Is it worth getting into the rental business?

Joined
May 13, 2012
Messages
153
Location
NY
I'm thinking at some point, rent a small, cheap storefront. Put in a nice looking young lady that can sell.
One thing I'd carry in the retail store would be my favorite brand of supplies, Betco and their sister company, who make the best floor cleaner and finish I know of, Basic Coatings.
It is my understanding that Betco is used by Stanley Steemer. I like Betco a lot. While my two local supply houses carry Betco, most of it is special order. One really likes ProLink, but I'm not into it so much. The other is into NCL big time. I have to say, so far, I like it. I have one supply house not too far away that will deliver Chemspec if I order $250+, there is still nobody carrying much of the brands that I associate with carpet cleaners.
So my store would sell Betco and Basic Coating supplies. My nearest dealer for Basic Coatings is 40 miles away and if I am in the area, I always get stuff. Besides him nobody sells Basic Coatings for many miles.
Besides supplies, I'd rent machines. I think the EDIC Galaxy 5 would make an OK rental machine with a 10" wand. http://www.edic-usa.com/index.php/produ ... 5-307.html maybe either EDIC Five Star http://www.edic-usa.com/index.php/produ ... estar.html. Surely these would be far better than a Rug Dr.
A Rug Dr. is $20-25 per day here, depending on the model. Since these are better, I'd want more like $25-30 per day. Maybe repackage chemicals in smaller sizes? Lots of profit there. Today, while doing a condo, a guy stops to chat with me in the hall, about 65-70. He says "I go rent one of those machines, $20 and I'm all good."
Now I know he's wrong, but I also know there is absolutely no point arguing with him and trying to sell people like him. He'll never buy. How else can I make money off of him? My guess is there's a lot more people willing to plunk down $150-250 for a piece of junk that will break after 5 uses, because they "save money" or people willing to rent "the Dr." for $20 and his overpriced "prescriptions" than there are people who will hire me (or you). I can't let them pay $20 for a bottle of Bissel cleaner and not make one penny off of them! I don't see it as competing against myself, it is taking money from other retailers whose customers would never call me for my work. It seems like too much money being left on the table... What do you think? Thanks.
 
Joined
Oct 7, 2006
Messages
18,838
Location
Benton KY USA
Name
Lee Stockwell
Don't do it.

However when I saw the subject title I first thought you would be talking about buying rental properties. THAT is a great idea. I personally know of many who have made fortunes doing so.
 

Able 1

Member
Joined
Apr 12, 2008
Messages
6,469
Location
Wi
Name
Keith
Lee Stockwell said:
However when I saw the subject title I first thought you would be talking about buying rental properties. THAT is a great idea. I personally know of many who have made fortunes doing so.

X2 Right now is the time to buy them too...
 

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