Mailbox Rental Businesses can be both risky and rewarding investments.
On one hand many successful parcel delivery companies and nationwide mail
services already offer mailbox options. However, with low associated overheads
these ventures can also be extremely profitable and there are numerous reasons
why clientele may choose your service over a more traditional company. For
instance you may offer added incentives like unbeatable prices, 24 hour parcel
access or security or maybe even additional services such as fax to email.
Planning
The first step on your business venture should be
putting together a detailed and well thought out plan. Many people don't properly consider the range of factors needed in a detailed plan, but remember
- this document will shape your company's approach, your goals and your
corporate culture for the years to come.
A good plan will consider both internal factors and
a business’s external environment. For instance your plan should include
detailed plans for the company’s financial overheads, earning projections,
staff structure, earning structure, advertising and marketing and corporate
culture. As well as external factors such as analysing your main threats in
terms of your competitors, their strengths and weaknesses and possible
opportunities (gaps in the market) you can exploit.
Overheads
The primary overheads you will have to consider are
the price of the basic equipment you'll need, such as mailboxes, security equipment,
computers, phones, electricity and other utilities.
Next you will need to consider the cost of a
company’s formation and other legal requirements, such as contracts and terms
and conditions. In addition advertising will also be a factor meaning you will need a website, business cards, brochures and more.
Staffing will also be another area for concern. You
will need to make sure you can find decent employees that you can trust with
your business and who are either trained or are willing to learn.
Evaluation
The first area for
evaluation should be your competitors. Firstly you want to see how many there
are in the local area against the possible clients. You may need to be willing
to move your business near a town or city that isn't too saturated with other start
ups. Additionally you will
want to study their pricing structure and see if you are able to compete. If
you choose to set your prices lower than your competitors, you will have to
consider whether how many clients you will need to gain a profit and whether
this is realistic.
Additionally if your
core mailbox business is not going to be profitable enough, you'll have to look into
what other services you can offer, i.e fax to email services or mail
forwarding. Another option would be to let companies use your address as their
registered business address and charge an additional fee for the privilege.
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| Registered Office Services Have Become Popular with Small Businesses |
Could
I buy an established business or franchise?
Another possibility is to simply purchase an established business that
someone may be looking to sell. This may be the better choice as some of the
work will be done for you and the company may have existing clients. However,
this also requires significant investigation into the reason for sale and
factors involving the business itself, such as its profitability. Another
option is franchising, by opening your own branch of an already successful
company. This will give you a good insight into how the business is run and
will allow you to buy into an already successful business model.
