How do I advertise the products in my rental business?

I am starting an electronic rental business. Legally, am I allowed to put advertisements in print and web for my business that feature a picture of the electronic and name saying that I rent these products out?

I think it depends. In certain categories of rental (e.g. bouncy castles), the rule is generally that if you purchase the product from a licensed manufacturer, you're safe to use images of it in advertisements and on your web site. This is especially important to things like Disney themed items. As far as electronic equipment goes, you might want to just ask the manufacturer for permission. You may be able to ask your distributor. Because I don't know the detail of what you're renting, I think you should maybe consult an attorney.

Find your targeted audience first and industries associated with them.

Why people rent?

I think, because they do not think as a necessity to purchase or even do not want to/have the money to purchase.

Why organisation/industry rent?

I think, to cut out the cost and to cut out the maintenance cost.

Find such people, or find such organisation, approach with your strategy, and convert them into your customer.

Added : Find the demand for renting using google keyword tool. and you will know, whether people are interested in renting or the trend have changed from renting to buying.