More people are purchasing cars, and the demand for parking spaces has increased significantly. Finding a safe parking lot is becoming a problem, and this is where the parking lot business opportunity emerges.
A private parking lot business provides customers a convenient and safe space for automobiles.
Starting a parking lot business requires ample space, a parking attendant, a surveillance system, and payment collection software. To increase your income, you can introduce an EV charging station.
A parking lot business is an excellent low maintenance business since you do not need to be there physically, as you can fully automate the parking lot as a self-service facility, available 24/7.
Starting a parking lot business requires a great deal of effort, dedication, and most importantly passion.
If you're interested in how to sell parking, or selling parking online, you can use this page as a guide for everything you'll need to know.
Want to learn more? You can check out our full guide on how to start a parking lot business ➜
|Min Startup Costs||Max Startup Costs|
|Office Space Expenses||$0||$7,000|
|Employee & Freelancer Expenses||$151||$352|
|Business Formation Fees||$5,600||$20,400|
|Equipment & Supply Expenses||$66||$700|
|Retail Business Expenses||$1,250||$5,450|
|Advertising & Marketing Costs||$75||$3,386|
|Total Startup Costs||$7,527||$47,597|
|Parking mobile app & payment solution||paybyphone.com||#191,925|
|AIMS Parking Management Software||aimsparking.com||#259,531|
|SP+ Parking Management Services||spplus.com||#334,001|
|On Air Parking||onairparking.com||#409,451|
|Ace Parking Management, Inc.||aceparking.com||#837,624|
|Flexibility||You can put as much time into the business as you'd like. If you like the work and have some initial experience, you can start small and manage all aspects of the business on your own.|
|Meaningful business connections||You never know who you will meet as a parking lot business. This could be the start of an incredible business opportunity!|
|High customer retention rates||Once a customer invests in your product, they've invested their time and energy to utilize your product/service which is highly valuable to them. Typically, your product or service becomes indispensable to your customer.|
|Pick & choose the clients you work with||Parking Lot Businesses have the ability to choose the clients they work with. You have the freedom to work with only a few loyal clients or with hundreds of clients!|
|Control of workload||With starting a parking lot business, you have the unique ability to choose how little or how much you want to work. You also have the freedom to decide which projects you want to work on, and can turn down the ones that do not interest you.|
|Unlimited income potential||With starting a parking lot business there is no cap as to how much income you can make. The stronger your business skills and the more energy/time you put into your career, the more you'll make.|
|Motivation of employees||If you plan to have a sales/content team on board, finding creative ways to motivate them can be a challenge. It's important that you're able to offer great incentives and a good work environment for your employees.|
|Longer Sales Process||A parking lot business can be a big time and money investment for your customer, so it's important you plan and predict a longer conversion funnel and stay in communication with potential customers.|
|Low margins||The gross margins for your parking lot business are typically around 20%, which can make it more challenging to incur new expenses and maintain profitability.|
|High employee turnover||In the parking lot business, employee turnover is often high, which can be quite costly and time consuming for your business. It's important to try and avoid this as much as possible by offering competitive pay, benefits, and a positive work environment.|
|Taxes||As a parking lot business, you typically pay self-employment taxes which can be quite high. It's important to understand what you will be paying in taxes each year so you can determine if the work you're taking on is worth it.|
|Niche Market||A niche business is not necessarily a bad thing, in fact, it can be the key to your success. However, it can be more challenging and time consuming to find the perfect niche market and target audience.|
Direct sales strategy implies a direct contact between a seller and a consumer without the involvement of any third party. Direct selling is popular in sectors where sellers communicate with their clientele personally. The sales technique occurs at non-store locations which include at home, work, or online.
For direct selling to succeed, hire a few (or many) salespeople to support the sales conversion process. It's critical that you assign them specific roles and responsibilities to nurture the client and provide excellent support.
Word of mouth is when a consumers reflects their interest in a company’s product or service in their daily dialogues.
Therefore, word of mouth advertising is essentially a free advertising triggered by the customers experience.
According to Nielsen, 92% of people trust recommendations from friends and family.
Therefore, in today’s hyper-connected world, a single recommendation through a word of mouth can have a huge impact to your business.
A partnership is a formal agreement between two or more entities to oversee business operations and share profits and liabilities.
Creating strategic partnerships with an existing business can be a huge win for a startup.
This is considering that a partnership creates a new slate of future options for your startup.
On the other side, pursuit of partnerships could suck up a ton of time, and bunch of resources, and fail to materialize.
Therefore, entrepreneurs need to do proper research and evaluate the possibilities of achieving success through partnerships.