You have an enormous backyard. The kids have left the nest, and your college buddy is an expert in building concrete foundations in Salt Lake City. He’s been trying to convince you to turn your backyard into a money-making venture.
According to Utah Business magazine, the construction industry faces many challenges, but the amount of work is not one of them. Jimmy wants to strike before the concrete dries or technically, “cures.” But you don’t want to damage the foundation of decades of friendship to be ruined should the business fail.
Doing Research
It’s a confidence-booster to know that Utah ranks no. 4 overall in the Top States of 2019, with its economy and cost of doing business scoring 297 and 217 respectively, both on the top of the rankings.
The Associated General Contractors of America (AGC) is optimistic that the industry will remain robust for the rest of 2019. That said, you still need to investigate the business trends in your area. Look into viable opportunities that might be a sustainable income source for years to come. Plenty of ideas are out there, like going to urban farming, raising trees, and beekeeping.
Tourism, Airbnb and the ADU
It makes sense to tie-up your profit-making activity to tourism, one of the state’s main industries.
But what is the ADU? It’s an accessory dwelling unit in many cities across the US. This means that you can construct a smaller accessory unit right in your backyard. The model might be an Airbnb-style rental. With the many outdoor activities that attract visitors all year round, particularly during wintertime, providing an alternative to staying in a hotel is a viable idea.
In 2015, the average annual earnings for Airbnb hosts were listed at $5,700. In 2018, it climbed to $7,800. Long-term apartment rental is an option but perhaps not that attractive due to rising costs and heavy regulations. The less stringent and sometimes “under-the-radar” home-sharing model is more appealing.
Build a Self-storage Business
Some 54,000 storage facilities can be found in America. It is estimated that the industry’s annual revenue is around $30 billion. This business also makes sense. Tourists who come regularly for a visit can just leave their skiing and snowboarding gear and keep them in locked storage. They don’t have to worry about lugging the same items each time they make their trips.
Since you’re doing it in your backyard, you don’t have to worry about the cost of acquiring land. The estimate is that 25% to 30% of the cost of your build should be allocated to buying the land. Yours won’t be the big and commercial kind, but you can still generate a good income. You need to check the zoning and other city ordinances for compliance.
An Eventful Business
Weddings, birthdays, office celebrations, and other social events have given birth to a wide range of services and an entire industry. This year, the party and event-planning industry logged a staggering $5 billion in revenue with a 2.9% annual growth (2014-2019).
There’s still an option to build a structure like a lounge or a suite, which can be used to receive guests. You might also need to build a storage unit for other things like chairs, tables, and sound systems.
These ideas can help you find your next alternative income stream.
