Business idea

[ForeverTwoWheels]

I'm finishing up my marketing degree and while I'll likely end up working for "the man" for the rest of my life I've always wanted to own my own business. Today I had an idea for a segment of a firearms range/education fantasy of mine that would also have short term rentals.

Want to try that fancy sig out for 2 weeks before buying it? We got it. Want to bring a fancy tacticool rifle on your hunting trip with your buddies? Right here. I think the demand would certainly be there in the marketplace.

Now, of course I immediately wonder what implications there might be for misuse, in other words what I'll undoubtedly hear is "what if some douchebag rents a glock and shoots up the neighbourhood with it!" It's a valid concern and I'm trying to think of ways to mitigate that.

The idea came to me after reading thread after thread in the marketplace of "I bought this a month ago and hate it". This could solve that problem. Spend $60 to carry it for a couple weeks and then we'll even give you half back towards the purchase of a model for yourself if you decide to buy it.

So how could I cover my ass against undesirables misusing what I think could be a fantastic component/feature of a firearms venture.

Thanks.

[FJ540]

Rental guns sounds like a good way to lose your butt. How are you going to insure these? One customer goes out with that brand new Les Baer, and drops it (Or the cop slides it across 30' of concrete), then doesn't have available funds to even ding their card with - you're out.

[xd ED]

You'd be transferring firearms to and from the various client individuals. with all the procedural responsibilities that entails. With firearms, possession is ownership.

[xd ED]

Rental guns sounds like a good way to lose your butt. How are you going to insure these? One customer goes out with that brand new Les Baer, and drops it (Or the cop slides it across 30' of concrete), then doesn't have available funds to even ding their card with - you're out.

Ugh....wasn't even thinkin' about a nice gun gettin' wrecked...

[ForeverTwoWheels]

I guess I was hoping there'd be a way to mitigate it. What's stopping someone from renting a Lamborghini, getting tossed, and driving it through a crowd of puppies and children?

[xd ED]

I guess I was hoping there'd be a way to mitigate it. What's stopping someone from renting a Lamborghini, getting tossed, and driving it through a crowd of puppies and children?

I think the question there is: How does the business owner protect themselves should that happen?

[photogpat]

Consult an attorney for an iron-clad (or as close as you can get) liability waiver, then keep him/her on retainer. Find an insurance company that'll work with your business model. Charge enough $$ to cover your costs/morons/liabilitypolicy. Form 4473 and NICS checks for every "checkout".

#3 - Profit!

[ForeverTwoWheels]

Besides the hurdles do you guys think its a worthy pursuit? Think anyone would use it for what I'm picturing? You don't buy a car without a test drive, why not test carrying a pistol or hunting with a rifle?

[photogpat]

Besides the hurdles do you guys think its a worthy pursuit? Think anyone would use it for what I'm picturing? You don't buy a car without a test drive, why not test carrying a pistol or hunting with a rifle?

If your "checkout" fee isn't ridiculous - I could see it being a good model.

[Ron Burgundy]

I like the idea of being able to rent specialty weapons -- like the long range rifles that don't make sense for me to buy given price point and amount of usage they'd see.

I don't think you'd have a lot of success with run-of-the-mill guns, like Glocks, for example. The way I look at it is, if the gun feels right in the store and I know a little about the caliber, I buy it. I have trouble spending 10% of the gun's cost in rental fees when I can buy it and sell it for 80% of what I have into it if I don't like it.

Good luck!

[FJ540]

I guess I was hoping there'd be a way to mitigate it. What's stopping someone from renting a Lamborghini, getting tossed, and driving it through a crowd of puppies and children?

It's entirely possible that the lambo is easier to insure than a gun rental that leaves your place of business.

I was actually joking with Chuck Rogers about this very thing last week. I'd love to lease a Roger's Precision 1911 on round count like the hour meter used in heavy equipment rentals (only billed on hours used, not time in possession). At even a buck a shot, that $6K gun would be attainable as long as I didn't shoot it too much. Alas, that's not how people make money in the rental business.

Lets look at your proposed numbers for a minute:

$60/2 weeks, and then $30 back upon return. That'd be fine for a $500 glock, as your annual rental income would be $780 (assuming 100% rental - which isn't likely), but lets get something more desirable and look again. Take a $2300 Dan Wesson for instance, you're still only pulling $780 a year (100% rental might be more possible with a more desirable gun), but you've now got a 3 year break even on that acquisition, before even beginning to approach a profit.

While you also have a pretty solid equity base in your inventory (guns don't depreciate terribly over time), it's hard to justify the assets needed to be tied into the business for what's likely very slim margins. Your best case scenario doesn't look good, reality is going to be painful.

[xd ED]

Besides the hurdles do you guys think its a worthy pursuit? Think anyone would use it for what I'm picturing? You don't buy a car without a test drive, why not test carrying a pistol or hunting with a rifle?

The little I've thought this through, I don't see renting-to-sell expensive guns working: If I rent a used, ($3000 new) pistol, and like it, I'll go buy a new one, unless there is a really steep discount. Will people rent(lease) less expensive guns? I don't know. There might be a practical side to it for a customer- trying a new carry gun... but that brings up the need for likely several holsters for each gun...

Re hunting rifles. The performance of the gun/ ballistics will be a known, and the fit/ shooter compatibility could be determined in a gun shop.

[grimbeaver]

Consult an attorney for an iron-clad (or as close as you can get) liability waiver, then keep him/her on retainer. Find an insurance company that'll work with your business model. Charge enough $$ to cover your costs/morons/liabilitypolicy. Form 4473 and NICS checks for every "checkout".

#3 - Profit!

Have to wonder if those costs would make the business model prohibitive. However I do think it's a good idea.

Along the same lines though I think providing a service where you just meet someone at a range with the guns they want to try out would get some good business too. When shopping for a shotgun for my fiance the hardest part was her hesitation to pick something because she couldn't shoot it before we bought it. And then on the other hand you have people who just want to try shooting something different. For some they might fall in love with what they try and buy one. Others might just want to put a few rounds through a really expensive gun for the experience.

But still as others have indicated, I think the profit margins would be far too slim. Especially when you factor in your costs to clean and maintain those guns, not just materials but the man hours.

[Bitter Bastard]

You could certainly market it as a try-before-you-buy plan but in reality I think what you are doing is promising you will repurchase the gun back from the individual at a guaranteed price or percent of the original selling price after X days and it is still in an agreed upon condition. A really good return policy, in essence. And that's probably what it will be since to transfer the gun you have to background check the buyer, log it out in your bound book, and so on. If your hook is the renter can walk away with just $100 out of pocket for a weekend with an Aug or .50 BMG, then you just need a credit card on file to charge if the gun isn't returned in good condition, lost, etc.

Bitter Bastard

[Scratch]

For carry guns, assuming I rented an already used one, I'm not sure I'd want to trust my life to a gun that a bunch of people already used... And returned for some odd reason.

I'd rather try it out at the store then buy new.