As online shopping becomes ever more popular, it’s no surprise that so many small business operations revolve around the sale of physical goods. While it’s relatively easy to start up with this business model, stock storage can soon become a problem, especially for home-based sole traders.
Stock Storage At Home
Starting small appeals because it minimises risks and reduces the initial financial outlay. This is why many small traders start out with home storage. It allows would-be entrepreneurs to dip a toe in the water without risking the roof over their heads. Effective home storage, however, needs some organisation or the home will quickly turn into a warehouse.
- Choose one area rather than allowing stock to occupy various nooks and crannies. It could be the loft or the garage, but make sure access is safe, secure, and the area is free from damp.
- When a multitude of small items are stored in boxes, adopt a clear labelling system so you can see at a glance exactly what is in each box.
- Stacked boxes can easily topple. Don’t overfill them, and have the heaviest, largest boxes at the bottom of the stack.
- Consider how you’ll take delivery. Some residential streets are difficult for large vehicles to navigate, especially if there are parked cars blocking access. Other difficulties include raised curbs, steps, narrow passageways, or potential disputes with neighbours if you share access.
Storing at home imposes further limitations on small business owners because access and storage space limits the amount and type of stock that can be held. So, while it’s a viable option at the very outset, it doesn’t make the best sense when trying to grow a successful and profitable operation.
Start Small, Grow Fast, With Versatile Storage Options
Choices of storage may seem limited at first glance, with little in between the home option and acres of warehousing. Happily, a middle ground exists up and down the country for those in the know. It comes in the form of self storage units. This versatile storage option is suitable right from the start, as there are many room sizes available.
Apart from size, self storage offers other distinct advantages over warehousing: There’s no VAT, you don’t pay business rates, you don’t share space so security is never an issue, and you can up or down scale as need demands. For small businesses, those differences can add up to big monetary savings and more confident business decisions.
Convenient locations of self storage in most towns and cities make for fast, easy access no matter what kind of vehicle makes the delivery. Other advantages include:
- Staff who will take delivery for you when you can’t be there.
- Long opening hours allowing for flexible working around other commitments.
- Other services such as couriers, and packing materials on site if they’re needed.
- Professional security, with alarm systems and CCTV.
- Forklifts or pallet trucks, and lifts to upper levels.
- Short term rentals from just a week.
Storing away from home also helps with the work/life balance, as there is automatically that important psychological ‘going to work’ division. One of the main pitfalls of a home-based business is never feeling as though you’re off duty.
Building a Complete, Versatile, Solution
Time, as they say, is money, and building efficient operational systems is the key to saving time. Packing and dispatching is one of the biggest time sinks for retail businesses, so when organising storage it helps to consider those two tasks.
Ideally, you’ll need a desk or table in your storage area, and somewhere to keep packing materials. When you can complete all phases of the business in one location, you cut down on handling and travel times, streamlining working hours for maximum efficiency.
Ideally, you also need rapid expansion capabilities in your chosen storage location. Self storage scores here too, enabling business owners to quickly expand or contract their storage areas as stock level demands. Knowing you can rent additional space for a couple of weeks means you can take advantage of seasonal booms or snap up overstock bargains as soon as they appear. Fixed costs also make it easier to calculate returns and adjust pricing.
Whether you’re just starting out in business or you’re figuring ways to grow without risk, the way you handle stock storage has a big impact. Whichever location you choose, make sure it’s secure, safe, flexible and affordable.
Photo credit: Travis Wise / Flickr
