Twitter, Facebook, Instagram) marketing. Advertise on Google and Bing for keywords like trailer rental or RV rental. Be sure to include what you offer, such as RV’s, trailers, truck beds and cargo containers. Send mailers to local businesses with a trailer or RV sitting outside the office with your company logo on it. Offer discounts for customers who refer their friends and family members so they can have peace of mind that they’re renting from someone they know will take care of them.
9) Set up your accounting system
I recommend choosing QuickBooks because it’s easy to use and will provide you with everything you need for your business. For this kind of rental business, monthly subscriptions are more than enough because trailers typically last for a year or two. Setting up an automatic payment for the monthly fee is always a great way to make sure that your accounting system is working like it should be.