Starting your own business can be one of the best ways to make a living but also one of the riskiest ways. You will have to start something from nothing and keep building it into a fully functioning business which generates revenue.
As with any business, there will be sufficient capital needed to get things going with no guarantee that the business will be successful or how long it will take to start making a turnover. Not only that, but there will be a number of obstacles and setbacks that will have to be overcome and these can also become very costly. If you spend all of your capital on the startup then you do not leave yourself with a lot of room for error when it comes to setbacks. A lack of cash flow could be the demise of your newly started business, this is why renting equipment could be a great solution to keeping the startup low expense and keeping some cash flow alive for the development.
A good industry to view in this regard is sunbeds and tanning. At bestsunbeds you can buy all the equipment needed to start a tanning bed business, but you can also choose to rest the equipment. This allows you to get your business up and running without the initial investment of having to buy everything that is needed. Leaving you with some much-needed cash in your pocket to invest in other aspects.
Let’s stay with the sunbed business as an example. Much of the industry relies on marketing to get the word out that there is a new tanning studio on the block, along with word of mouth and customers who walk in of the street. This means marketing will take continues cash flow dedication, especially in the early days and weeks. Another big factor is the weather of course if you have warm and sunny days outside, why would anyone want to come to a tanning studio if the sun is freely available outside? This means that for this type of business there can be extended periods of time where clients can be scarce. To be successful you will have to keep all the affecting factors in mind when developing a business plan and strategy.
One of Best Sunbed’s clients decided to start a tanning bed business and they bought all their equipment upfront, this is already a very large investment. After opening they immediately had two very difficult months because of the weather being much better than expected. This led to very few customers coming in and they were off to a bad start. After the expensive initial investment and the rent and salaries of the months to come, and with no money coming in, the owner was forced to close shop and reevaluate. If the owner had rather decided to rent the tanning beds in the beginning then they would have had sufficient cash flow to get through the tough start. She could have kept paying the rest and the salaries until the business saw better days. The owner was forced to try and sell the tanning beds, but these commercial grade machines are not easy to sell second hand. Luckily Best Sunbeds saw the opportunity and offered to get involved and help the business to keep going.
This should give you a good idea of some important things to consider when starting a business that needs some expensive equipment. You can always buy them later on once your business is up and running successfully.
