If you are looking to give up your full time job and invest your savings in a little guest house business, you have indeed made a good decision. If done right, guest houses can bring in a lot of income to its owners as well as a very pleasant experience to the guests that stay at the guest house. The term guest house is usually used as a broad reference to anything from a bed and breakfast, the hostel or even a small hotel. The truth is however, that each of these terms have their own distinct definition and you will need to decide which one you are interested in having as your business.
A bed and breakfast is usually a room or two within a residence that is given on rent with only breakfast provided. A bed and breakfast usually does not provide too many luxuries or facilities besides simple accommodation and a simple breakfast. You can even run a bed and breakfast in your own home without having to hire any staff and without having to consult with a real estate management company and find a reliable real estate software in Australia to help you find a suitable location.
A hostel on the other hand is usually a small building that will provide minimalist benefits, usually a bedroom and bunk beds. The hostel is usually rented out by students or backpackers who are only looking for a place to sleep and not many luxuries or facilities. If you choose to have a hostel you will not need to provide too much to your guests. Your income for each guest will be considerably low however as many guests will be sharing the same room your overall room rate will be higher than that of a bed and breakfast or guest house if you are lucky enough to find enough of people to rent it out to.
The definition of a guest house
Although the term guest house is used quite broadly, a real guest house is a dedicated house that gives its guests a personal experience where the guest is provided with numerous basic facilities and benefits and is usually treated as if they are guests in the owner’s home. In most guest houses, the guest is provided with all three meals and will be given a lot of privacy in an intimate and easygoing environment. With a guesthouse however, you will need to hire at least one member of staff who will be able to manage bookings and clean the guest room every day so that your guests will be able to return to a clean room after a day out in the town.