Issue link: http://psai.uberflip.com/i/1032263
WEEKLY EDITION SEPTEMBER 26, 2018 Tips for Making Money in the Portable Sanitation and Rental Biz KOS HINTS CONTINUED FROM PAGE 8 The sheet should cover basics about how to use your equipment safely, answers to frequently asked questions, and cover "what ifs" like how to handle running out of toilet paper or needing to reach your firm in an emergency. It doesn't hurt to include a short list of fun facts like how many uses they can expect a portable unit to handle and equipment upgrades they might want to consider. Educating your customer this way can increase rental success, provide upselling opportunities, and reduce the number of times you have to respond to routine inquiries. 4. Call before you service or pick up. In the past few years it has become increasingly common for service-based businesses to call ahead when making a delivery or conducting service. This ensures the customer is ready for the service when the driver arrives. It feels like a courtesy to them, but it also saves you time and money. 5. Charge if you spend time waiting around. No matter what you do, there will be situations where the units aren't available, equipment has to be moved, the gate is locked, or something else holds you up. The route sheet may specify that the customer doesn't want you to call ahead – and that's okay, but the onus is on the customer to be ready for your driver's arrival either way. Make sure your contract and pre-rental consultation make it clear that if your driver arrives and is unable to access the units within x minutes of arrival on site, the customer will be charged a waiting fee. Inventory Tips 1. Tag your inventory. Each piece of equipment should have a unique identifier on it. Companies have used various methods for doing this, including using a Dremel-like tool to carve a number into an inconspicuous place on the body of the unit. Doing this allows you to document the full history of any unit, to log its exact whereabouts, and to identify it if it is stolen and decals are removed. 2. Simplify. Back when Southwest Airlines was first becoming "a thing" in cost-conscious travel, business schools studied how SWA kept their costs low. One thing they did that was very different from their competitors is they flew only Boeing 737s. This meant lower training expenses for mechanics and pilots. It reduced the chances of human error. It also meant SWA had to stock fewer parts and experienced less variation — hence, lower associated costs — in what was needed in hangers, tool kits, and jet bridges. You get the point. In the portable sanitation industry it is common, especially when companies are starting out, to have inventories of used units from various manufacturers. There's nothing wrong with this; it gives you a chance to see what you like and what works. However, the more you can simplify your inventory over time, the easier and cheaper it will be to maintain it, transport it, and sell it. 3. Provide equipment or services your competitor doesn't offer. This may seem to be a contradiction of the statement above, but it isn't. We are not suggesting that you get into multiple business lines just because your competitor doesn't do those things. Rather, play to your strengths and abilities. Even if your competitor is huge and you are just starting out, it's possible you'll discover customers want things the competitor can't or won't provide. For example, the PSAI often gets calls from people who want one unit for a weekend. The big companies quite often don't take that business — it doesn't pay for them. But a smaller company with extra units on the yard can fill a niche and make a bit of money pr ovided they charge appropriately for time and travel. -- kk Next week: More tips for making money in the portable sanitation business. Have a tip to share? Send it to karleenk@psai.org PAGE 9