Rental as a business - is it difficult to organize your own business?

How much money do you need to open a bike rental?

Bicycle rental is a simple business with minimal start-up investment. The costs of opening a small bicycle rental point start at 250 thousand rubles. Typically, the main starting costs include the purchase of 10 - 15 bicycles and the purchase of spare parts for them. With proper business organization, start-up costs are recouped in one season.

Bicycle rental is a simple business with minimal start-up investment. The costs of opening a small bicycle rental point start at 250 thousand rubles. Typically, the main starting costs include the purchase of 10 - 15 bicycles and the purchase of spare parts for them. With proper business organization, start-up costs are recouped in one season.

Why is rental still relevant, because today you can buy a new bicycle for only 5,000 rubles?

The main reasons for the demand for rental:

Reason 1. A city dweller simply has nowhere to store a bicycle, you can’t put it in your room, the balcony is also occupied;

Reason 2. Bicycles are often rented by small amateur groups (couples) who ride only a few times a season and because of this there is no point in buying their own bike;

Reason 3. At the rental point there is always a choice of different types of bicycles, for example mountain, road, double-suspension, etc., and often not for 5-6 thousand rubles, but quite expensive models and everyone can ride any of them ;

Reason 4. Rental services are often located in tourist, cultural and resort cities, where the majority of clients are visitors and vacationers who probably do not take a bicycle with them on a trip;

Reason 5. Cycling through green parks and picturesque corners in the company of friends is fun, interesting, sporty and healthy!

Choosing a room for tool rental.

Experts advise not to chase prestigious places in the city center. In many cities there are entire areas whose residents very rarely go to the center, but every day they go to the same places near their home. Or areas where a large number of homemade craftsmen predominate, in Yekaterinburg, these are the Uralmash, Khimmash, etc. areas. In fact, the most frequent clients of rental shops are residents of nearby buildings, so choose neighborhoods with large multi-storey residential complexes. A small pavilion next to a hypermarket, a room in a shopping center or a basement next to a busy street may be suitable for a rental point; the most important thing is that the entrance is from the street and not from the yard. The total area of the required premises for a rental point is up to 40 square meters.

Where to start opening a bike rental

To open a bicycle rental point you need:

Registration of individual entrepreneurship. As a taxation system, you can choose the simplified tax system, UTII or patent;
Rent a room from 20m2 or install a mobile trailer for storing bicycles and equipment;
Purchase of 10 – 15 bicycles, with a total cost of 150 thousand rubles;
Hiring workers from 2 people. For daily operation of a rental point from 10:00 to 19:00, it is enough to set a shift work schedule for 2 people.

Let us highlight the main conditions for the successful organization of a bicycle rental point:

The rental point should be launched in a city with a population of at least 50 thousand people. A rental point opened in a rural area will not even cover the start-up costs, since there will be very few clients. The exception is resort villages, where there are many tourists in the summer;
The bicycle rental point should be located in areas with high traffic volumes. It is also necessary to have favorable conditions for cycling, for example, park areas, tourist centers, etc.
Availability of different models of bicycles at the rental point: mountain, road, double suspension, women's, children's, etc. The assortment is necessary, first of all, in order to please every client, since families, young couples, children of different ages, fans of fast driving, etc. will come to the rental office. Naturally, each of them has its own type of bike. It is better to purchase bicycles during the off-season, when the manufacturer sets minimum prices.
Bicycles must be of good quality; you should not skimp on cheap models. It is better to take 15 expensive and high-quality models than 50 cheap ones that will quickly fail. For a small city, it is enough to purchase two models for each type of bicycle. Further in the course of activity, depending on demand, you can purchase the necessary models.
Availability of a bicycle repairman at the rental point, since bicycles will break down and someone will need to repair them. Plus, you can provide repair services, which will bring additional profit.
The bicycle rental point is a seasonal business that lasts from April to October, so it is necessary to open in the spring.
Presence of competitors. If a bicycle rental office is already open nearby, then in most cases it is better to organize the business in another location.

Compliance with these conditions will increase the profitability of the rental point several times.

A separate topic of conversation is the theft of rented bicycles. Of course, you will take an identification document (passport or driver's license) from the client as collateral, but there is a possibility of submitting counterfeit documents as collateral. Taking the full cost of a bicycle as collateral is not an option; rarely does anyone have a large amount of money with them. However, such situations will not occur often and are unlikely to have a serious impact on the profitability of the rental store.

