Starting dual sport rental business in Montana - need input

Discussion in 'Vendors' started by Chadx, May 18, 2011.

  1. Chadx

    Chadx my toot toot

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    Hi all,
    I'm starting a dual sport rental business here in Helena, Montana. It will be small at first, but I have flexibility in my day job to allow for this, so am finally getting it off the ground. I've got insurance in place, website nearly ready to release and an LLC being created as I type this, but I still would like some input from all inmates before I start an actual vendors thread with rental info and website links. I thought vendors was the appropriate place for this thread, but if not, mods please let me know and I'll delete it or you can move it.

    The Biz
    There are a number of existing dual sport rental businesses in Montana and the surrounding states. All that I have seen offer medium to large dual sports (650cc and up). As I have no interest in stepping on those existing business' toes and also because it works better with how I ride and what I want to do, I'll be specializing in small dual sports (sub 650cc sizes). I currently have two Yamaha WR250R dual sports (not WR250F) with the usual adventure kit; larger tanks, aftermarket seats, powerlets for heated gear and GPS, Wolfman racks and dry saddlebags, usual guards, etc.

    I plan to rent the bikes for single day use on up to as long as one wants to pay. Will have at least one bike available for the MT1000 and WestFest in July, for example.

    I'll do some guiding which will be available whether someone is renting my bikes or coming to town with their own bike. While riders will have to bring/provide their own riding gear, I'll have full camping gear, GPS, etc. for rent. Will also be setting up room rental at our home (rural lake home close to mountain riding and set up well for room rentals). Riders will have to meet specific criteria, follow policies, pay for the $15/day insurance, etc. but I'll lay all that our when I post as a vendor with all details.

    Bikes
    I understand everyone will have their favorite, or pet, make or model. We all do. And I need to get a handle on how this would impact potential renters. While I'd like to stick to specializing in small dual sports, would it make sense to make the next bike a mid-size like a KLR650 or XR650L? Or stick with sub-650cc dual sports but mix it up so potential renters have bike choices (DRZ400 for example)? Or stick with more all WR250R just to keep the fleet the same and interchangeable? (WRR are fuel injected, 26,000 mile valve check intervals, 350watt alt. and other things that just make sense for rental bikes near the Rockies). Or add even smaller and more manageable (read lower seat height) dual sports like the Honda CRF230L or Yamaha XT250? I hope to keep daily rental rates below $100/day.

    Target audience
    While there will be a lot of people around the country that think "Cool. I'd like to do that", who will actually make reservations? There are other entertainment opportunities in MT so clients will be able to combine this with other activities for them and/or their families. Yellowstone national park to the south and Glacier National Park to the north as well as a lot of local things. Also, targeting locals that have riding friends come into town but not enough bikes in the garage.

    I foresee fly in trips as well drive or ride in trips. I see some riding through the area on their street-only or heavy-weight bikes and renting a small/light dual sport to spend a day or three on the mountain trails where they wouldn't want to take their other bike.

    I have some marketing ideas, but would like to hear others ideas. Looking forward to interacting with everyone to bounce ideas, etc. I'll start a new vendors thread for the official launch in a few weeks.

    Lay it on me!
    #1
  2. Speedo66

    Speedo66 Transient

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    If for nothing but females accompanying male riders, I think you should have some smaller bikes like the ones you mentioned. Same for vertically challenged males.
    #2
  3. Chadx

    Chadx my toot toot

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    That's kind of what I was thinking. The XT250 and the CRF230L seem to be good choices. Heck, even the TW200 is fun, but I suspect most riders want something a bit more capable. A friend has a DR200 which seems very capable, but he says there isn't much aftermarket support for it. I guess all the small, air-cooled dual sports are in the same boat.

    Last year, I sold a CRF230F that had a dual sport kit when we upgraded my wife to a WR250R. Kind of wish I'd kept it, but really, for liability reasoning, it's probably best to go with a factory dual sport rather than a pieced together one. It's a REALLY easy to get a plate for anything in MT. Just sign the form that you will be putting on mirrors, horn, lights, brakelights, and DOT tires and they hand you the plate. It has most of those things, but only barely adequate. Factory systems are the way to go there.
    #3
  4. Snr Moment

    Snr Moment Unafarkler

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    Great idea.

    Given that I have been seriously considering getting a WR250R, I'd like to come up and ride one in a truer environment than the dealer's parking lot for more than 15 minutes.

    You should look into some form of sponsorship/promoitional $$$ from Yamaha for real demo rides.

    I have a 500# "dirt bike" that might be available.:rofl
    #4
  5. push_bars

    push_bars Been here awhile

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    I spent some time talking with the motoquest guys in Anchorage last summer... they rent all kinds of bikes but their best rental performers were the KLR650s. Ironically as the guy was telling me this he was fixing the front end of one that was wrecked on the Dalton north of Coldfoot with a 5lbs sledge hammer. In his view they took quite a bit of minor maintenance (more than say a FI bike) but all around they were cheaper and more realiable in the long haul as a rental.

