Hotel Business Ideas

Hotel Business Ideas

You’re right for asking what the best hotel business ideas to invest in are. After all, you’ll be investing your hard-earned money into the business. So, it’s only right that you ensure you’re investing your money into the right business idea. Thankfully in this article, we’ve highlighted nine hotel business ideas that are worth investing in. 

So, read to discover what these business ideas are.

But first, here’s a brief introduction to the hotel business ideas.

An Introduction To Hotel Business Ideas

Hotel business ideas fall under the hospitality industry, which is very popular and lucrative. 

The business involves catering to customers and offering overnight accommodations or lodgings.

Hotel services are often closely associated with the travel and tourism industry.

However, there’s a difference.

The hotel business focuses mainly on providing lodging, accommodation, feeding, and welfare services to guests.

On the other hand, the travel and tourism business deals mainly with travel-related services from one location to another.

It usually also includes lodging and accommodation, hence the confusion.

In a nutshell, the hotel and travel and tourism business both fall under the hospitality industry.

And they both involve dealing with guests/visitors and ensuring they’re comfortable in a place far from their homes.

On another note, the hospitality industry is one of the fast-growing industries in the world today.

Not only that, but it has lots of business ideas and opportunities that aspiring entrepreneurs can explore.

It’s also important to note that starting a hotel business can be challenging and capital-intensive.

However, with a good business plan, strategy, and commitment to your goals, you’ll reap the rewards of your investment.

That said, here are some benefits of this business idea.

Benefits Of Hotel Business Ideas

Without any doubt, the variety of job options within the hospitality industry makes it a good option for aspiring entrepreneurs.

Meanwhile, before choosing any business idea for your startup, it’s important to be well aware of the benefits of that business.

This will help you weigh your options and decide if the business is worth investing in.

That said, here are the benefits of investing in the hotel business

It Offers High Earning Potential

A report published on reveals the average pay for the hospitality industry jobs category in the United States is $58,036 per year.  

Similarly, a publication on reveals the average salary of hotel management in the United States is $36,513 per year.

So, based on the information above, it is clear that the hotel business promises high-income potential.

It Offers Networking Opportunities; Hotel Business Ideas

The industry will allow you to meet and work with different people from all walks of life.

Not only that, but you will be opportune to learn and explore different things.

It could help you create long-lasting connections and relationships, depending on how you are able to manage your hotel business, 

It Offers You The Opportunity To Explore Interests 

The hospitality industry is very large.

There are many different aspects to hotel, travel, and hospitality management. 

Hence, you can always pick one or two business ideas and build your business around them.

It Offers You The Opportunity To Be Your Own Boos

Another huge benefit of starting a hotel-related business is that you will be your boss.

As a business owner, it’s all in your hands to make decisions about almost all the operations.

You can set your own working and closing hours without being answerable to anyone.

Again, freedom of time is one best benefits you will enjoy starting your own business.

Future Of The Hotel Business Industry

It is also crucial to know about the future relevance of the business.

So, before investing in any business, ask yourself if it is an evergreen business.

This simply means a business that can transcend times and seasons.

As the case may be, businesses are usually affected by recent occurrences in one way or the other.

A case study is the global impact of the coronavirus in 2020.

During the pandemic, businesses and corporate organizations were shut down. 

However, that event publicized and popularized remote work.

So to clear your curiosity about the future relevance of the hotel business industry.

There will always be a market for the hotel and hospitality business so long as people exist and keep travelling.

As we all know that travel is an essential part of human life and activity.

The bottom line is that all businesses will face challenges, but the ability to stand the test of time matters a lot.

A report published on highlighted the key statistics on the hotel industry as follows;
  • In 2022, there were about 187,000 hotels in the world.
  • The estimated number of guestrooms in the world is about 17.5 million.
  • As of 2022, the global hospitality industry is worth over $3.952 trillion.
  • The total number of people employed by the US’s accommodation industry is about 1.6 million.
  • In 2020, the global tourism and travel industry was worth $4.671 trillion to $9.17 from its $9.17 trillion value in 2019. 
  • In August 2022, the US occupancy was rated 67% on average.

Given all these, the hotel industry will still remain relevant even in years to come.

Now that you have known both the benefits and future relevance of the hotel industry, let’s get down to the business ideas for this review.

9 Hotel Business Ideas

Start An Airport Hotel Business

Do you stay around the airport area and have a substantial amount to invest in a business?

If yes, then why not consider setting up an airport hotel business?

Airport hotels are hotels located within the airport environs that offer accommodations and lodgings to airline passengers.

This business is profitable, and there is always a huge market.

Every day, foreigners, local migrants, and business people travel from one place to another for business meetings, vacations, etc.

They often book and log in to hotels while going about their missions.

As a business-minded individual who wants to start a hotel-related business, why not pick up this business idea and maximize the profits therein?

You can set up an airport hotel business and offer accommodation services to people who may need your service.

Specifically, your target customers should be business clientele, airline staff, and travellers.

Even more, airline passengers whose flight was cancelled or have overnight layovers will also need your services.

Although setting up an airport hotel business is usually capital-intensive.

However, once it is set and you are able to make a name for yourself, the returns are usually massive.

You can start this business and set your own business price and strategies.

For instance, you can charge your guests hourly instead of regular daily or nightly charges.

But this will depend on the quality of your hotel’s services.

In addition to the hotel business, you can still offer transportation services to add to your revenue.

Whichever way, the airport hotel business is lucrative and can be profitable if you follow the right business procedure.

2. Start A Resort Business; Hotel Business Ideas

The resort is another profitable type of hotel-related business idea.

This is one branch in the hotel, travel, and hospitality industry that help people with all their needs.

Here, guests usually have access to lodgings entertainment, food, drinks, recreational activities, shopping, etc., inside the premises.

