When the national economy takes a nosedive, business owners become concerned. How will the recession affect their business? Will they lose business? Will they be able to continue to operate in the black? Will they lose their shirt? As a rule, the self storage industry successfully survived the last recession.
In 2008, the self storage industry grew 5.65%. In 2009, the growth dipped to 2.54%. In 2010 and 2011, growth was 1.30% and 1.40% respectively. Jerry and Brian Herring, the father and son duo that are licensed dealers for Go Mini’s Portable Storage in Central Florida, had better growth than these national statistics. In fact, their business grew almost 17 percent each year. They feel that they have a stronghold in the area for portable self storage.
The Herrings opened their business in 2009. Their headquarters are in Lakeland, Florida. Their franchise is in nine counties that include the area from Orlando to Sarasota-Bradenton. They currently have 5 employees.
They have benefited from their experience in the real estate business. They have been able to easily navigate lease costs, purchasing property, and construction and renovation of their facility.
They indicated that whether or not the economy is flourishing or struggling, people generally still need self storage. People will still relocate, downsize their homes, experience natural disasters, or need temporary storage simply because their water pipes burst.
Brian Herring indicated that they had a few big hurdles as they started their Go Mini’s franchise. One was the heavy capital investment for containers and delivery vehicles. They had to carefully manage their expenses while growing their gross income. They feel that if they continue on controlling their expenses that they will have very stable and consistent growth.
The Herrings are very satisfied with their company’s product. Go Mini’s portable containers are strong and weather resistant. Customers don’t have to worry about water damaging their belongings. They also offer more protection against mold and mildew than a typical non-climate controlled self storage unit.
They have diligently learned how to be sensitive to the service they offer their customers. They feel that their good customer service has been instrumental in the growth that they have experienced.
“Portable storage units present a recession-proof opportunity for Tampa Bay franchisee.” Tampa Bay Business Journal; 7 July 2014.
“Self-Storage Proves Recession-Proof: Let’s Keep Growing.” Self Storage Blog; 13 September 2012.
Self Storage Economics. The Appraisal Journal; 2013 Summer.