    With that out of the way I think a Sherpa or the little Honda you mention would be good bikes in some ways but your WR250Rs are probably tops all around.

    Best of luck, it will be a great option for those of us in Helena to have for inbound friends.
    #5
  6. jimrobinette

    jimrobinette Been here awhile

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    Chad,

    You know my what I would say :evil

    But....I have never ridden one, but it seems many of the guys I've ridden with either have or borrow a 230L to start their wives/daughters off with. Recommend you talk to Crawdaddy about it, as that what he has used with many new riders. Seems like a decent bike for new/shorter riders.

    Take care,

    Jim
    #6
  7. DingWeed

    DingWeed Been here awhile

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    Great idea Chad!!!

    I think you could not go wrong with the WRR and the CRF230L

    Good luck with it!

    Scott
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  8. Crooked Creek

    Crooked Creek Been here awhile

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    If I could pick three bikes to cover the gamut of dual sports, I'd pick:

    TW200: IMO the easiest bike ever to ride (for the short people/newbies/other people who like to amble over the rough stuff.) Super reliable and very forgiving with those huge tires. Lots of low mileage ones available cheap.

    WR250R: Great off and on roads, modern and versatile.

    KLR650: Great on road (for a dual sport), reliable, and CHEAP.


    Full disclosure: I owned all three this spring and loved them :D, but I still think if you're going to offer more than one bike, then spread them out in terms of capability.
    #8
  9. Chadx

    Chadx my toot toot

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    All good comments, guys.

    To expand a bit, one of the reason I was thinking about keeping similar capability bikes is I would expect there to be some small groups renting and riding together. If I have a KLR650 and a TW200, they are at home in fairly different environments, though that largely depends on the rider and still, there is a fair bit of overlap. I just see potential KLR renters looking for a bit different ride than someone that wants to rent a WR250R or CRF230L, and if I only have one KLR650, that might be a bit of a mismatch for the other bike's focus.

    If I could have at least a pair of similar bikes, that would make more sense. Maybe call it the Noah's Ark approach? :lol3 Two WR250R, two KLR650, etc. That way if a pair of similarly minded and similar capability riders come in, they'd likely want two similar bikes. Just a theory at this point. What do you guys think?

    So maybe I'll first add a smaller bike to go along with the pair of WR250R that I already have, to give some options. Then, decide if I want to also get into the mid-size bikes. If so, get a pair of midsized bikes (like KLR) rather than adding and having only one midsize because with one, there would be no "companion bike".
    #9
  10. Snr Moment

    Snr Moment Unafarkler

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    You can't be all things to all people. IMHO, you're better off specializing in what you originally planned, which is riding 250cc bikes in Montana's mountains and back country. Keeping the same makes/models of bikes allows for an easier & cheaper way to manage parts & pieces to keep the fleet running and generating income. Economies of scale/KISS/efficient management of assets, call it what you will.
    #10
  11. HighFive

    HighFive Never Tap-Out

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    Sounds good, Chad.

    My 2 cents....newer technology could be more luring. Hence, the WRR is a good choice. Interchangeability makes sense. And, you might become the "go to place" for a good WRR ride.

    Lots of spots rent old DR350s...650s...& KLRs. Can't say I've seen many DRZs for rent. So, that could be another decent option. But, with your location, I'd have to throw in a pair of KTM EXCs too.

    It'd be interesting to see which get rented the most...given a choice. And then, of course, you'd always have something exciting to ride yourself. :evil All "business expense" of course. :deal

    HF :thumbup

    p.s. Husaberg 570....Husaberg 570....Husaberg 570....Husaberg 570

    Heck, I'd come visit to ride one of those for a couple days! Just sayin...
    #11
  12. larryboy

    larryboy Just obey!

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    I like that idea, but I think things would be better for you if you kept the fleet the same. Stick with the Yammies and maybe think about having a pair that is lowered.
    #12
  13. push_bars

    push_bars Been here awhile

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    +1
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  14. Chadx

    Chadx my toot toot

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    More good comments.

    Of our current WR250R, one is taller than stock and one is lowered.

    The taller has the rear factory adjuster at the tallest setting and had a taller-than-stock Dunlop D606 tire on it. Last week, I put an even taller Perelli MT43 DOT trials tire on the back and also on the front. Between that and the 1.5" bar risers, it's tall. :clap

    The lowered WRR has the front forks slid up in the front triple clamp (lowering it), factory 3/4" rear end adjusted down plus the Yamalink 1" lowering link and stock rear tire height. That has really made a difference. I know others have had the spring/shock/linkage reworked and lowered even more, but I have no interest in doing that to a WRR. That is the role that the CRF230L will play.

