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The Wrexham Acquisition, Big Yellow Figs ... And a blooming lot more!!

Author

dean booty
February 01, 2023

1st Feb 2023

Heeyyy .... Welcome to the very first Mr Self Storage Newsletter!

Mr Self Storage is your all you can eat self storage buffet! .... NOM NOM

Here's what were covering today:-

. Store 4 Sure, Wrexham Acquisition ... The Numbers baby!!

. Industry News

. My Sites ... Il show you my sites one by one ... Today Beverley

  • Thought of the day

. Yesterday's Figures ... How did we do?!

Store 4 Sure, Wrexham ... Deal Unpacked

Last week I acquired a self storage facility! 😅

Ive been asked to share the details - So here they are :- 💰

Site - Store 4 Sure,

Wrexham Indoor / Outdoor -Indoor

Profit - £31,000

Occupancy -77%

Turnover -£110k

Sale Price - They wanted £80k ... So I gave them £90k ... I know, I need to work my negation skills 😃 🤣

Structure Of Deal - Share purchase £45k upfront £45k paid over 2 years (they wanted it paid over 3 years ... I know I know, I need to negotiate better and be a tough business man) 🤣

**RANT** Just on the above ... I hate the fact people think you have to ruthless, be intimidating, a 🛎 end to people, mean and trample over people to succeed at business, you don't! That can work, but I promise if you are like that you may very well succeed at business ... but you 100% lose at life.Be kind and show respect ... Simples! **RANT OVER** 😡

Amount of money in bank -£21k

Outstanding loans -£18k CVID Loan

Amount of money ive actually put in -£24k (paid £45k but they had £21 in bank) ... Net position £24k

Assets in company - Janus shop fit - £200,000 (Janus came down and valued the cost of shop fit today ... immaculate condition by the way)- Forklift ... Selling for £5k ish

Valuation in a couple years -Over £1 million 😍

I know what your thinking .... "OK, Cleaver clogs, how you gonna do that"?! .... Keep reading my friend

My simple strategy -

- Increase price per sq ft

- Charge insurance to current and new customers (at the minute they don't charge for this

- Increase online visibility (at the minute they aren't on page one of Google)

- Start marketing the business (currently none)

- Make site manless and have 24 hour access

- Increase lettable sq ft on ground floor ... Currently the lettable sq ft is just 50%

- Add a mezzanine ... Most of the structure is in place already

- Utilise the compound by adding 40 - 50 containers

- Revenue Management

BOOM - 7 figure valuation!

Now we have to execute!!

Its important to mention that im only sharing information that I have permission to share. It was an awesome experience dealing with the previous owners

Industry News From Home and Abroad -

  • Store Space in the good old U S of A .... Have been head hunting! https://www.investorsobserver.com/news/qm-pr/7884494213025435

  • One for fun ... Well... Not at all for fun really. A cautionary tale ... Drugs in a storage unit - https://www.cleveland.com/court-justice/2023/01/60-pounds-of-cocaine-fentanyl-found-in-cleveland-storage-locker.html

Tomorrows news .... We have some Safe Store results!!

Something to have you licking your lips!!

Beverley - My first Site

  • Opened December 2012

  • Costs £360k

  • Last Months revenue = £12,806

  • Rent = £18k per annum

  • Rates = £7,800 per annum

  • Manless site

  • SQ FT Occupancy = 79%

  • beverley24.co.uk

  • Profit = £130k (ish)

  • Take Away ... Easy to run, mature site, profitable ... Im looking for more outdoor sites. The module works!

My business .... Naked!

Willerby Figures -

  • Only one quote on Tuesday

  • One Res

  • 4 Move ins

  • 1 Move Out

  • This is going to make me cry .... 2,125 sq ft down for Jan! :-(

Clough Rd Figures -

  • Just one quote at Clough Tuesday

  • 1 Res ... 25 sq ft

  • Looks messy ... its because we normally have this data on Stora but we wanted to show you storage legends the data so we had to back date the figs.

  • Jan we finished -10 sq ft ... A "Meh" result

Beverley's Figures (Outdoor) .... My Baby!

  • 2 quotes

  • 1 move in 50 sq ft

  • 1 move out 160 sq ft

  • Finished Jan 35 sq ft up ... Again a "Meh" month

Thought of the Day -

  • Believe it or not im actually bullish about the industry ... Even with the monthly results

- I had a call today with a mentor to go through my Quarterly accounts. This exercise made me realise what a great site Beverley is. I have to start investing in outdoor sites. Outdoor sites are -

  • Easy to run

  • Profitable

  • Less risky ie less capital outlay

  • Expand as and when you want to or when the demand tells you to

SO ... Hit me ...

How did I do for my first newsletter (I painstakingly did all of this myself lol) ... How can I improve? What do you want to see more of or less of?

Loads of Mr Self Storage Man Love :-)

Mr SS

PS .... We'll see you hear tomorrow for your daily dose of self storage and if your eager to learn more about self storage check out our podcast Hacking Self Storage ... With nearly 500 episodes of goodies