Hotel Management Business Plan: Steps to Starting a Successful Hotel Business
How to Start a Hotel Management Business
Hotel management business is not an entirely difficult business to start with good planning. You however require lots of patience to carry the business through. Lots of preparation equally needs to be put in place before the business kicks off.
You will also need time before the business can get to the desired level. You may need to get trained in hospitality before you can start this business if you want to run it by yourself.
Additionally, you may need to liaise with an already established hotel management outlet to learn the rope and get better understanding about how the business runs in real life.
A good understanding of how hotel business is run will help you stand out in service provision.
Things you need in order to get started
- A business plan
- Hotel management degree and
- Business degree
Business plan (see several samples of business plan to learn from in writing yours)
The business plan is the roadmap on how to start the business and how to expand in the future. It is expected to contain information on available start up capital, how you plan to grow the business and how to get capital for expansion.
You are equally expected to include information on the type of business you want to run, whether sole proprietorship or partnership.
Aside this, the business plan should include information on number of staff members to start with and how many more you plan to employ as the business progresses.
You are also expected to include information on a Plan B in the event the business does not work out.
You can check out various business plan samples to study and use as guide if you need help on writingÂ yourÂ business plan.
How to get finance for the business
Hotel management business is lucrative and many organizations are ready to finance it since the return on investment is high. You can get loans, grants, and even financial help from family members.
You don’t need to empty your life savings on the business; it can be started small and you can grow big with time.
You will need money to rent or lease an office space when the business actually kicks off.
Getting a degree
You require a degree in either business management or hotel, or hospitality management to survive in this business.
The degrees you obtain will stand as your educational reference and resource in the event you are faced with challenges.
You will be able to win contracts and clients with your education, since the clients would rather trust an educated individual, who they believe has the basic knowledge to get the job done.
Many institutions offer 4-year degree in business management and hospitality management.
Go get experience
Truth is you cannot depend on your degree alone to survive in the hotel business; you equally require knowledge and experience on how the business actually operates.
One of the best ways to get such experience and knowledge is to liaise with a hotel. Get a job in a hotel and learn the rope on how hotel management actually operates.
You can also get a management job to have better understanding of how management works. It will be better to get such management job in a hotel.
Do not forget to include your educational background and work experience in the business plan as this will help sell you to clients.
Aside education and working experience never stop learning about the business. Learn all you can. Read all journals and publications you can lay your hands on and this will put you in better mental and educational state to run the hotel successfully.
How to begin your foray
Best way to start is to start small. Start with small hotels. Get a job there and work your way to the management level until you become the General Manager.
With your education and experience, it should not be difficult to get to such level in a small hotel. Once you have reached such level, you can add that to your resume and contact other hotels for contracts on hotel management.
They will be more willing to trust you, considering your education, experience, and present status. Like was stated before, being successful in hotel management business is not difficult, but it will take time.
Set up your own management company
After you have attained all the achievements stated above, the next step is to set up your own hotel management company.
Your company will sell easily due to your experience. Find out about local laws on such business set up.
Pay all fees and register the company. All you need to do afterwards is to contact hotels in the same city or other cities around.
Your experience and education will enable you to win contracts and the sky is never the limit, but the stepping stone to higher ground.
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