Staff.

Tool rental involves rapid wear and tear of the rented tools; to maintain them in proper and working condition, the company has an equipment repairman on staff. Usually this is a person with a technical education, who has worked at a factory for many years, has not only theoretical, but also practical knowledge of how the tool works, how it works and what breaks most often. Recently, entrepreneurs have brought a lot of fresh ideas to the industry; for example, if you have a limited budget, experts recommend not hiring a tool repairman on staff at first. If you purchase equipment with a warranty, then the repairs will be carried out by the manufacturer. And when you need a repair specialist, you can hire him on the principle of outsourcing, as if renting him. In our case, a repair specialist will be on staff, because In addition to repairing the company's equipment, his job responsibilities will include repairing third-party tools.

An employee is also needed to receive and issue tools, whose tasks also include the process of drawing up an equipment rental agreement, accepting funds, and also a very important task, this is instructing the client on working with a particular tool in order to avoid misunderstandings in the future, when, for example, they take a drill with a drill bit for concrete, but they are trying to drill metal. At the initial stage of a tool rental business, this function can be performed by an equipment repairman or directly by the business owner.

Because business involves renting equipment, but it is not always used carefully, or is not returned at all; to conduct claims work and collect fines, and so on, legal assistance is needed, for this it is necessary to outsource to a law firm. In our case, accounting is carried out by the project initiator himself. The delivery of large tools, if necessary, is also carried out by the owner.

How much can you earn from this business?

Let's calculate the approximate profitability of a small rental point for 15 bicycles located in a park area of a city with a population of about 300 thousand people.

The average rental price in the regions is 150 rubles per hour. Let about 20 people use the rental service on one weekday (on average 1-2 people per hour). On weekends, for obvious reasons, the number of customers doubles, that is, about 40 people per day. In total, it turns out that in a month (minus 5-6 rainy days) about 500 people will use the rental service. Revenue in this case will be about 96,000 rubles per month.

At the same time, the monthly expenses of the rental point include:

Rent, from 5 thousand rubles;
Salary for 2 employees, from 25 thousand rubles;
Repair, depreciation – from 10 thousand rubles;
Taxes and contributions to the Pension Fund of the Russian Federation – from 10 thousand rubles;
Other expenses - from 5 thousand rubles.

Total net income per month will be 41,000 rubles. For 6 months of operation (from April to September), the total profit of the rental point will be 246,000 rubles.

Additional income for a rental point can be obtained through:

Bicycle repair services;
Trade in bicycles, spare parts and other sports equipment;
Including additional equipment in the rental: roller skates, kites (for children), scooters, etc.

Additional services will increase revenue by 1.5 - 2 times.

You shouldn't expect extra income from renting bicycles. Rather, it is a proven seasonal business, with low start-up costs, and does not require special training and experience from the entrepreneur. At the same time, you can recoup the costs incurred in the first season of work. These facts make the bicycle rental business accessible to many beginning businessmen.

How should the room be equipped?

There must be a telephone in the rental premises. Of the special equipment, shelves or racks on which the samples will be displayed are sufficient. It is advisable to always have various catalogs and instructions for equipment. This should be taken care of when purchasing tools. And, of course, it is advisable to have a computer in the room - registering clients only in a handwritten journal in our time can already cause mistrust and speak of the “undisoryness” of your company.

Any technical devices tend to break, especially in inept hands. Therefore, it can be very profitable to combine the rental of power tools with their repair. In this case, you not only provide an additional service, but also save on servicing your rental equipment. A correctly selected price for repairs, rent and collateral coefficients will constantly attract more and more new clients to you, and word of mouth will become free advertising. If you love and know power tools and know how to communicate with people, then “tools for rent” is the business just for you. Despite the fact that the payback period for such a project is quite high and is at least 6 months, it can and should bring good and stable profits.

What equipment to choose for a bicycle rental business

The main equipment when starting a bicycle rental business will be the vehicles themselves. To have an extensive network of clients, you will need to purchase various models. For example, if a rental point is opened in a park equipped with sandy paths and dirt tracks, then the main part should be occupied by models equipped with a rear shock absorber, as well as cross-country ones. Models designed for urban areas are ideal for alleys and embankments. Let's not forget about children's and women's audiences. You will also need to buy vehicles for them. In addition, you need to purchase a good tool for repairs and maintenance. You will also need to buy additional equipment, which includes helmets and elbow pads, pedal straps and knee pads, gloves, etc.

