Question:
I am considering starting a portable restroom rental company. I am new to the business and have a few questions. The market is mainly split agriculture and construction with very few being used for special events. How many toilets would be a good starting point? Does anyone supplement restroom revenue with temporary fencing? What are some general costs to expect for disposal at a treatment plant? I know the answers can vary greatly.
Answers:
We started with three units and wound up with 80 the first year. However, our name was known as we were adding restroom service to our septic service. Depending on where you are located, special events might be busier than you think. We stay pretty busy doing specials and private party units. Construction is non-existent right now, so don’t plan on that unless you can get in on road construction. Agriculture seems to want trailered units with the sink. You will have more expense there. If you are capable, build them yourself. Our disposal rates are 10 to 12 cents per gallon.
It’s most important to set yourself apart from the competition. Make sure your units are clean. They will sell themselves. Make sure you have company decals on all four walls. Again, they will sell themselves. Sometimes it’s a pain, but keep yourself color matching: trucks, restrooms, etc.
I would pick one brand of portable restroom and stick with that company. Keeping parts in stock is much less costly that way. Same thing with service trucks. I have one flatbed-style truck that is the cat’s meow for making deliveries, and it does well at servicing a route. I have three trucks that are awesome route trucks but only carry two restrooms.
As for pricing, set yourself near the top of the heap. You may be tempted to get customers by cutting the other guy’s price, but that customer will be one who only wants a cheap price, and when someone comes along with a cheaper price, they’re gone. The best customer knows the value of your service and is willing to pay for it. If you do a good job, it won’t take long to earn some of those customers, especially if the competition doesn’t do a good job.
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Go to the Pumper & Cleaner Expo to look at all the products before you buy anything. You really need to evaluate your market to see if there is room for you, and how strong your competitors are. When I started, I didn’t know anything and had an uphill fight for three years to get a foothold. I found out later that my main competitor was fierce, set units for free, half price or two-for-one to get you off the job. So know your market and your competitors. There is money to be made doing special events.
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Start in the spring as this is when everything starts moving. I don’t know what kind of agriculture you have but that could be big for you. I second the suggestion to go to the Pumper & Cleaner Expo. It will give you a chance to talk to all the vendors at one place. Meet with your reps and talk business. The restroom reps will give you all kinds of business advice. They want you to succeed so they can sell you product. Don’t forget to look into deodorizer as well.
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We are based in Great Britain and have only been going two years and would say that although the spring is when things start to move again you need to be out now, meeting with event people and getting your name and brand around the agricultural areas so when it’s time to order, you’re in with a shout. Otherwise, by the time you hit the ground, you will only pick up the stragglers who are less organized and, as such, not the best customers.
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