5 Expert Tips for Selling a Self Storage Facility

Since the 1960s, self storage property has been one of the fastest-growing commercial real estate industries. Altogether, the industry has grown to a $3.9 billion enterprise covering 1.7 billion square feet of rentable storage space in the United States. If you’re thinking about selling a storage-unit business, now may be the time. Continue reading for expert tips to utilize when selling a self storage facility.

Selling a Self Storage Facility: Steps to a Smooth Sale
As a self storage owner, you may be ready to retire or try out another business venture. Preparing your business for sale can seem like an overwhelming task. Before you list your self storage facility, prepare yourself and your business with these five tips.

Plan Your Exit Strategy
Whether you are planning on selling in months or years, you should have an exit strategy in place. Creating an exit strategy can help to protect the value of your business while augmenting its future worth. The best exit strategy for your self storage facility is dependent upon its size and your personal goals. If you need assistance solidifying your plan, reach out to a trusted financial adviser or a business broker.

Organize Paperwork
Those interested in buying a self storage company will want to review financial records like tax returns, cash flow, income statements, balance sheets, and your book of business. Consider reaching out to your accountant or business adviser for assistance in gathering these materials. The more organized your books are, the better prepared you’ll be for questions and document requests from prospective buyers.

Get a Professional Valuation
Accurately pricing your self storage business is one of the essential steps in the process of selling. With a professional valuation, you can defend your asking price by showing how your business has performed and will continue to perform in the future. A valuation will also provide insight on how your business can improve before you put it on the market.

Prepare for Sale
Work on improving your business’s weaknesses with the information you’ve acquired from your valuation. Regardless of your rental rates and square footage, as a small business owner, you can attract better buyers by focusing on profitability and relations with your customers. Consider upgrades, such as switching to a system where customers can make payments and reservations online. A modernized approach can help grow your clientele as well as make it simpler for a buyer to take over.

List your self storage unit business for sale
With the necessary preparations in place, it’s time to list your self storage facility for sale. Now, you’ll want to spread the word to let people know your business is on the market. While there are many different ways to advertise your listing, consider reaching out to a business broker to develop a comprehensive marketing strategy. By enlisting a qualified business broker, you will have connections to a wide-ranging pool of serious and qualified buyers. Plus, working with a professional means that your broker can handle the heavy lifting of the buying process while you can remain focused on the day-to-day operations in the business.

For more information on selling a self storage facility, contact Sunbelt Business Brokers. Your local Sunbelt Business Brokers office can guide you through listing your business to the closing table while earning you the best price possible.

Brian Knoderer

Brian Knoderer is the President of Sunbelt Business Brokers. He has over 20 years of experience as a business owner and managing business transactions. As a seasoned intermediary, Brian has successfully represented companies in a broad range of industries helping business owners achieve their desired exit strategy or growth initiative. Brian is also co-owner of Sunbelt Indiana and Managing Director of MMI Capital Partners, a franchisor focused investment banking firm.

Previously Brian was involved in several entrepreneurial ventures as well as having held corporate roles in Franchise Development for Prime Hospitality and Choice Hotels.

Brian is a graduate of Ball State University with a degree in Management Information Systems and earned his MBA from Butler University. He has received the Certified Merger & Acquisition Advisor (CM&AA) designation, holds both the Series 7 – General Security License and the Series 63 – Uniform Securities Licenses, and is a licensed Real Estate Broker. He has been affiliated with several organizations including the Entrepreneur Organization, a Member of the International Business Brokers Association, Venture Club, and a Board Member of The Entrepreneur Institute.