For 55-years, Cosson's Rent-All has been renting and repairing tools, lawn equipment and small engines.
Authorities believe a welding job on a lawn mower sparked the fire in the gas tank. It didn't take long for the flames to take over the entire business.
"When they arrived on the scene, they had fire showing so they did not deem it safe to go inside the building and set up a defensive operation," said Panama City Fire Chief Wayne Watts.
"Everybody that was inside the building is out safely, of course the building is a total loss. But we were able to save some equipment," continued Watts.
The owner of the shop says that his building was not insured, but he does plan to rebuild and continue his business.
Cosson's Rent-All opened it's doors at the corner of Cherry street and Business 98 in 1957 and has been there ever since. Cosson says he plans to rebuild in the same location.