Kelly Danielson has been in the rental business for 15 years. The owner of Centre Rental Inc. in Sauk Centre, MN, thought last year would be a good year, but it wasn’t. “It’s the economy,” he explained. “Farm prices were down and I don’t believe the small contractors who do business with us had much work. The party and events rental sales helped us get through.”
Part of the challenge is the small market. The town has only 4,000 residents. The other part of the equation is the long winter. In Danielson’s words, “You only have so many months to make up for 12. Sauk Centre is approximately 100 miles northwest of Minneapolis and we see a lot of snow and temperatures in the negative reading. Some weeks in the winter, we might only bring in a couple hundred dollars by renting a snowblower, a few miscellaneous hand tools, and a skid loader or possibly an insulation blower. Most everything we rent, including our events and party goods, are used out of doors."
Still, Danielson’s hoping for a better year this year. “Every day is a guessing game in this business,” he said. “Owners like myself have to have one of everything and more of other things, and we can’t stagnate. Most every year we add on a new piece of equipment or two just to keep moving forward.”
As he pointed out, keeping rental items on the floor in good shape and adding new equipment is costly, something that some customers don’t understand. But that’s the price of being in business. “I’ve enjoyed rental and look forward to a better year,” said Danielson.
At least he will have more time on his hands to help grow sales. Just two weeks ago, he sold a towing and recovery business he ran with a partner. They ran seven tow trucks, including three ‘heavies’ to recover tractor trailers. The work kept them on call 24/7.
Now, with more time, a bump in the local economy would be timely. Maybe the Trump administration will lend a helping hand? “Possibly,” he added, "if people do what they say they’re going to do.”