This service thrives more in attraction centres like beaches and seashores, ski parks, spas, scenic or historical sites, etc.

So, if you stay around any of these areas, you can set up a resort business and offer guests enjoyable and memorable experiences.

You can make their stay worthwhile by providing them with good scenery, skiing, swimming, tennis, golf, and sailing.

This way, guests will be encouraged to come back for another visit.

We know that starting a resort business can be more capital-intensive but trust us, it can be profitable and rewarding. 

To run a successful resort hotel business, here are some things you need to know.

First, create a comprehensive business plan that covers everything about the business.

Secondly, develop unique branding and a catchy business name.

Choose a perfect location for your resort business.

When choosing a location, ensure you choose one large and suitable enough to accommodate all your projects, such as swimming pools and the rest.

Lastly, identify with your local authorities to register and obtain permits and licenses required to run a resort hotel business.

3. Start Bed And Breakfast Business

Do you have extra rooms in your home to lease out for business?

If your answer is yes, why not consider starting a bed and breakfast business?

This is also one of the hotel business ideas.

Bed and breakfast is a small hotel business with at least five to ten rooms.

They offer guests accommodation at night and breakfast in the morning.

It is always ideal for the owners of bed and breakfast to reside on that premises, majorly for serving breakfast.

This business also thrives in tourism and attraction centres as they are regular visitation places where people go for different events.

So, if you stay around these areas or have properties in them, you can sign in for this business and profit from it.

Even more, the startup cost for this business is less than that of a hotel and resort.

To succeed in your bed and breakfast business, you need excellent customer relations and hospitality management skills.

The above-mentioned skills will give you an edge over your competitors out there.

4. Start A Casino Hotel Business; Hotel Business Ideas

This is another lucrative business idea you can invest in.

Casino hotel deals majorly with providing customers with gambling facilities and temporal lodging.

The business is profitable as gambling is gradually becoming a normal social life game and activity.

You can start a casino hotel business from scratch and maximize the profits therein.

On the other hand, you can partner with hotels or resorts to offer casino services and earn a living from it.

Either way, the casino hotel business can reward you financially if you go about it correctly.

5. Lease Out Your Home On Airbnb

This is another platform you can adopt to start a business in the hotel and hospitality industry.

Airbnb is an online platform that connects people who want to lease out their homes with travellers looking for a place to stay.

So if you have excess space or rooms in your home, you can consider listing them on Airbnb and letting them out in exchange for money.

In this business, Airbnb stands as an intermediary or a booker who gets a certain commission from every booking. 

All you need is to create an account to join the Airbnb community and start hosting guests. 

6. Start A Hostel Business; Hotel Business Ideas

This is another profitable hotel business idea that you can invest in.

The hostel is amongst the hospitality and real estate businesses in high demand.

It deals majorly in providing affordable accommodation to those on a budget.

It is an accommodation business where multiple guests sleep on different beds but in the same living space.

Apparently, guests pay for their beds and not for a private room.

Also, they can share the same kitchen and bathroom facilities within the time they spend in the hostel.

So, if you have properties that can serve this purpose, why not turn them into a money-making business and earn from it?

Your target audience could be business travellers, individual tourists, tour groups, conference groups, etc.

Overall, starting a hotel business will not only help you to make money but also allow you to solve people’s immediate needs. 

7. Start A Boutique Hotel

This is another business idea within the hotel industry that yields plenty of money.

A boutique hotel is a smaller but luxurious hotel that offers a personalized, intimate experience and distinct personality services.

It is mostly located in trendy areas and large cities.

In boutique hotels, guests enjoy luxury amenities and unique and modern facilities throughout their stay in the hotel.

So, if you have enough capital and stay in any of these places, you can consider starting a boutique business and maximizing profits.

To get started, you need first to create a business plan, research the market, get a suitable location, and create an online presence for east booking and check-in.

Overall, setting up a boutique hotel is usually capital-intensive; however, it can be financially rewarding.

8. Start A Pop-Up Hotel Business; Hotel Business Ideas

If you don’t want to go into a permanent hotel business venture, here is a temporal business idea that can help tap money from the hotel industry.

Just as the name sounds, a pop-up hotel is a temporal business that usually happens occasionally or in some seasons.

In some areas, people take advantage of festive periods like Christmas, summer, etc., to run a pop-up hotel business and make money. 

During this period, they offer overnight accommodation to guests and travellers who would spend nights, days, or weeks at the events.

Apparently, once the event period ends, the business closes.

So, if you are looking for a business opportunity that can fetch you additional income, why not take advantage of this period and make cool cash?

9. Start A Guest House Business

The guest house is another form of hotel business you can do.

It is relatively inexpensive, smaller than hotels but larger than bed and breakfasts.

They are private homes converted majorly for guest accommodation.

Guest houses are usually located in larger cities and have both low-budget and luxury apartments.

Some of the advantages offered by guest houses include homemade food, cheaper rate services, modern design, personalized attention, quietness, and so many other things.

The business is profitable, and there is always a huge market for it.

So, if you are thinking of investing in a guest house business, you can’t get it wrong with these ideas.

All you need is to create a clear business plan, research the market, get a suitable location for your business, create an online presence, and promote your business.

Conclusion On Hotel Business Ideas

There you have the list of some profitable hotel business ideas you can start and make money.

So, the ball is in your court to choose which of these businesses appeals to you and get started.

Just note that the hotel industry is lucrative, and most of the business ideas in this industry have profit potential. 

However, it is usually capital-intensive.

So, you’ll need a substantial amount of capital to set it up.

More so, there’s nothing like overnight success in business.

Each of these businesses require total commitment, hard work, and dedication to yield success.

So, keep all these in mind as you get ready to start your own hotel business.

We are rooting for you!