Whether you’re ready to retire or simply want to move on to other opportunities, if you’re selling your self-storage business you want to do it profitably. There are some key factors you need to consider, like how many self-storage units you have, other amenities offered, location, etc.
Getting the most for your business isn’t only about these hard-line statistics or the revenue your business generates. There are other things to consider, many of which are simple, cheap,, and effective in adding value to help you get the most for your money. Here’s how.
Prepare Your Records for Review
If you’re an organized person this is an easy project. If not, spend the time making sure you have everything in order and ready for inspection. Take this opportunity to inventory everything from computers to paperclips. Not only will this help you in evaluating the worth of your business, but it will also help others do so too.
Keeping good records is smart for business, and potential buyers like to see a good organization, especially as it pertains to your rent roll. It sends a clear message that things are run well, and it gives them confidence. On the other hand, poor record-keeping looks sloppy inspires distrust and makes a buyer think major work must be done to earn a profit.
Put a Shine on Things
Much like a home for sale, first impressions are everything. You probably don’t have an oven to bake cookies in, but you can invest in some inexpensive air fresheners. The point is, take the time to deep clean the entire property. Have your landscaper freshen up your curb appeal.
Make a list of things in need of repair or replacing. Some things may appear too expensive and you might not see a material increase in value, but even the small things matter. Don’t ignore a malfunctioning light switch or a squeaky door hinge because they can give a buyer the impression that the property isn’t well-maintained.
If there are larger things to consider like capital improvements it might be wise to wait, but that depends. In most cases, buyers are financing a portion of the sale price, and the lenders they approach love to see recent renovations. You might not see an increase in price, but you won’t lose the sale because financing fell through.
Maximize Rates for Your Self-Storage Units
We said it wasn’t all about revenue, but it’s an important part. Do your best to increase your rental rates up to the market price if you can. You will increase your revenue while giving buyers a more profitable outlook.
Find the Right Broker
Brokers come with different qualifications. You wouldn’t hire an English major to tutor you in calculus. Similarly, you shouldn’t hire a broker who specializes in condos. Make sure your searching for a licensed professional with plenty of experience in self-storage contracts.
How To Get Started
If you’ve done your due diligence, organized your records, cleaned up your self-storage units, and aligned your rates with the top of the market, you’re ready to get started. Contact us today and for more information on selling your self-storage business. Our experts will walk you through the process, answer any questions you may have, and put you on the path to selling your property profitably.