Probably one of the most challenging businesses to start is the hotel business. But bear also in mind that with the right moves, hotel businesses can also rake in a great deal of profit. It doesn’t matter who your target audience is, know that every traveler is a potential client. It also doesn’t matter what services, offers you wish to give clients. Both of these are only a part of the main ingredients for your hotel’s success which are: thorough research, effective planning and careful execution.
If you truly want to start a hotel business, here is a step-by-step guide to help you out.
- There are loads of options that you may choose for your hotel. But amidst all of these options, there are only three that you should be really considering: upscale, affordable and budget. When you have chosen what type you want your hotel to be, the next thing to do is to think about whether you prefer to provide rooms-only service or if you also want to add special amenities such as a spa/boutique, swimming pools, conference halls and many other amenities. After that, you need to decide which location is the best for your hotel. You may want your hotel to join the hotels in Tel Aviv but above all that, you should always consider a location that rakes in a lot of tourists.
- The second step is to create a business plan which would include all the finances, the budget, location, market and even scoping out the competition. You also need to include all the permits that your hotel would need.
- The third step is applying for permits and licenses. Your hotel can never be legal without these two. You would need to get a license and a tax identification number. Licenses and permits would have to depend on the laws and ordinances enforced by a particular state or area.
- Next, you would have to actually build your hotel. You also have the option of buying an already established building, remodel and refurbish it to suit your needs.
- The final step is advertising and marketing. You would need to heavily market your hotel in order to attract clients and customers.