Starting a Bed and Breakfast

Industry Notes

Bed and breakfasts, country vacations and country inns offer other choices of accommodation to customary hotels and motels.

• Over the last few years, the demand for this type of operation has been increasing.
• Most of these establishments are started as a hobby or to supplement a family's primary income such as a retirement or farming income.
• Customers are usually tourists of all ages (couples, families), but can also include business travellers, single women travelling alone or people transferred to an area seeking temporary lodging.
• These operations offer a warm, homey setting and a way to learn about an area and its history from friendly, well-informed hosts.
• Many of the most successful Canadian bed and breakfasts are in major cities.

BEFORE STARTING

• You must like being with people, have good conversational and listening skills, and enjoy hosting visitors from around the world.
• You should also enjoy keeping a neat and clean home, be well-organized and understand the basics of managing, accounting and bookkeeping.
• Do your research. Analyze the demand for your services, who your competitors are, what will set you apart from them and how you will advertise.
• Do not expect big profits--these are not get-rich-quick operations. For example, a well-established operation may earn $16,000 in annual revenues. It may take two to three years to become established.

TYPES OF OPERATIONS

Bed & Breakfasts
Operate out of family homes of various size and vintage, from quiet city neighbourhoods to small towns. Usually have a maximum of four guest rooms, operate year-round and offer full/continental breakfasts.

Country Vacations
Operate out of family homes, usually on an acreage used for farming, ranching or horse-back riding. Cater to tourists or interest groups. In Manitoba, there is an active School Tours program. Can offer full room and board, bed and breakfast arrangement, camping space or separate accommodation in another building on the property.

Country Inns
Quality establishments with the personal touch of a bed and breakfast in a traditional, classical atmosphere. Provide three meals per day and private dining/sitting areas. Usually open year-round and have a well-established marketing program. Often feature wonderful cuisine, spas, hiking trails or spectacular views.  This fact sheet focuses on bed and breakfasts, and country vacations.

SPECIAL SERVICES

Some operations increase their revenues by offering special services: 

• Offer lunch or dinner to bed and breakfast guests.
• Provide internet access, fax machines, private phones, televisions.
• Install spas or hot tubs.
• Open small gift or gardening shops, or sell crafts or preserves.

HUMAN RESOURCES

Your commitment and investment in human resource development will be a key component of your overall marketing plan. Standards, training and certification programs are available for a number of tourism-related occupations through the Manitoba Tourism Education Council (204) 957-7437. Refer to the 'Human Resources' fact sheet for more information.

ASSOCIATION

Bed and Breakfast Association of Manitoba
Manitoba 
Canada
Telephone: (204) 661-0300 

REGULATIONS

• Find out about licensing requirements and zoning restrictions. If you have more than four guest rooms, you may be taxed as commercial rather than residential.
• Contact a lawyer about legal issues. Bed and breakfasts and country vacations are often operated as partnerships between spouses. Draw up an agreement before you begin, covering who is responsible for repaying start-up costs and  what happens if the business dissolves or if a partner leaves or dies.
• Contact your insurance agent to make sure you have adequate liability coverage -- one lawsuit could devastate your personal finances. Shop around. For example, the Bed and Breakfast
• Association of Manitoba offers group insurance to its members.
• Contact your local fire department and health department to find out about their standards and regulations.

PLANNING CHECKLIST 

• Arrange legal, insurance, licensing, permit requirements.
• Calculate all start-up costs.
• Make necessary renovations.
• Obtain furnishings.
• Create a brochure and decide upon an opening date.
• Set up procedures and forms (such as a Telephone Reservation Request Form, Deposit Receipt and Reservation Confirmation Form or a Reservation Schedule).
• Consider computerizing--analyze whether this will help, what hardware and software you will need and the associated costs in money and learning time.

OPERATING CHECKLIST

• Take reservations, request deposits and send confirmational receipts.
• Register guests, collect payments and give orientation.
• Serve breakfast.
• Check-out guests, ask for repeat or referral business.
• Prepare room for next day.

FURNISHINGS

Bedrooms- Each guest room should have a double, queen or twin bed(s), bedside tables, dresser or writing table or combination, mirror, easy chair(s), desk chair, bedside rug, window screens and coverings, closet, smoke detector, wastebasket, lockable door and a posted rate card. Consider extras such as a clock radio, full-length mirror, luggage racks or local newspaper.

Linen- For each bed, have one bedspread and throw blanket and two each of: blankets, sheets, pillow cases and allergy-free pillows. If you send laundry out, have at least three times the amount of linen in use.

Bathrooms- For each person, provide a bath towel, hand towel, face cloth, wrapped soaps and drinking glass (paper cups in shared bathrooms). Install towel racks and good lighting near bathroom mirror. Remove or lock away all personal belongings, medicines, cleaning solutions, toxic or hazardous substances. Put a name plate on the outside of a lockable door.

Lighting- Install wall outlets and lights near beds, mirrors, desks and chairs.

Flooring-Ensure floors can withstand traffic. Use penetrating seals on wood floors and opt for inlaid instead of printed vinyl. Use rug underlays to prevent skidding. Choose thick and heavy scatter mats so that they lie flat.

Canada/Manitoba Business Service Centre
250 - 240 Graham Ave
Winnipeg, Manitoba  R3C OJ7
Telephone: 204-984-2272
Fax: 204-983-3852
Toll-free (information): 1-800-665-2019
TTY Toll-free (hearing impaired): 1-800-457-8466
E-mail: manitoba@canadabusiness.mb.ca
Web site: http://www.canadabusiness.mb.ca/
 

DISCLAIMER
Information contained in this document is of a general nature only and is not intended to constitute advice for any specific fact situation. Users concerned about the reliability of the information should consult directly with the source, or seek legal counsel.

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