Steps to buying a Hotel

Written By Steps To Faculty Published July 28th, 2010

Despite a slow economy, the hotel business is still viable. Many entrepreneurs see the value in owning a hotel and renting rooms to guests. There many methods that enable you to purchase a hotel. The following steps can be followed if you choose to buy your own hotel. Whether it be a restaurant hotel or a guest house or just tourist service hotels with functionalities of bed and breakfast.

Step 1 Decide the reason for the hotel

The reason you need to buy the hotels is very important. The hotel business is fickle and largely depends upon tourism, which is down at the time of this writing. It is better to design your own or buy an already existing hotel? Do you want it vacation style or for businesspeople? Do you want it for only commercial purposes or is at for personal relaxations? Is it a place to visit once on the weekend as a getaway or inside the a busy city? These are questions that you need to answer before going any further.

Step 2 Determine the actual location

The second step is to choose a specific the site either in the city of in the rural areas or at seaside resort or a golf resorts or a natural attraction site. It could be cosmopolitan or in the suburbs. City hotels tend to make moer money than suburban hotels as many businesspeople conduct business inside a city, but country settings have fewer ordinances to adhere to and less taxes.

Step 3 Decide the size of the proposed hotel

Should the size be small of just for few customers or a big commercial enterprise? By answering this question, you will confirm the main purpose of the hotel. If it is commercial then it must be located in a place where the population is high enough to bring the required daily clientele and customer service levels that reflect the size is necessary. The size will determine the number of beds, employees or labor force needed, the human resources policy and marketing factors.

Step 4 Get a quote

The fourth step is now to get different quotes for various hotels on sales that meet specifications. These will now give glimpses of hotels is in offer in the market for both big hotels and even small hotels and even start ups that are and find out why the hotels are on sale. Go to realtors.com to find the best deals on hotels for sale.

Step 5 Review the details

Get the details of ownership and land search at land registry’s to confirm legal ownership of the hotels as well as books of accounts and check local government regulations on the types of land classification. See whether lease hold for freeholds or whether commercial use or residential uses of the land or future government development of the county councils bylaws. This should also summarize the need for any repairs if the hotel is old or any refurbishment or renovations.

Remember, owning a hotel is a long-term business. Please visit stepsto.com for more great business advice.


Roger Due

Investing in Your Destiny® & Coaching Program - Wealth Building Summit Dallas, Texas

My name is Roger Due and I am from Albuquerque, New Mexico and I am the owner of the Monsano software company. This has been an absolutely fantastic conference. This is the best I have ever been to.