Many people have the idea that they would like to turn the houses into a business and make some money out of their homes.
The obvious answer is to turn it into a bed and breakfast (B&B) and that can be a really wise decision. However, running a B&B is not quite as simple as it sounds. Accepting paying guests into your home throws up many challenges, firstly you have to be a business person, then a cook, a hotel maid, receptionist, an entertainer, a travel guide, and so forth. Here are some questions that you need to ask yourself before thinking of opening your own bed and breakfast business.
Why do you Want to Own a Bed and Breakfast?
Do you just want to open up a B&B for you own personal fulfillment, or are you serious that you want to make a revenue stream? If it is the latter and you need the money, then your approach will be far different. Firstly, you need to do your sums and create an accurate business plan. This should include absolutely every expense that your new business will incur. From cleaning to marketing, and everything in between. Then you have to calculate a nightly rate where you will actually make money, remember that your property will not always be full of guests.
What are the Legal Requirements Needed?
To accept paying guests into your home there will be many legal requirements that will have to be satisfied. Your house may have to be adapted to suit fire regulations, and if you are preparing food then there are all the health and safety aspects to adhere to. You need to take legal advice on this subject, see which laws govern the business and remember taxes will also be due.
How are you Going to Attract Guests?
Just by opening your front door does not mean people will walk through it. How are you going to attract guests to a new business? Remember as a new business you will be stealing customers from other local hotels and B&B’s, so how are you going to do this? Marketing and advertising do not come cheap, at first the internet is your best friend as it is for free. Social media is also a powerful tool, join other accommodation groups and share information.
Who is Your Competition?
Just because your house is situated where it is, this does not mean that the area has room for another bed and breakfast establishment. Canvas the locality and see if there will be the demand for your new business, talk to other bed and breakfast owners and get their feedback. Keep in mind that eighty percent of all hotel guests state that they have never even thought of staying in a B&B!
These are just some of the questions that must be answered before you can consider opening up a new accommodation business. You will also have to find out what kind of guests you are targeting, and will you be able to offer them all the amenities that they would expect? If you can satisfy yourself that you have all the bases covered then go for it, open up your own bed and breakfast business as it can be one of the most rewarding things that you can do.