How Much Does A Self-Storage Franchise Cost?

If you are looking to invest in a profitable franchise business, then a self-storage franchise is the best option for you. But how much does a self-storage franchise cost?

According to Proficient Market Insights, the self-storage market size was valued at USD 54067.32 million in 2021 and is expected to expand at a CAGR of 7.53% during the forecast period, reaching USD 83572.52 million by 2027.

So, investing in this franchise business will definitely be profitable in the coming years.

Let’s move on with understanding more about self-storage franchise cost.

What is A Self-Storage?


Self-storage is a service provided to people who need extra space to keep their belongings.

In simple words, it is an industry that rents storage areas, also known as storage units, to tenants.

It is usually for a short period of time (month-to-month basis), but both short and long-term leases are provided according to the needs of people.

There are many reasons people use self-storage units. Here are a few reasons:

  • Moving
  • Decluttering
  • Storing a vehicle
  • College Storage
  • Business Storage
  • Home renovations
  • Military Living

Types Of Self-Storage Units

Outdoor Storage Units

Selecting a suitable storage unit according to your needs is essential. After all, you don’t want to end up paying more or getting extra space that you don’t need.

To avoid situations like this, you can estimate how much space you need by measuring the size of your belongings.

Assemble your belongings in a driveway or garage in the exact manner you would keep them in the storage unit.

Measure the dimensions of your pile using a measuring tape and compare them with the storage unit sizes.

Here are some standard storage units you can choose from:

1. Indoor Storage Units

These units are the safest option for your belongings. These are climate-controlled units for storing any sensitive items to temperature changes.

2. Outdoor Storage Units

These are units with no climate control and are similar to your garage or backyard shed. Your belongings are entirely covered and locked away.

However, these units are convenient for loading and unloading as they have drive-up access.

3. Common Storage Units

These storage units are the size of your bedroom or guest room. These are 10×10 storage units that will fit the content of two bedroom sizes.

The Pros And Cons Of Self-Storage Franchising

The Pros And Cons Of Self-Storage Franchising

No doubt that investing in this franchise business will be a good investment, but you should always consider the pros and cons before investing in any business.

Here are some pros and cons of investing in self-storage units:


1. Use of Space

Self-storage facilities accommodate a number of tenants and use. Self-storage franchising is a versatile investment as it can easily be adapted to meet market changes.

2. Steady Income

The demand for self-storage units is growing rapidly, which ensures a steady income source.

Also, the rent is received on a monthly basis which provides a reliable and predictable source of income.

3. Low Maintenance Costs

When compared to other commercial real estate investments, a self-storage unit requires less maintenance.

In self-storage units, the tenants are responsible for maintaining their own units, and minimal staff is required to maintain these units.


1. Exposure To Economic Downturns

Self-storage facilities are easily exposed to economic changes. During any economic downturn, you can expect a decrease in revenue and lower occupancy rates.

2. Maintenance and Repair Costs

You must always be prepared for any maintenance costs or repairs required in your self-storage units. In the cases like unforeseen events or any natural disaster, the repair cost will significantly get higher.

3. Market Saturation

Market saturation is the most critical con to look for when investing in a self-storage franchise.

Some locations may have numerous numbers of self-storage units, which will lead to lower occupancy rates and decreased revenue.

How Much Profit Do Storage Unit Owners Make?

How Much Profit Do Storage Unit Owners Make

The potential profit of any self-storage business depends on

  • Size of the facility
  • Operating efficiency of the business
  • The market rent for the area

However, on average, a storage unit owner earns $184,500 annually. This is an estimate taking a storage unit facility of size 50,000 square feet x an average annual rental rate of $9 per square foot that makes $450,000 annual revenue.

Who Should Consider Investing In A Self-Storage Franchise?

Who Should Consider Investing In A Self-Storage Franchise


Professionals such as doctors, lawyers, or accountants should consider investing in self-storage franchises. This will give them a second business opportunity while continuing their profession.


Entrepreneurs who are looking for an investment that will give them a solid return on investment. Also, to receive real estate appreciation in the coming years.

Real Estate Investors

Real estate investors who are looking for higher returns without the headache of typical tenants.

Families or Couples

Families or couples who want a strong cash flow for the coming years and want to start a business of their own and work together.

Existing self-storage owners

Existing owners who want to expand their business and have a vision to make it well established in the local location or the country.

How Much Does A Self-Storage Franchise Cost?

Public Storage Franchise Cost

Self-storage not only helps individuals store their belongings but also help business to store their valuables like office supplies, furniture, and more.

In order to succeed in this business, you need to know a few maintenance skills, keep it clean, and supervise the property to prevent any theft and vandalization of the property.

Every company has different requirements for initial investments, franchise fees, net worth requirements, royalty fees, and advertising-fee.

We estimated that the minimum initial investment required by any company is $5000, and the maximum initial investment required is $1,500,000.

However, this may depend on the company and location.

While some companies can also expect you to make total investment and liquid capital.

For instance, to buy the franchise of Storage Authority, you’ll need to have liquid capital of $800,000, a minimum net worth of $2,000,000, and a total investment of $5,000,000 to $8,000,000.

To get more ideas on where and how to invest, these are the 10 best self-storage companies you can invest in.


Investing in a self-storage franchise is a profitable business, but how much a self-storage franchise cost depends on a plethora of factors that you must consider.

However, being a profitable business to invest in also comes with its disadvantages, so make your informed decision and approach the investment with caution.


What are the risks of investing in storage units?

The most common risk in self-storage is that the tenant may default on the rent, leaving the owner responsible for the entire rent.

Is a self storage business a good investment?

No doubt self-storage is a good investment and a thriving one, but it is easily exposed to economic downturn.

How much does a self-storage franchise cost?

There’s no exact amount available. The amount of the investment depends on the company you want to collaborate with and the location.

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