This free, printable business plan outlines key strategies and market development for starting up a bed and breakfast and competing against other inns, motels and hotels in the market.
Sample text from Bed And Breakfast Business Plan:
1.0 Executive Summary
[Company Name] is two bed & breakfast houses located in the heart of [LOCATION]. The company operates from [Address, City, State ZIP]. Each historical house is built in the late 19th century, with five charmingly decorated rooms geared to provide luxurious hospitality at its finest.
• The Victorian Style [NAME]
• The [NAME] Inn on 2 acres land
The [LOCATION] is one of [STATE]'s number one vacation destination locations. A statistical report shows that 2.75 million overnight trips were made to this area with bed and breakfast reflecting an annual revenue income of $40 million.60.9% of travelers are over the age of 45 with an average income of over $100,000 per year. The total economic impact of visitors to [COUNTY] County was $1.3 billion in 2005.
The Management Team
[Name], a husband and wife team has managed these two Inns for over twenty-four years showing a steady income growth over the years. Their expertise in hospitality totals over 60 years combined and is a direct reflection of their word to mouth marketing strategy. Community leadership and local annual donations are just a few aspects [Name] and [Name] pride themselves with. Local wineries will recommend the Inns to their customers which almost always lead to repeat visitors to [CITY].
With ten rooms over two properties, the owners have a solid income stream and a 10% market share to this area. Adding additional marketing will draw new and existing customers for this tourist attraction. Renovating, remodeling, and adding rooms will help local vendors with their business.
[Company Name]is committed to participate in reviving the economy and return the sales to the heart of the [LOCATION]. These opportunities will ensure a strong competitive edge to other bed and breakfasts and at the same time implement a long-term revenue stream.
An immediate grant in the amount of $250,000 will allow to
• Increase Marketing Efforts - $60,000
• Renovate and upgrade existing rooms - $119,000
• Add two rooms - $71,000
A second grant one year later in the amount of $100,000 would allow to
• Add three more rooms - $100,000
This capital injection will create jobs, labor work, and additional reservation count. With an average annual capacity of 43% - 47%, the added rooms would generate a new revenue stream of an additional 33% to the Inns. Projecting only 30% of capacity for the FY 2011 and 2012 would yield an additional income of $127,567. As the highlights reflect, sales could reach over $500,000 by year three from receipt of capital.
This additional income and the projected gross profits will support the overall efforts in hiring a total of five more employees over the next three years.