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How to Start an Online Clothing Rental Business

How to Start an Online Clothing Rental Business

Customers often want nice clothes, but without the hefty price tag. Find out how to start an online clothing rental business here.

25th June 2020
Reading Time: 2 minutes

The online clothing rental business has taken the world by storm and it seems like it’ll be here to stay. Easy to use tools has made starting an online business simpler than ever. In this article, we’ll go over five tips to help you start your own online clothing rental business.

(1) Find Your Niche

In order for your business to succeed, you should carve out a piece of the market for yourself. This involves deciding what you want to sell and who you want to sell to. Ask yourself, who is your ideal customer? What style do you cater to? The better you know your customers, the better your chances are of providing pieces they will want.

Moreover, it may be worthwhile to conduct market and industry research to get an understanding of the competitive landscape.

(2) One-off Rentals vs. Membership Program

Taking this one step further, think about which type of business model you’d like to emulate. One-off rentals are geared towards occasion wear and provide access to designer brands without the hefty price tag. Alternatively, a membership program can provide 2-3 curated pieces per month.  The customer won’t even have to lift a finger and you can secure long-term business.

(3) Setting Up Your Website

Then comes the fun part, setting up your website. The website should reflect your brand whilst still being customer friendly and easy to navigate. In terms of showcasing the pieces, think about whether you’ll want to use images, videos, or a mixture of both. It may also be beneficial to add in a review section and sizing chart. This will help your customers find their perfect fit.

It is also important that customers are able to review your Terms and Conditions, Privacy Policy, and contact details. This creates transparency in the process and allows customers to reach out if they have any questions.

(4) The Logistics

Prior to launching, it is important to register for an Australian Business Number (ABN). An ABN number is a number that identifies your business to the government and community. It is needed for applying for a business name, claiming tax credits, and invoicing purposes. 

Similarly, creating a forward-looking budget is crucial. Take the time to understand your fixed expenses and how revenue will fluctuate with the business cycle. In doing so, you can ensure that your business stays in the green.

(5) Promote Your Business

Last but not least, marketing. Marketing is a concentrated effort to push your business across a variety of platforms in order to gain exposure.

Common marketing tools you can leverage include:

  • Social Media – Provides the opportunity to share content, repost positive reviews, and supports responsive customer service
  • Email marketing – Regular newsletters and promotions will help keep your customers engaged
  • Search Engine Optimisation (SEO)  – SEO helps your website rank higher in organic search results
  • Google AdWords – Adwords is great for targeting a specific geographic location 


Starting your own business is an exciting time. With the right planning, you’ll be able to see your vision come to life in no time. For further advice on how to start your online rental store business, it may be worth consulting a business lawyer.

Don’t know where to start?
Contact a Lawpath consultant on 1800 529 728 to learn more about customising legal documents and obtaining a fixed-fee quote from Australia’s largest legal marketplace.

Shantelle Dang

Shantelle is a Legal Tech Intern at Lawpath, working as part of the Content Team. She is currently in her final year of a Bachelor of Laws and a Bachelor of Business at the University of Technology Sydney. She is interested in emerging technologies and privacy.