Investing in a Hotel Business is Fun, as long as You Consider These

The investment trend in the hotel services business has grown significantly, in line with developments in consumer lifestyles, which affect market conditions. The rise of hotels in various classes has affected the margins and profits of players in this sector. So an accurate strategy is needed to return the invested capital according to the time frame.

From these indicators of change, I created a seminar on the Hotel Business Revolution. Meanwhile, to maintain the market, existing hotel business owners need to create new business models, if they want to continue to experience increased occupancy. In Solo, there are more and more hotels, the more productive, the occupancy decreases. Like in the city of Solo today, for four stars I predict the return on investment could be over 15 years.

Smart investing in hotel’s building

As for smart, investing in hotels is building the hotel for no more than six months and the BEP for less than five years. Running a Hotel Investment business can be said to be easy. This depends on how you manage and also maintain your business journey.

This can be seen from the number of investors who are competing to earn profits from hotel investment. There are many benefits that can be obtained from investing in the hotel business, and these benefits can be obtained regularly. There are many things that you must learn and pay attention to when running a business, one of which is financial management.

Choose a Strategic Location

A good location will be very profitable because it can invite many tenants. Put yourself in as a hotel tenant. Of course you want to rent a hotel that is strategically located, in the middle of the city which is very easy in terms of its transportation range.

The following is a description of the location that you can consider, including:

  • The strategic location of the hotel near shopping areas or food courts or supermarkets.
  • The hotel’s location is easily accessible by motorized vehicles (two-wheeled and four-wheeled) and public transportation.
  • Spacious and easy parking access.
  • The hotel location is not in a flood-prone area
  • Hotel locations that are not near a cemetery or waqf land.
  • Not the location of land disputes or cases that have occurred.

Shopping for Hotel Supplies

If you build this hotel investment business in a self-managed way, in order to maximize your budget, you can shop for every item you need for hotel equipment yourself.

You don’t have to stand by a third party like a consultant. This of course will put much more pressure on the budget when compared to using a third party. But remember, not just because you want to reduce the budget, you don’t pay attention to the quality of the goods you are going to buy. Quality matters! This is to attract customer attention and interest.

Preparation for Hotel Opening

In this case, you need to hire experts, including employee recruitment experts, making Standard Operating Procedures or SOPs, training or training, and so on.

Investing in a hotel business is fun, as long as you consider these.

Every business is also an investments, it cannot be immediately relegated when we have trusted people who are experts in their fields. There needs to be supervision that is carried out specifically and directly by the official owner of the business, namely you.

If you only see results, then it’s useless to run it because, results are always in line with the process. Stay careful and serious when running it.

Investment in hotel development in Indonesia is ranked third in Asia, with total investment in 2012 reaching US $ 869.8 million. The government encourages hotel investors to invest in Indonesia to implement the green hotel concept. “Indonesia is currently ranked third in Asia in terms of hotel development. This is a fact that we are in demand for investment purposes in the hospitality sector. Although not the only one, Indonesia is currently one of the main investment destinations for hotels and restaurants favored by investors.

Hotels Are Ready To Open When New Normal, So Change The Check-In System, Like What?

Hotels and resorts in crisis conditions due to the corona outbreak, it have been forced to stop operations temporarily or permanently. Even in the midst of a new life order (new normal) they will still experience difficulties due to the low occupancy rate. According to GDP Venture data, there are 737 hotels that are closed / temporarily closed, scattered in West Java (304), Bali (170), Yogyakarta (98), West Nusa Tenggara (75), and DKI Jakarta (90).

Something similar happened in the United States. “Hotels have lost more than 25 billion US dollars since the outbreak of corona, 70% of hotel employees have been affected by layoffs or leave. When countries in the world, including Indonesia, are preparing to implement a new life order, hotel companies are starting to prepare themselves. A number of big names, such as: Marriott, Best Western, Hilton, and Hyatt Hotels have committed to adhere to AHLA health guidelines; from contactless check-in, to new cleaning standards and protocols.

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