Small storage units in a leased warehouse

People moving, downsizing or renovating, students, and small businesses or online sellers needing extra stock space.

Monthly rent per unit, with rates by size. Extra income can come from selling locks and boxes, and from admin fees set out in your contract.

• Budgeting and lease negotiation
• Marketing locally and online
• Customer service and record keeping

• Check the lease allows subletting and storage use, and check zoning and fire code with your municipality
• Commercial general liability and property insurance; customers' goods are usually not covered by yours, so make this clear in contracts
• Prohibited items such as hazardous materials and food, which should be banned in your rental agreement
• Unpaid rent and abandoned goods; check your provincial rules before taking action
• Slow fill-up period, since you pay lease costs while units are empty
• Registering for GST/HST once revenue passes the small supplier threshold, and checking if provincial taxes apply

Estimates suggest startup costs typically around $15,000 to $70,000, depending on the size of the warehouse and how you partition it. Remember you pay lease costs while units are empty, so allow for a slow fill-up period.

Monthly revenue is typically estimated around $3,000 to $14,000, depending on how many units you build and how quickly they fill. Expect a slow fill-up period at first while your lease costs continue.

Check that your lease allows subletting and storage use, and check zoning and fire code with your municipality. Also check insurance, since customers' goods are usually not covered by yours, and GST/HST registration once revenue passes the small supplier threshold.