How To Set Up a Bed and Breakfast Business

Bed and breakfast businesses are among the leading tourist accommodation sectors worldwide. In Europ...

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Bed and breakfast businesses are among the leading tourist accommodation sectors worldwide. In Europe, the sector contributes about E1.2 billion, which is an upward trend of almost 96% of the 28 million bed and breakfast businesses.

As such, opening and running a bed and breakfast business model is profitable, if done correctly. This article, explains what a bed and breakfast business model is, if it’s the right fit for you, what you should consider when setting up a bed and breakfast business plan, and tips for running a profitable bed and breakfast business venture.

How To Set Up a Bed and Breakfast Business

How To Set Up a Bed and Breakfast Business

What is a Bed and Breakfast Business?

Bed and breakfast businesses, B&Bs, aren’t your typical vacation rental homes. They’re often small tourist accommodation places that offer guests overnight accommodation, home-cooked breakfast, and a private home type of experience. They can take the form of large family homes with around 10 rooms.

The owners of the B&B live onsite to ensure that guests are comfortable. Social interactions in B&Bs are higher compared to other tourist accommodation options. Many tourists prefer B&Bs for weekend getaways or romantic outings.

Is Starting a Bed and Breakfast Business the Right Fit for You?

Opening a bed and breakfast business plan can be a daunting undertaking for you and your family. It requires some extra commitment and daily devotion to your different types of guests.

Some of the pros of running a B&B venture include the following;

● A high-profit margin
● You can express your creative self with a professional in-house design team
● Low startup costs if the property belongs to you
● You’ll build your business network by meeting different clients
● You can use different platforms to market your bed and breakfast business

How To Set Up a Bed and Breakfast Business

The flip side of running a B&B includes the following;

● Your number of B&B reservations is reliant on your value proposition, especially a good property, its location, and access to proper amenities.

● The success of your B&B is dependent on the quality of your B&B and its services. You can partner with an exceptional quality management company that offers clean, sustainable products including home décors, curtains and blinds, beddings, and bed linens to deliver good quality products.

● The definition of quality products and services is different among travelers. It makes it difficult to meet specific traveler requirements as some can’t compromise on having a private bathroom, fitness center, swimming pool, luggage assistance, free cable or satellite television in their rooms, a late arrival check-in, or a free breakfast.

Therefore, you must consider the following questions if you want to set up a successful bed and breakfast business. They’ll guide you to determine if it’s the right fit for you;

● Can you work well under pressure?
● Are your organizational skills up to the mark?
● How aggressive are you in using new technologies, techniques, and strategies to grow your bed and breakfast business?
● Are you a good, reliable cook and cleaner? Or you’ve got to hire someone and can you afford them?
● How are your people skills? Can you deal with potentially difficult clients in a personable manner?

Answering the above questions will help you determine if it is the right move for you. They also maximize your chances of succeeding in managing and growing your B&B business plan.

Tips for Running a Successful Bed and Breakfast Business Plan

A welcoming note for B&B business guests.

Get Insurance and Legal Coverage

Insurance coverage assists by protecting your B&B business investment from damage while ensuring that your guests get to enjoy their holiday experience safely. The different insurance covers ideal for a B&B business include the following;

● Building insurance- it’ll protect your property from all sorts of events including pipe bursts and storm damages.

● Contents insurance- this cover protects everything inside your property that isn’t part of the building. On that account, your patterned-designed glassware, ceramics, bathware, and other homeware products are safe.

● Public liability insurance- it protects you from any legal fees or costs that may arise due to someone falling sick or getting injured while staying in your B&B property.

● Employers’ liability insurance- it’ll cover your business from work-related lawsuits due to your employees getting sick or injured.

● Legal expense cover- it insures your business from legal fees owing to court hearings.

What’s Your Target Market?

The bed and breakfast business serves different types of customers, including the following;

● Tourists- your B&B business will receive more tourists depending on proximity to nearby destination sites. You can attract such clients by offering free travel maps to such sites or listing your B&B as a tourist accommodation place on the websites of such places.

● Romantic getaways- here, you’ll be targeting lovebirds by locating your B&B near a well-known romantic getaway place like a romantic restaurant. Furthermore, you can attract them by offering date night goodies such as champagne.

● Business travelers- these clients are common around big metropolitan areas or major business districts.

● Locals needing extra room- functions such as weddings, family reunions, or graduation parties will attract out-of-town guests who need a B&B venue.

Your preferred target market will play a significant role in finding a supplier for bedding, customizing your home furnishings, and deciding on the best home decorative idea.

What’s your B&B Business Budget?

Factors that’ll influence your cost of setting up a B&B business plan include the following;

● The size of your property
● The condition of your building including aesthetical and structural renovations
● The age of your B&B business home

On the bare minimum, you’ll need to source quality homeware products such as new beds, pillows, bedding, towels, and other relevant top-notch home décors to open up shop.

Moreover, you must consider your mortgage, running costs, taxes, and annual expenses when running a B&B business plan.

Apply for the Required Licenses and Permits

The B&B and hospitality industry at large is extremely regulated. You must check and comply with all the pre-determined laws and regulations set to be operational.

Some of the required licenses and permits include the following;

● A food safety regulation
● A fire regulation compliance license
● A gas safety regulation permit
● An electrical work regulation compliance permit
● A B&B business planning permit
● An alcohol license

Decide on Your Branding, Marketing, and Sales Plan

A steady cash flow is necessary for setting up a successful B&B business. You can achieve this by receiving continuous reservations depending on your branding, marketing, and sales campaigns. An effective campaign strategy must contemplate the following;

● Your company information and description- outline your B&B’s name, location, and quality of service.

● Your target market- you should aim for a specific target market by highlighting your B&B’s fun-filled activities and communal space, type of breakfast, type of check-in experience, type of bed configuration, and theme and design.

● Your operational strategy- you’ll be reaching out to potential clients through your website, local events and fairs, Craigslist, B&B and AirBnB websites, TripAdvisor listing and reviews, online blogging and SEO optimization, and partnering with service providers from your locality.

● Your occupancy rate- the number of guests your B&B will accommodate at any given moment determines whether you’re running a profitable business or not.

Set Up Your B&B Business

Once you’re aware and comfortable with the complexities of the bed and breakfast business industry, you should take the next step and set up your own B&B business.

JHTHome: Your Preferred Bed and Breakfast Business Partner

Setting up a bed and breakfast business isn’t for the faint-hearted. It requires all the professional experience you’ve got to select the perfect B&B business location and select the appropriate home décor to satisfy your target market.

JHTHome is a leading manufacturer of home textile products with a diverse range of home products including, bedding, bed linen, soft furnishings, window coverings, and homewares.

Our professional in-house design team is dedicated to helping you come up with the perfect home décor designs for your bed and breakfast business setup. Our products are of top-notch quality, eco-friendly, and cost-effective thanks to our innovative processes.

Contact us today and get free samples for your B&B business venture.

Elsa Zhang



With over 5 years of experience in the international sales of home textile products, I have honed my skills in understanding global market trends and developing strong relationships with clients across the world.
- Nearly 7 years experience in the marketing of home textile and homewares industry has equipped me with a deep understanding of customers’ preferences and the ability to create impactful marketing strategies that drive sales and brand awareness.

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How To Set Up a Bed and Breakfast Business

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What is a Bed and Breakfast Business?

Is Starting a Bed and Breakfast Business the Right Fit for You?