There are well over one billion passenger cars being driven on roads around the world nowadays. And all those vehicles need somewhere to stay when they’re not in use.
In other words, there’s an incredible demand for parking nowadays- especially in busy, built-up urban areas! Do you want to capitalize on that market and start a parking lot business? Let us help!
Here are the basic steps required to bring your idea to fruition.
Plan It Out
Sensible entrepreneurs begin any new venture with a solid business plan. We strongly suggest you do the same for your parking lot business! Sit down and think through crucial details such as:
Demand, competition, financial goals, marketing opportunities, and potential obstacles. Then write everything up into a single document, including notes on how you’ll achieve your aims and how long you expect it to take. This document will a) clarify the road ahead and b) play a core role in securing parking lot investment down the line.
Raise the Money
With any luck, you’ll already have start-up capital available to get your business off the ground. If not, then that’s the next port of call. You’ll have to raise enough money to cover the cost of:
- The site itself,
- Any asphalt resurfacing that’s required,
- Security and lighting systems, and
- Employees (if you’re building a manned lot).
The costs involved will vary depending on where you’re based, where the lot’s located, how large the space is, and so on. Having identified the final amount, you can then turn to loved ones, angel investors, the bank, or crowdfunding sites to find affluent people interested in investing in a parking lot.
Pick a Location
Location’s all-important for any new brick-and-mortar business, including this one. After all, creating a parking lot is easy. Creating a profitable parking lot that drivers actually use is another ball game altogether.
And the site of your parking lot will make an almighty difference in that regard. You’re onto a winner if you can find somewhere that’s busy, in a sought-after part of town, easily accessible, and lacking in parking space.
The fun can begin when you’ve raised the money, picked the perfect location, and purchased/leased the site. There’s a lot to do (pun intended)! You’ll have to pay a professional company to pave the surface, install security, learn more about the best parking lot lights for the job, sort out the payment collection system, and either:
- Hire a cashier to man the gate, or
- Install an automated electric gate (that’ll regulate access and process payments),
Oh, and don’t forget to hire someone to keep the area clean. With all those tasks complete, all that’s left to do is advertise your brand new parking lot!
Time to Start a Parking Lot Business
Every man and his dog owns at least one vehicle these days. The result? There’s a significant market for high-quality parking opportunities in convenient locations.
We hope these tips on starting a parking lot business will help you capitalize on that demand. Looking for further insights on simple side hustles and running a profitable operation of some kind? Search ‘business tips’ on the website now.