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Additional info for Business Plans Handbook, Volume 1: A Compilation of Actual Business Plans Developed by Small Businesses Throughout North America (Business Plans Handbook)
According to the 1990 Bed and Breakfast and Country Inn Survey, room prices have more than kept pace with inflation. Pricing Data Average Daily Room Rate: 1986 1987 1988 1989 1990 Corporate Rate $78 $83 $92 $102 $106 $85 A few generalizations: •The older the property, the higher the prices. •Rates in the West are higher than the South and Northeast by $8-20. •Urban prices tend to be the lowest, yet their corporate rate is the highest. 1990 survey results indicate just how much people will pay for in-room features: Feature Valuations Average Value of Special Room Features (in addition to basic room priced at $80) Private Bath Fireplace Whirlpool Tub Extra space (balcony, deck, patio) Gale Research Inc.
How does AMS plan to grow? 16 In the first years the goal is to establish a reputation in the field and survive while doing so. The ultimate goal here is to become busier than a single person can handle. The aim at this point is to have a handful of associates with which work is shared. In the future, if the business is successful, it will become necessary to hire staff or contract out more of the support and hands on implementation work. After four or five years the ideal would be to have one or two salaried staff.
These range from reduced pricing on towels and linens to credit card processing. 32 Gale Research Inc. Business Plans Handbook BED AND BREAKFAST The owner's 20 years of business experience will be a strong asset, particularly in the areas of sales and marketing. To strengthen the operations side of the business, personnel experienced in the hospitality industry are being utilized in the critical first year of operation. An expansion plan is also in place that will allow the B & B to diversify its customer mix and increase revenues.