Starting Your Own Tent Rental Company
Many customers contact Celina Tent, Inc. to purchase tents with the hope of starting a rental company. We hear comments like:
“We rent tents two or three times every year…We figure that if we owned a tent or two, we could save money on rentals and we could rent ours out for another source of income…"
OR
“I am looking for a way to make money on the side. A tent rental would be something I could do in the evenings and on weekends...”
What’s involved with starting your own rental service?
When Celina Tent was a rental business we charged $200.00 per event for a 20’ x 20’ pole tent. A new 20’ x 20’ tent can cost between $1,065.00 and $2,200.00 depending on the model, accessories, and hardware strength.
Let’s say that you were to buy a 20’x20’ Classic SeriesPole Tent with ratchets, galvanized poles, 42” stakes, anti-sink wood plates, and royalty sidewalls with bags (our most popular choice). At around $2,200 (before shipping), it would take 8 rentals at $300 to fully earn back the cost of the tent. In most areas this could be done in two months.
With good maintenance, a tent can last up to ten years or longer, which would earn thousands of dollars over the life of the tent. The real cost and effort lies is marketing and advertising your service to let people know that you have tents for rent!
New Business Breakdown
The key to any successful business venture is good management. Here are some general tips to help develop your venture. You will need to:
- Give a detailed description of the business and its goals
- Discuss the ownership of the business and the legal structure
- Identify the advantages your business will have over your competitors
Operations
- Explain how the business will be managed on a day-to-day basis
- Discuss hiring and personnel procedures
- Discuss insurance and lease or rent agreements.
- Account for delivery services/transporting your tents to and from installation sites.
Financial Management
- Provide “what if” statements that address alternative approaches to any problem that may develop
- Explain your source and the amount of initial equity capital (Minimal in the case of tents)
- Develop a monthly operating budget for the first year
- Develop an expected return on investment, or ROI, and monthly cash flow for the first year
- Work up projected income statements and balance sheets for a two-year period
- Discuss your break-even point
- Explain your personal balance sheet and method of compensation
- Discuss who will maintain your accounting records and how they will be kept
- Explain the pricing strategy
Marketing
- Write an accurate description of the products/services offered
- Identify the customer demand for your product/service
- Identify your market, its size and locations
- Explain what platforms (radio, internet, mailings, etc.) your product/service will be advertised and marketed on
View Our Complimentary Marketing Strategy Sheet
Concluding Statement
Summarize your business goals and objectives and express your commitment to the success of your business. Advisable Strategies:
- Roll profits back into your inventory, upkeep, and upgrades
- Remember to be customer focused
- Have patience, as slow growth is more secure
Consulting
Celina Tent, Inc. is pleased to offer our no cost, no obligation consulting service to customers interested in purchasing tents and rental accessories. As a leading party tent manufacturer with experience as a full service rental company, we have an edge over the competition because we've been there. We have had phone calls from people who purchased cheap tents from other companies and are bewildered by the poor craftsmanship, complicated parts, and the absence of customer service. We have, through our own lengthy experience, found tips and tricks for installing tents and for keeping tents in good condition longer.
Let us help you, both in choosing the perfect tent for your needs and with tips to keep your events successful and safe.
Disclaimer
Celina Tent, Inc. provides this consulting service to customers interested in purchasing tents and rental accessories. Due to the complexity of business management, we simply cannot accept liability for any result of advice given, either spoken, written, or implied. Our advice does not constitute a binding contract; the customer must assume final responsibility for their own actions.