Garage Space for Rent vs. Cowarehousing

There comes a time for many business owners when operating out of your home won’t work anymore. If money is tight, it may seem like a good idea to find a garage space for rent. Whether your ecommerce business requires more storage than you have available, or your non-profit received an especially generous donation, having a little extra space can go a long way toward helping your organization scale. 

But, if you’re going to explore garage rental spaces, you should also consider cowarehouses. Each type of space offers specific benefits and drawbacks. 

This blog will help you determine which storage solution is right for you – a garage or a cowarehouse. 

Pros and Cons of Renting a Garage Space 

If price and location are your most important considerations, a garage space for rent might be right for your business. But, there are some drawbacks, like a lack of security, capped growth potential, and no storage equipment. 

Pros of a Garage Space 

Affordable: Garage spaces are often some of the most affordable storage solutions because they lack the bells and whistles you may not want to pay extra for. 

Close to Your Home: If you need to access your storage space regularly, there may be more garages close to your home compared to traditional storage or cowarehouses. 

Supports Your Local Economy: Many garages are owned by someone in your community. When you rent from a neighbor, you can feel good about supporting your town or city. 

Cons of a Garage Space 

No Workspace: While there are plenty of businesses that started in a garage, they aren’t ideal workspaces. This limits the space you’re renting to just storage. 

Lack of Security: Most garages don’t include security measures beyond a lock and a key. If you’re storing anything valuable, you may set yourself up for a major setback if the items are stolen. 

Garages can also be hard to keep pests out of. Things like mice and bugs could get into your storage space given the large sliding doors that are hard to seal. 

No Community: Renting a garage is a lonely endeavor. You’ll be the only person making trips to the garage, and your storage solution won’t help you build community. 

There also aren’t any community spaces, like a kitchen or a meeting room. Garages can really only be used for storage. 

No Shipping: You’ll have more room to store products, but what happens when you need to ship those products? You’ll be loading boxes into your car and driving to a local UPS or USPS to send them. This creates an extra step and errand. 

No Expansion Opportunities: What happens when your business continues to grow beyond the garage space? Unfortunately, garages don’t get any bigger, or have additional unused space, so you’ll either need another storage space or, you’ll have to move everything out of the garage to a bigger storage space. 

And no one enjoys moving.

No Equipment: Garage spaces for rent are often basic so they can accommodate a wide range of things. That’s why a garage can fit a retired couple’s RV or beauty products for an expanding ecommerce business. You’ll have to purchase wracks, dollies, and any other equipment you need on your own, adding to the garage’s overall expenses. 

Pros and Cons of a Cowarehousing Space

Some organizations may find that renting a garage space is a short-term solution for a long-term problem. Cowarehousing, on the other hand, offers a long term solution for the long-term problem. 

Pros of a Cowarehouse

Work Space and Warehouse: Cowarehouses allow business owners to use the space in a way that works for their unique business. It’s more than just a storage space. You can make areas for working, production lines, packaging, and more.

Flexible Leasing: While not all cowarehouses offer flexible leasing, at Shift we know that businesses fluctuate like seasons. That’s why we offer flexible leasing agreements to meet your current and future needs. 

Secure: Cowarehouses usually include extra security measures, like 24/7 cameras and after hours monitoring. Plus, there are more people around to keep an eye on your products, like helpful front desk staff and managers. 

Endless Expansion Opportunities: If your business grows when you rent a cowarehouse space, you won’t necessarily have to move. Often, there is additional space available that you can rent, helping your business scale up or down as needed. 

Streamlined Shipping: If you’re regularly putting packages in the mail, it pays to find a cowarehousing space. You’ll be able to send your packages right for your warehouse. You’ll avoid loading up your products, driving to a shipping facility, and potentially waiting in line – letting you focus your time and energy elsewhere. 

Community: Cowarehouses are offer more affordable rent to medium to small businesses compared to traditional warehouses by dividing a warehouse into multiple spaces. Beyond the cost saving, you’ll also be surrounded by other business owners you can work with, learn from, place orders with, and more. 

Equipment Included: You’ll avoid the out-of-pocket expenses when it comes to investing in equipment. Things like wifi, storage wracks, and dollies are all included at Shift. Plus, you’ll also have access to a community kitchen and meeting rooms. 

Cons of a Cowarehouse

Potentially More Expensive: While cowarehousing is more affordable than traditional warehouses, it is likely more expensive than a garage space for rent. But the price is often offset by the amenities like security cameras, storage wracks, meeting spaces, and more. 

Limited Proximity Options: There aren’t as many cowarehousing spaces available for rent as there are garages. So, there’s a chance that your storage facility could end up further away from your house compared to if you rented a garage space. 

Who is Cowarehousing ideal for?

There are a wide range of businesses and organizations that can benefit from cowarehousing. Below are just a few examples. 

• Ecommerce retailers
• Startups and small businesses
• Seasonal product suppliers
• Importers and exporters
• Consumer goods manufacturers
• Wholesale distributors
• Technology and electronic companies
• Medical and pharmaceutical businesses
• Subscription box services
• Art and antique dealers
• Home cleaning businesses 
• Non-profits
• Soloprenuers
• Event management companies
• Home stagers and home goods suppliers

Ready to Check Out a Cowarehouse?

While not every business or nonprofit is ready for a cowarehousing space, many may find that it’s a smart and easy way to scale. It’s one way you can skip the garage space for rent and set up in a more formal warehouse. 

We help small businesses and nonprofits scale with affordable, flexible warehouse solutions in Atlanta. We’re also expanding to Dallas, Fort Worth, and Denver soon! 

Located elsewhere? Sign up for our email list (at the bottom of the page) to stay apprised of when a Shift Warehouse is opening near you!