Working for his family event rental business in Fresno, California, inspired young entrepreneur Michael Viramontes to branch off into a related business he could call his own. But the growth of The Lavatory’s initial two restroom trailers into a 100-trailer business offering restroom, shower and laundry trailers has surprised even him.

Entrepreneurship runs in the family. Viramontes’ father, Mario, once operated a business preparing and marketing his own brand of salsa. While attending trade shows, he became more interested in the business of managing the shows themselves. Assisting one particular contractor in booth teardowns following the shows he attended, he was inspired to buy the company, relaunching it as Expo Marketing in 1991.

“Expo was a trade show company that began to branch out into event rentals, offering tents, tables, linens and other equipment,” Viramontes says. “I’m the youngest of five siblings and we all worked for the company in some way when we were younger, but I’m the only one who stayed with it.”

Viramontes’ parents were open to having him take over the family business one day, but with the proviso that he first earn a college degree and invest at least four years working for another company in the same industry.

He satisfied both requirements at the same time. In 2013, he began working for Diamond Event & Tent in Utah while attending Brigham Young University. He graduated in 2017 with a degree in business management.

But returning to Expo following graduation, he came to a realization:

“My dad was never going to give me much of a pay raise, so I began to look for a side hustle that was complementary to what I was familiar with.”

TRENDING TRAILERS

Expo had received numerous calls for restroom rentals, something the company never offered. Viramontes began exploring options to offer restroom rentals to clients through his own company.

“Expo clients were looking for luxury trailers, not individual restrooms,” he says. “Talking to the people who provided these trailers at trade shows, I realized that there were also higher margins in trailers. But when I tried to find those luxury trailer rental companies through Google searches, they were nonexistent. I figured if they were doing that well with poor marketing, there was a large, underserviced market out there.”

In 2018, Viramontes called a number of trailer sales companies. He initially ordered a single trailer from Lang Specialty Trailers in Pennsylvania, but within two hours of submitting the paperwork, Lang co-owners Adam and Steve Ghrist called him with a lead for a six-month rental in his area for a company building a distribution center.

“I rolled the dice under my new company name, The Lavatory, bid the job and got the contract,” Viramontes says. “I then immediately ordered a second trailer. The first one ended up rented for a year, and I used the second one for weddings, fundraisers and special events.”

But with a stronger Internet marketing effort and concentrating on the right Google SEO combinations, contracts to serve central and northern California customers kept coming, a combination of about 40% events and 60% construction.

“I was closing on almost all my bids and they were going longer and longer term, even as weekend rentals were increasing,” he says. “The expansion was almost crazy.”

By the end of year one, The Lavatory offered nine trailers. That grew to 19 in year two, 30 in year three and 100 today.

Lang supplies all of The Lavatory’s trailers.

“People ask me why I don’t shop around,” Viramontes says, “I ask them if they would rather have a lot of acquaintances or one good friend who returns your loyalty. I can call Lang on a Saturday night and someone will help me.”

SBA LENDS A HAND

While he financed the early purchases, lenders eventually became reluctant to accept The Lavatory’s long-term rental contracts at face value, forcing Viramontes to find alternative short-term financing that could be repaid by rental income. At the same time, the company maintained low overhead by operating from Expo headquarters and contracting Expo drivers to move trailers.

A loan from the U.S. Small Business Administration allowed him to refinance and lower his interest payments — and also expand his rental fleet to include two dedicated shower trailers, a laundry trailer and several ADA units.

“I keep the restroom trailer orders uniform,” Viramontes says. “I have some two- and nine-station restroom trailers, and some two-station ADA trailers, but the majority are five-station. The capital cost isn’t much greater, the trailer size is similar and the cost of delivery and setup is the same. I figure that a two-station can never substitute for a five-station model, but I can give clients a free upgrade if they only ask for two.”

The same units are dressed up with removable rugs, luxury soap dispensers, plants and wall hangings, so they can be used for both construction and special events. However, all of the units are upgraded to heavy-duty floors, since Viramontes has noted that floors tend to be the first feature to show wear. 

Of The Lavatory’s 100 trailers, 83 are restroom trailers, five are freezer, 10 are shower and two are laundry. The company owns three RAM 2500s outfitted with air bag suspension to haul the trailers.

The laundry trailers have been rented by clients as diverse as the U.S. Army, a large hotel and disaster recovery organizations. Although they aren’t always in use, they’re big-ticket rentals that more than justify inclusion in the fleet.

Most of the shower trailers serve customers in construction, forestry camps or emergency services.

SERVICE CALLS

The Lavatory’s freezer trailers provide additional services to store food and medication. Clients have included schools, hospitals, local fairs and special event organizers.

The company once counted on pumping contractors to service the units. But indifferent service and high monthly charges convinced Viramontes he’d rather offer the service in-house.

Today, the company employs five people, including three drivers, all trained in portable restroom service.

The Lavatory currently fields four vacuum service trucks. They’re all RAM 5500s built out by Custom Tank Fabrication, with 999-gallon aluminum tanks (800 fresh/199 waste) and Westmoor Conde pumps.

In recent years, The Lavatory has expanded its territory to include Las Vegas, with four long-term rentals and one floater situated there. Inexpensive Vegas flights allow the company to deploy Fresno personnel as needed.

The company also has locations in Arizona and Utah, where two of Viramontes’ siblings live.

“I started the business through them, got a heartbeat on demand in the local market and then waited for some long-term rental contracts,” he says. “Once I have those long-term contracts I can finance moving other trailers to the area.”

Along with family members, he currently co-owns 14 trailers in Arizona and eight in Utah.

The Lavatory recently began testing the waters with restroom trailer service in Oahu, Hawaii, in a market research revealed was underserved. The company recently transported a five-station trailer to the location by ship on a confirmed long-term rental.

“As we get a feel for the market in Hawaii, we will consider adding slowly to the units on the island,” Viramontes says.

HELPING HAND

General manager Matt Salazar assists Viramontes. He originally worked for one of the pumping contractors The Lavatory once used. Impressed when Salazar responded to a service trailer backup call on a Sunday afternoon, Viramontes later invited him to become part of the team.

“He knows the business, he’s independent and he gives a damn,” Viramontes says. “My business wouldn’t be where it is without him.”

Salazar says he loves the role because it gives him the freedom to act and innovate.

“I’m not the kind of person who likes to sit behind a computer,” he says. “My duties range from sales to scheduling to dispatch to delivering trailers. I’ve also been able to improve customer communication and streamline billing. When I suggested to Michael that the Las Vegas market was underserved, he agreed and we opened a new location there.”

Salazar personally oversaw the christening of the new restroom trailer service in Hawaii.

“Hopefully we can bring some new ideas about the potential for restroom trailers to the island,” he says. “It’s energizing to know you’re making a difference.”

Now just 31, Viramontes is preparing to take the reins at Expo, as his parents signal their intention to step back over the next few years. However, The Lavatory will continue to provide opportunities for growth.

“The Ghrist brothers told me that after I bought my first trailer, I would never want to personally set up a tent again,” he says. “They were right. What I thought was a detour has become my main business. Even when I tell myself I’ll never buy another trailer, I know I’m not being honest with myself.”

For more information about The Lavatory of Fresno, California, visit thelavatory.com.