How to start a bike rental business with a small fleet

Small is beautiful! Because you don't always want to go in all guns blazing with a huge fleet, and you don't always have the budget for it anyway, many rental businesses choose to start out with a small fleet. To test their project, to start light, or simply because rental complements their main business. How do they do it? Lokki met 3 rental operators who tell us about their day-to-day 🚲.

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No, you don't have to start a rental business with a huge fleet.

Yes, you can start small, even very small, with 10 bikes or fewer.

It's actually an excellent idea, for several reasons:

1. Limited initial investment: With a small fleet of bikes, you can start with a relatively low initial investment. You don't need to buy a large number of bikes to get going. You can also consider leasing some bikes at first to keep costs down.
2. Flexibility: As the owner of a small bike fleet, you can adapt quickly to changes in demand and adjust your offer accordingly.
3. Stand out in the market: You can also choose to specialise in a certain type of bike (for example mountain bikes, e-bikes, children's bikes, etc.) to stand out and attract a specific clientele.

They took the plunge, and they tell us about it!

Sabine, La belle bicyclette, Bailleul (Monts de Flandre, northern France)

Hello Sabine, could you tell us about yourself?

Sabine: My name is Sabine and I run a bike rental business in Bailleul, at the foot of the Monts de Flandre. We have a fleet of 10 e-bikes, because it's hilly around here :-), and everything you need to take children along on the back (trailer, baby seat), because most of our customers are families. We've only just started, and our website is being finalised.

Could you tell me how the business got started?

Sabine: My husband and I launched La belle Bicyclette in March, to make real a project we came up with after Covid. We are 57 and 59 years old; my husband is still employed, and I'm retired after a career as a nurse. We have two children aged 33 and 31. So we said to ourselves: let's go for it, if we don't do it now, we never will! We see it as a side business, we do it for pleasure, only at weekends and on public holidays for now. We really want a small business that stays close to its customers. The human connection matters to me and I have no desire at all to end up with a fleet of 150 bikes.

What convinced you to choose Lokki, even with a small fleet?

Sabine: For us, working without software was never an option: we wanted things to be simple and professional. We hesitated with one of your competitors, but in the end we chose Lokki because we had an excellent rapport with the sales rep and we identified more with Lokki's values.

How did you launch your business, did you have support?

Sabine: We started thinking about this project in October 2022. We were supported by BGE, a national non-profit network in France that helps all kinds of people start or take over a business. We also met a chartered accountant to decide on the company's legal structure (we chose a sole proprietorship). Then we put together our business plan and did a market study. As we live in a detached house, we built an extension to the garage and refitted it as our storage space. It's about 20 m². To be allowed to use it as business premises, we applied for a change of use with the town hall and the planning department. And finally, we opened the business in April.

Looking back, was it complicated to get started?

Sabine: Not really, but it's true that it's quite an adventure! You have to go and find the information yourself and yes, there are lots of things to think about. But now everything is starting to fall into place and it's great!

Mathieu Chamorey, Maison de la presse Bidart, fleet of 10 bikes

Hello Mathieu, could you tell us about yourself?

Mathieu: In October 2022 I took over a tobacconist and newsagent in Bidart, in the French Basque Country, after spending 22 years as an artisan ice-cream maker in the Var, in the south of France. My wife and I loved the south-west, and we'd always said that one day we'd find a business that would let us move there. As it happened, the previous owner also did a bit of bike rental, in a rather makeshift way… And our goal was to take over the business and develop the bike rental side.

What does this activity represent, and why Lokki with a small fleet?

Mathieu: We have a fleet of 10 bikes. The previous owner's management was rather hit and miss: rental contracts were on paper, with photocopies of ID cards, it was a bit of a hassle… There was no overview of the bikes, you didn't know what had gone out or what was coming back… OK, in winter it's manageable, but in high season it's a real juggling act! I like to keep track of my revenue and how it's evolving. After a bit of searching, I found Lokki, thought it was a very good fit and said to myself: right, I'll go for it, and if it works, I'll add more bikes. Lokki lets me run my test phase with peace of mind.

What did you need when you chose Lokki?

Mathieu: I had two needs with Lokki: first, to be better listed online, to create a web page so people know about us, in short to build my network and get my name out there. So we worked closely with Lokki on my Google My Business listing, to make sure it all came together. My other need was to have a complete view of the available fleet and of my rental activity. Before, I had an Excel spreadsheet and compared my figures. Clearly, management was done on the fly. I wanted proper software to grow this rental revenue and build it into the company, so that it adds real value.

And how is it going today?

Mathieu: Getting started with Lokki is ultra-fast. In a week, you've got the hang of it. The software is simple, and customer service is quick to respond. I have an overview of the fleet. I'm confident about bike rental: I'm in a very touristy village in the Basque Country, on the Vélodyssée greenway (the Atlantic coast cycle route). The best is yet to come!

Here are some practical tips to help you get started:

1. Market research: Study your local market to understand the demand for bike rental, competitors' prices and the specific needs of your target audience. This will help you tailor your offer accordingly.
2. Regular maintenance: Make sure you service your bikes regularly so they stay in good working order. This includes checking the brakes, tyres, chain and other important components. Well-maintained bikes give users a better experience and reduce the risk of accidents or breakdowns.
3. Insurance and security: Make sure you take out appropriate insurance to cover any damage to or theft of your bikes. Also put security measures in place to minimise the risk of theft, such as sturdy locks and secure parking areas.
4. Marketing and promotion: Use social media, create an attractive website and hand out flyers in strategic places to promote your bike rental service. You can also offer special deals and early booking discounts.
5. Local partnerships: Work with local businesses such as hotels, campsites, travel agencies or even tourist offices to promote your bike rental service. This can help you build a regular clientele and increase your visibility.
6. Additional services: To stand out from the competition, you can offer additional services such as ready-made cycling routes, helmets and safety equipment, guided bike tours or repair workshops. This can help you build customer loyalty and create a positive overall experience.

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