To date, there are probably thousands of car owners roaming the streets every single day. Having a car is more convenient than dealing with public transportation, but car owners face different challenges in their own way. For instance, they have to deal with traffic congestion and unavailability of parking spaces.
This is a contributed post and do not necessarily reflect the opinions of Meet The Harris Family.
While there isn’t much you can do about the traffic congestion and the overpopulation of streets due to so many cars, there is a solution to the latter problem. To solve this scarcity of good parking spaces in busy areas, you can open up a parking lot business that can cater to car owners in your vicinity.
This can be a perfect entrepreneurial opportunity for you if you want something that is low maintenance and stable. Parking lots are passive investments because you don’t have to keep scaling your business or work to improve your service, but the profits they generate are continuous. Here are three things you need to know to start your parking lot business:
Find a Good Location
With parking lots, it’s all about finding the best location. This is because you want to cater to a specific demand – the unavailability of good parking spaces. If you were to open a parking lot in an area where there are no establishments in proximity, then your lot is as good as useless.
But if you can secure a lot that is surrounded by food establishments, entertainment hubs, boutiques, and other stores that people frequent, then you’re accommodating an existing demand. Securing an optimal location such as this can guarantee your success and immediately give you returns on your investment.
You might also get a lot of patrons because you helped them enjoy their time without having to worry about getting their cars towed for parking in the wrong places. Finding good parking spaces is such a hassle, but with your help, people can easily get to where they need to be when they need to be there.
Design Your Space
If you lack enough funds, then the best solution will be to open an uncovered parking lot. This is a much cheaper alternative to garages because it has fewer upfront costs, but that doesn’t mean that you won’t need to purchase other equipment. You can’t just hang a sign and call it a day.
A good parking lot is secure and maintained. That means that you need to put the appropriate road markings so that your customers can easily navigate themselves inside your parking lot. It might do well to make use of thermoplastic paint in the process, but make sure to apply some primer for adhesion to lengthen the lifespan of your paint.
For the equipment, you’ll need to place transaction machines, lift gates, security cameras, and fencing to assure your customers that you are a legitimate business. Bright lamp posts are necessary to keep your parking lot well-lit and secure; they can also help deter car thieves from attempting a burglary.
Market Your Business
It’s important to note that with a parking lot business, your main customers are only those who frequent or are planning to visit the surrounding areas. This means that your target market is relatively smaller compared to a business in a different field of service.
But that doesn’t mean that you can’t market your business. If anything, it’s more important to call the attention of people because otherwise, they won’t know what you’re offering or where you’re located. In this case, you will have to market your business to other business owners; not their customers.
This is because the other business owners can help you build a profit by directing their customers towards your parking lot. Doing this can be a win-win situation for you and other owners, especially if their lack of a parking space discourages their potential customers.
Your parking lot’s presence can lend more assistance to the surrounding establishments by supplying to a demand they didn’t know they needed. This way, you and the other business owners can generate more profit because you can provide your customers with what they need.
Although it may seem inefficient, it might bode well to establish an online presence for your parking lot. It doesn’t have to be a full-on website complete with blog posts because, after all, you’re business is for a parking lot. But it can help those who are planning to visit the area and let them know that there are available parking spaces should they choose to bring their cars.
Parking lots may not be the most profitable business there is, but it caters to the needs of everyday individuals who are only trying to get by. So if you want a business that is low-risk and low-maintenance, but purposeful and necessary, start a parking lot business.
