Car park business idea

Business ideas by directions

The problem of lack of space in cities to store a car makes the car park business idea one of the most sought after. Many car owners would rather leave their car in a nearby car park than near their home.

This is due both to frequent cases of vandalism and theft, and to narrow passages near houses. Often you can see hopeless traffic jams in the courtyards of houses due to an incorrectly parked car or a stop of a special vehicle. You can avoid this by using a paid parking lot with good access. Especially in demand are parking lots near airports and train stations, in the city center, near metro stations and public transport stops. It would seem that a more demanded business cannot be imagined.
However, starting a car park as a business comes with a number of challenges that you need to consider when starting your own business.
In order to avoid losses as a result of wasted investments, it is highly advisable to conduct market research in advance and consistently use a pre-preparedbusiness plan .

First of all, you need to choose a site for the future parking lot.

Logic dictates that it should be located either in the most sought-after places, near transport interchanges, or close to a residential area. At the same time, the presence of other parking lots near the chosen place, as a rule, does not play a special role, since demand always exceeds supply.

Next, the most difficult thing to do is to get permission from the city authorities.

As a rule, it is almost impossible to do this without certain connections. One option is to collect signatures from supporters of the construction of a parking lot and contact one of the deputies on the eve of the elections, but this does not guarantee success. Nevertheless, it is often possible to interest one of the officials and get support.

The ideal option is the acquisition of land in the property. But usually it is only possible to get a piece of land for rent for a certain period. Therefore, calculations and a business plan are so important: the project must pay off before the end of the lease term.

After obtaining permits, it is necessary to prepare and agree on a construction plan that provides for the implementation of all standards, including the width of the passage between the rows of cars. In general, the parking area must be at least 1000 square meters in order for the income to pay off the investment.
The equipment of the parking lot does not require special expenses. It is enough to pave the site, enclose it with a fence, provide lighting and markings, equip a heated room for security.

The initial cost of opening a car park can be estimated at about half a million dollars.

Operating costs include rent, lighting and security costs, staff salaries.

As experience shows, the profitability of the car park business is quite high, the initial costs pay off within a few months. However, this is only possible with a detailed business plan and specific calculations.

On our website you can order a business plan for a car park, in relation to your specific conditions, and all the necessary calculations to start a business.