Advertising has always been an important and vital alternative for the growth of companies and therefore millions of dollars are invested annually in the different media. And in billboards it is no less because they represent an excellent medium of great impact for the promotion of products and services.
What is the business
Basically the role of the business is focused on the development and rental of billboards to different organizations and companies. You can shape the business from 2 perspectives.
- Manufacture the metal structures yourself through a specialist in the field, install them and then rent them, or
- Partner with someone who invests in construction and dedicate yourself specifically to the business of renting them
The advantage of this business is that the investment can be gradual, starting for example with one or two fences at the beginning and increasing the number as the capital returns. In addition, it also has the advantage that fences can handle a variety of sizes and designs, so you can start with the small fence rental and later continue with larger structures.
Of the rents
Fences are usually rented for periods ranging from 3 months to 12 months, offering your client some benefit in price if the rental contracts are longer. Usually the rental costs range from:
- us $ 90 per month for small fences
- us $ 200 per month for medium fences
- us $ 500 a month for giant fences
The investment
Regarding the capital to be invested, the cost of manufacturing and installing the fences should be considered mainly, but you should also be clear that the model of this business contemplates that the initial investment (which is the strongest), is made only once. and then the rental profits are high because the investment no longer has to be made every year.
Hence, it is necessary to consider a return on investment that will take approximately one year and later the profits are equivalent to almost 90% during the time that the fence remains located at a point.
The costs of manufacturing a fence (installed) are approximately:
- Small fence us $ 125 – $ 200
- The median of the municipality is $ 300- $ 600
- Giant valla us $ 1500 – $ 2500
How to start
The first important steps in shaping the business consist of
- Find a manufacturer of metal structures that offers you wholesale prices and that it works well. Fence designs are usually relatively straightforward, and you can even find basic model blueprints on the web.
- Find the various fence locations. Regularly this work requires being very observant to be able to find points with excellent visibility and traffic of cars and pedestrians so that the fence can be attractive for the client and for the target market. Most of the times the locations are private property and in others they are owned by the government, so in both cases it is necessary to establish contact with the owner to request the rent of a space to put up the fence in exchange for a rent paid quarterly. In most cases, homeowners, as long as they have requested spaces that are almost always idle, will be happy to receive a few extra dollars to rent them for billboards.
- Establish a contact with a print designer and manufacturer in vinyl to be able to print and place the printed arts of the advertising of your clients. At this point you should consider the support of some workers for the facilities. Work that can also be easily learned.
To finish and as I have always mentioned, it is important to develop a business plan to help you visualize all the details of the business, which also includes a budget. And, I cannot fail to mention that the super vital counterpart in this business is sales.
Once you have devised the strategy for preparing, installing, designing and maintaining the billboards, you must be willing to go and find the clients who want to rent them to place their advertising. If you do not have sales skillsYou will have to help yourself with a star salesperson who will do this work for you because this is where the profits come from.
And as I mentioned at the beginning, another great advantage if what you want is generate extra income is that you can start with one or two small fences, install them, rent them and let them begin to work for you so that in the medium term you can have an extra entrance that you did not have. And the only additional work involved is some basic maintenance every 6 months that consists of a little painting, rust repairs and checking that they are clean and in good condition.
Well, here is one excellent business opportunity If you are interested, you can start planning today. The variants can be many (with light, without light, electronic, reflective, in buildings, etc.) and they just depend on you adding a good dose of creativity and enthusiasm.
Other ideas and business plans:
