Opening a hotel franchise?
How many times have you stayed in a poorly run hotel and thought you could do things better? How many times have you stayed at a great place and wished you could be a part of something like that?
Buying a hotel franchise can be expensive, but it also comes with big potential profits.
Despite the doom predictions that everything British would fall off the map when Britain decided to leave the EU, quite the opposite has been the case, certainly within the hotel sector. This is partly down to British holidaymakers, who are budget conscious, have been holidaying at home, and have boosted the staycation market because of this and secondly the exchange rate has made visiting Britain a much more attractive option for foreign holidaymakers.
Hotel franchises are big investments, so you must make sure you take care when picking the right opportunity. The main thing you must look for from a franchised hotel is that they offer you the right support, in the end it is the interest of the franchisor to give you all the support and backing you need to make your business a success.
Like many sectors in franchising, the familiar brand name is one of the biggest strengths to your business. Many travellers will actively seek out and stay loyal to your hotel based on past experiences they had with the brand.
What to watch out for when starting a hotel franchise?
- This is not a low-cost opportunity, the cost of owning a hotel can be expensive so you must make sure your decision is based on information provided by the franchisor and not what you imagine running a hotel to be like. Make sure you attend Discovery Days at hotels, these will be excellent learning days where you can find out more about how the hotel is run, the financials, the services provided and what is expected from guests, as well and probably the most important, the training and support offered to you as a hotel franchisee.
- Going back to the cost of owning a hotel. A hotel franchise will not only have a large license fee but will also have larger running costs. You must consider this when making your decision, how much money will it cost you to run and operate the hotel for first 6 months, not forgetting your personal commitments like mortgage and car costs.
- Owning a hotel may seem glamourous, and it can be. But it is also a 24/7 job. You need to be aware of the personal commitment you are making as well as the financial. Do you really understand what is expected of you running a hotel franchise? Do you want to be constantly thinking about your hotel, and not just keeping the business in the red, but also managing a team of employees, taking the best of guest feedback to the complaints and offering great customer service?
Buying a hotel franchise can be expensive, but it also comes with big potential profits. If you are thinking about investing in a franchise that can really offer you big profits and a chance to own and operate some of the biggest brands in the world then you really should be looking at hotel franchises.