How to Start a Self Storage Business A Step-by-Step Guide

Nate Jones, CPCU, ARM, CLCS, AU
Nov 13
2 min read

Starting a self storage business can be a profitable venture, especially as demand for storage units continues to grow. Whether you’re planning to build a new facility or convert an existing property, understanding the steps involved is crucial for success.

Below is a comprehensive guide to help you start your self storage business and operate it effectively.

Why Start a Self Storage Business?

Self storage facilities provide customers with secure spaces to store personal or business belongings. With urbanization and downsizing trends, storage units have become essential for individuals and companies alike. The industry offers recurring revenue, scalability, and relatively low maintenance compared to other real estate businesses.

Steps to Start a Self Storage Business

1. Research the Market

Before investing, analyze local demand and competition. Look for areas with population growth, limited storage options, and strong rental demand. Tools like can provide industry insights.

2. Create a Business Plan

Your business plan should include:

Market analysis
Startup costs
Pricing strategy
Marketing plan
Insurance requirements

3. Choose a Location

Location is critical. Select a site with easy access, high visibility, and secure surroundings. Consider zoning laws and permits before purchasing or leasing property.

4. Secure Financing

Self storage businesses require significant upfront investment for land, construction, and security systems. Explore financing options such as:

Bank loans
SBA loans
Private investors

5. Obtain Licenses and Permits

Check local regulations for business licenses, building permits, and fire safety compliance. Compliance ensures smooth operations and avoids costly penalties.

6. Invest in Security and Technology

Customers expect secure facilities. Install:

Surveillance cameras
Access control systems
Alarm systems
Online booking and payment platforms

7. Get the Right Insurance

Insurance is essential to protect your investment and customers’ belongings. At Wexford Insurance, we specialize in self storage business insurance programs tailored to your needs. Coverage options include:

General Liability Insurance – Protects against third-party claims.
Commercial Property Insurance – Covers your buildings and equipment.
Commercial Auto Insurance – For company vehicles.
Workers’ Compensation – Required if you have employees.
Equipment Insurance – Protects machinery and security systems.

8. Market Your Business

Use digital marketing strategies like:

SEO-optimized website
Google Ads
Social media campaigns
Partnerships with moving companies

Market Your Business with Contractor Back Office

Struggling to market your business? Contractor Back Office helps businesses build a strong brand, attract more clients, and streamline operations using smart digital tools and expert support.

Our Services Include:

Common Startup Costs

Land purchase or lease
Construction or renovation
Security systems
Insurance premiums
Marketing expenses

Why Work With Wexford Insurance?

Starting a self storage business is a big investment. Protect it with an insurance program designed for your industry. Wexford Insurance works with top carriers to provide specialized coverage for self storage facilities.

Contact us today to get a quote and secure your business.