Party Equipment Rental Services is a very lucrative form of business with a long time residual income value. In most parts of the country, partying is a common practice especially on weekends. It is usually one party or the other. Saturdays and Sundays are known for weddings, birthdays, survival, dedication, thanksgiving parties, etc.
Indeed, people love to have fun and this feat can`t be achieved outside the right ambience and atmosphere that event equipment add to the groove of the day. That is why party equipment rental services especially in happening cities and bubbling towns in Nigeria is a treasure to invest in.
Anybody organising a party wants it to be a success. So, they spend money on all the materials needed for the success of the party. This is where party equipment rental services will be required. Because, all of the chairs, tables, tents, cooking equipment and the likes will be required for the success of the event. Since the person holding the party may not have all of these materials, it will be necessary for such a person to rent the equipment.
Party Equipment rental services involves renting or leasing equipment like chairs, tables, commercial cooking equipment, tents and so on, to people, for the smooth running of an event or occasion.This kind of business requires huge start-up capital. But, the good thing is that, once you are able to get all of the equipment needed, you will continually make money with them. The same sets of equipment will generate income for the business.
Let’s do a little analysis of chair rentage and how it generates income. The market price of one armless plastic chair is N1000 while rentage is about N1,000 per dozen. If you buy 120 plastic chairs, which is 10 dozens, it will cost about N120,000 or less. If, for instance, you give the whole ten dozens of chair out on rent for N1,000 per dozen every weekend. That means the chairs will be generating N10,000 as revenue every week.
The more often you get patronage, the faster it is for you to cover your costs of getting the chairs and start making profit. That is why, you need to have a large customer base and do business more often. The same thing goes for canopies and commercial cooking items. You have to buy the pots and pans, get the wood-burning stove or gas stove. Getting these items can cost up to N100,000. But, the rentage of any of these items cost about N300 for one day.
Recently, a get together program was held. We had to rent cooking pots, spoons and the local wood-burning stove as well. Everything cost around eight hundred Naira (N800). We rented the items late in the evening and returned it the next day, after the program. Supposing, another group of people or individual rented the items after we returned it the next day, it would mean that, the person running the rental service has made, one thousand and six hundred Naira (N1600) in two days, with the same items. That is how party rental business works. As long as you have the equipment, you will always make money from such rental business.
Aside from the cost of maintaining the equipment, transporting them in some cases and paying the person(s) that will help you load and offload the equipment into the vehicle, you won’t be incurring any more expenses. Rather, you will be making profit.
One of the benefits of doing this business is that, you can do it from your home. All you need to do is to create space for storing the equipment in your house. It also gives you opportunity to do other businesses while you run a party rental service.
For party equipment rental business, you may need to register your business name with the Corporate Affairs Commission of Nigeria (CAC) and also with the association of party equipment rental service in the area of your location.
Get The Equipment You Need
When you have taken the above steps, you can then go on to get the equipment you will need for your business. Ensure that all of the equipment you buy, are original and up to standard. Go for the types of equipment and brands that are in use. You can take a tour of a few parties in your area and get all of these information.
Also, make sure that the chairs you buy are strong. Ones that will not easily get broken or damaged during transportation or usage and that will last for a long time. And it any chair or equipment get broken by the customer, you charge them for the replacement.
Make Provision For Transportation
Another thing you need to make arrangements for, is means of transportation. Most party equipment rental service have pick-up vans, with their business names written on it.
It is for transporting party equipment to the location of the party. Especially, if the event is being held at a far distance from where the rental service is located and when the equipment being rented are too much to be carried by one person. So, you must have a ready and steady means of transporting the equipment.
Get Customers For Your Party Equipment Rental Services
After you have purchased the equipment and gotten the means of transportation that you need to start the business, the next thing to do is to get clients. It is also an added advantage for you if the business is located where you reside. This is because, you can talk to the people that you know are planning a party and they will rent the equipment needed from you.
The person throwing the party in your area, will not want to go and get equipment from a far distance and get to pay extra cost for transportation.
You can partner with an event management company or event planner and caterers. If you have good rapport with an event management company or planner as well as caterers, they will always rent the equipment needed for the planning of their occasions from you. They will recommend you to other prospects as well.
Start By Giving Discounts And Special Offers
You will need all the advert you can get, for the purpose of getting clients. That is why, you may need to start out by giving discounts and special offers to customers. This will create an avenue for word of mouth or referral marketing. Because, anybody that gets a discount or special offer from you, will tell another person who is holding an event about your service and they will patronize you.
For example, you can decide to give a customer who rented some dozens of chairs from you, one more dozen, as a bonus. It will make the customer happy to the extent of telling others about your services. Note that, your charges must tally with that of other rental services.
Get People To Work With You
You may need to hire one or two people for maintenance, taking record of orders and delivery as well as inventory of the equipment. It will relieve you of stress and also give you the opportunity to do other things along with running the business of party equipment rental.
Party equipment rental services is a very lucrative business in Nigeria. Once you are able to bear the cost of getting the equipment, transportation and maintenance and you are getting clients constantly, you will always smile to the bank.
COST ANALYSIS (Restricted to canopy, plastic table and plastic chair segment of Event Rental Servives)
|canopy||20 by 40 (1 Set)||126,000.00|
|Plastic table||A DOZEN||180,000.00|
|Plastic chair||A DOZEN||30,000.00|
|Truck||TOYOTA DYNA (NOT NEW)||2,500,000.00|