    So still leaning towards the next bike being a CRF230L or similar.

    Was also toying with the idea of the bike after that being a WR250X. Would run 70%street/30%dirt treaded tires most of the time, but have some knobbies sitting around to spoon on when it's called into anything more than gravel road duty. Between the 17" rims and factory lowering, it should sit fairly low with the option of adding a Yamalink to lower it even more. Admittedly, part of the reasoning for this bike would be for my enjoyment. Could also have a WRR with second set of wheels (or WRX with second set of dirt wheels) but then one has to mess with the different front brake setup and potentially different sprockets/chains. Using the WRX with it's 17" rims and just swapping tires on the necessary occasions would be much cheaper and easier.

    HF,
    While the KTM would rent well and also be fun for personal use, I don't think I'm wiling, at this point, to deal with a racebike motor and the associated maintenance schedule. I moved away from that for my personal bikes and moving back towards it on rental bikes would, in the end, cause me more headaches than happiness. Ha. About the only thing that will get me back into that type of bike will be also using it as a snowbike. I've been wanting one of those for several years and having a pair of them would allow for a rental and an excuse for me to go out all day. Win/Win! Ha. 2moto used to seem the best but Timbersled came out with the Mountain Horse kit which is a better kit for deeper powder. Husaberg 570 or the older 650 would be great for those!

    Good points, SnrM, on involving area dealerships (Yamaha and others). I had similar thoughts and one aspect of that is already in the works and would be a win/win. Basically, the dealerships would know which models I rent and anyone that is interested in purchasing that model, they would mention my rental business. Potential buyers could do a 24 hour test ride before buying. Spending time on a specific bike and mentally associating the good time had with ownership is often enough to make the best of us pull the trigger on a purchase. Or is that just me?! Ha. :lol3
    #14
  15. HighFive

    HighFive Never Tap-Out

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    I'd come ride the Husaberg 570 snowbike a couple days. Just sayin...

    HF :D

    Rental bikes will need plenty of wrenching, no matter what kind. The Question is: Do you want them sitting in the garage or out being ridden?

    The more exciting they are....the more enticing it becomes. Fuel injected WRR's, Husa's, & Husky's....plus your exotic location: "Holy Smokes!"

    You'd probably have them coming in from Australia to Japan. :freaky

    Put me on the List for the first Husa570 outing. :deal
    #15
  16. Snr Moment

    Snr Moment Unafarkler

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    My oldest daughter & I were boot shopping a couple of weeks ago. She found this Kawi to be of interest.

    [​IMG]
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  17. Chadx

    Chadx my toot toot

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    Snr Moment,
    Where was that snobike located? That is the Timbersled Mountain Horse setup. It has the suspension in the track which makes the track deeper with a good approach angle, making it better in deep powder. The 2moto kit incorporates it's suspension into a spring and shock where the bike's spring and shock are normally located. Two different approaches and both seem to work well. A 450cc is the recommended minimum with most snowbike kits, but they say 500cc+ really wakes them up. I didn't make it to Idaho to ride either setup this winter, but am scheduling something for next...unless I've already bought a setup by then. The thing with snowbikes is they are best ridden with other snowbikes rather than others on snowmobiles. Just a different style. So either convince a buddy to buy one, too, or...rent them someplace. :evil You all have me thinking, now.
    #17
  18. Snr Moment

    Snr Moment Unafarkler

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    Fasttoys in Columbia Falls/Whitefish
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  19. bash3r

    bash3r 790ADVR

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    Chadx.. I second using the WRRs and keeping the fleet the same accept for a few smaller bikes for the shorter riders.. I've had a CRF230L and it would be a great bike for that.. it's light, runs good, very easy to handle.

    Also, I'd reach out to say.. Safari, Wolfman, ProMoto, etc.. and look for gear to equip the bikes with, it's good marketing for those companies, when riders that are skeptical about the WR get back home and get there own.. :D

    Make it easy for you... you know the WRR, you have confidence in it and the last thing you want is customers dealing with break downs and you not knowing how to fix it or have a replacement part.

    Sounds like a good time.. let us know when your WRR rider discounts kick in :)

    Put a good website together with tons of photos/video/maps.. and give it a whirl!! :deal
    #19
  20. switchback

    switchback Eatin' Dirt Since 1982

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    Chad,

    Avoid diversifying the bikes too much. You will have to maintain and fix the bikes and you want to have some supplies on hand and be able to do one stop shopping for parts. As for what bike or bikes to use, The XT, TW, CRF, KLX class of bike will be easier for most to ride than the WRR and are much more forgiving to the backside. KLRs have lots of bodywork to break these days, a DR 650 would be easier to maintain. I guess what I am saying is keep it simple and think about the renters needs vs wants. Comfort and ease override power and performance in many cases. I think the KLX is a good compromise between the comfort, power, performance spectrum and has a manageable seat height.
    #20