Rental or lease, features of contracts.

In fact, rental is a special case of a rental agreement. Their main difference is that when a company rents out a tool, the person receiving it does not legally have the right to use the equipment for commercial purposes.

That is, when renting a construction tool, the client cannot use it to make a profit, for example, rent it to some other people or go drill holes in concrete for money; for this, he must rent this equipment or have his own. Both agreements are very risky for the company, because in case of non-repayment, it can lose a lot of money. Therefore, in many tool rental companies, when drawing up an agreement, a deposit is taken from the client, which amounts to up to 100% of the cost. In some cases, a company should think about insuring its property against non-return; special companies provide such a service.

What documents are needed to open

The best option when registering a bicycle rental business would be individual entrepreneurship. For this we will need the following documents:

application to the Federal Tax Service of the established form;
photocopies of the passport of a citizen of the Russian Federation;
pay the state fee for filing and consideration of the application.

For the rental point itself you need:

book of complaints and suggestions;
rules and conditions of rental, skiing;
cycling safety magazine.

Business registration, necessary licenses and permits.

For this type of activity, it is enough to register as an individual entrepreneur. There is no need to obtain special licenses and permits for this type of activity; it is enough to fulfill the general list of requirements for opening a retail outlet and rental office, namely:

— compliance of the premises with the standards of the SES and fire inspection service;

— registration of the enterprise with the tax office;

— opening a current account for settlements with clients.

When registering an individual entrepreneur, we choose a taxation system. We chose a patent for our rental point because... tax legislation allows this to be done; according to the classifier, it falls under clause 40 “rental services”. All procedures for this type of taxation have been significantly simplified. Let's give an example: for the city of Yekaterinburg, if there are from 1 to 5 hired workers, the annual tax of our enterprise will be only 25,215 rubles.

For our activities we choose the following OKVED codes:

71.32 “Rental of construction machinery and equipment”;

71.40 “Rental of household products and personal items.”

Technology for running a bicycle rental business

The main technology of doing business is to attract the maximum number of customers. To do this, you need to place advertising boards near the rental point. You can attract visitors by distributing flyers or advertising on the Internet.

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Pitfalls of tool rental

Tool rental has its nuances, which often become an unexpected challenge in the first stages of business development.

“Everything that can be broken, will be broken” is the humorous rule of many people who rent relatively inexpensive things. Indeed, if a client leaves a scratch on a rented car, he will compensate for the damage caused without unnecessary disputes, and if a construction tool breaks or loses its presentation, the culprit often simply refuses to pay. To reduce the number of such cases, experienced entrepreneurs advise introducing a fine for causing harm to the company and concluding a special agreement with each client. The document will serve as proof that the company is right if the culprit goes to court. But still, you should not impose large fines, because then a dissatisfied client will be able to file a complaint with the supervisory authorities; similar situations have arisen more than once.

Which tool is more profitable to rent?

The demand for a rental instrument depends on your client audience: companies and individuals. To determine your niche, you need to determine who your regular customers are - those who work in roofing repair services, finishers or carpenters. Conduct an analysis of the competitive environment and the objects that your area is oriented towards - multi-storey buildings, private development, industrial facilities. Perhaps your main clients will be home craftsmen or summer residents. Their main pain is mowing grass, sawing firewood, and occasional carpentry work. Such customers need trimmers, chainsaws, and grinders.

On the contrary, small companies that work in a cottage community near your point will be interested in formwork, concrete mixers and low-height scaffolding. Such clients will also have a request for ready-made formwork for pouring shallow foundations.

Several alternative business formats

The tool rental business is interesting because of its additional opportunities. We have already talked about one of them (repair and maintenance). You can also organize a “husband for an hour” service (minor household repairs) based on your main activity. There is also the possibility of creating a service agency for construction, installation and landscaping work. In the context of rapidly growing cottage communities, grass cutting or snow removal services will be in demand.

Professional business plans on the topic:

Business plan for renting construction tools (25 sheets) - DOWNLOAD ⬇
Business plan for renting special equipment (15 sheets) - DOWNLOAD ⬇

In apartment buildings, your workers will be able to cut openings in the walls or perform plumbing work. It all depends on your response to market demands. And such experiments will be low-cost, since you already have a material resource in the form of a high-quality instrument. All that remains is to select qualified workers. As an alternative, you can use the labor of employees of outsourcing companies.