What Is a Bed and Breakfast?

A bed and breakfast, or B&B for short, is a type of small lodging property usually owned and operated by a family or small team living on the premises. Typically, B&Bs have less than 10 rooms available for rent.

Research has shown that B&Bs in the UK receive higher guest ratings than hotels, with about 90% for B&Bs and 81% for hotels. This is because travelers appreciate the personal touch that can be found at B&Bs. B&Bs can be found in various locations, such as seaside, city, or countryside away from urban areas. They can also be established in different types of buildings, such as cottages, mansions, castles, or farms. Guests often choose B&Bs over hotels due to their affordability and unique local experience.

Starting a B&B can be a challenging task, especially if you are new to the hospitality industry. There are countless factors to consider and even more to contend with once you run your business daily. Luckily for you, we’ve prepared this guide on the intricacies of starting and running a B&B. 

How Do You Know If a Bed and Breakfast Is the Right Business for You?

As cliche as this sounds, loving what you do is usually the recipe that will ensure you succeed in your B&B business. Of course, success is relative, and you define what success looks like for yourself. And while you’re deciding on what success is for you, check out the qualities you need to possess if you want to start a B&B: 

Your personality

This is your unique selling point, what sets yours apart from the plethora of B&B’s or small hotels in your area; this experience is what draws guests to your property, and it is up to you to deliver it. To do this, you should be approachable, informative, and accommodating to your guests. You should also be flexible and able to adapt to any situation that may arise, and believe us, they will arise.

Most importantly, you should be friendly, kind, and open to new ideas. Your guests should feel comfortable sharing their feedback with you, whether it is positive or negative. Use this feedback to improve your bed and breakfast and provide an even better experience for your guests.

Your motivation

As with most endeavours that are worth it, it takes a lot of drive to run a B&B, and that can only come from within. Not only must you be motivated enough to stand out in a highly competitive and saturated market, but you also need to do the necessary market research and know if there’s another B&B that’s in demand in your area. That means having the right bed and breakfast software to help you separate the wheat from the chaff as your competition will influence your rates and pricing strategy. 

The reality is that 45-50% of new businesses fail within the first five years of operation and 65% during the first 10 years. These grim statistics aren’t meant to discourage you but should serve as a cautionary tale and reminder that running a business successfully takes more than capital. 

Your diligence

This refers to your work ethic, and starting a B&B will test your work ethic to the limits.  Somedays, you’ll be the housekeeper, and on an odd day, you might be expected to be the sous chef as you help prepare breakfast for your guests. In the past, you’d spend hours in manual paperwork, but now, you’ve got front desk management software to automate such tasks and turn your B&B into a well-oiled machine, leaving you to work on that charm we spoke about earlier — your personality. 

Your support system

These are your steadfast companions, the ones who’ll water you when you feel like a dwindling flower, your close-knit circle. They’re the ones who believed in you when you first woke up and blurted “I’m quitting my high-paying corporate gig and turning my property into a B&B”. 

They might have silently cast each other nervous glances as they’ve heard you dream of many outrageous things that don’t make sense in today’s economy, but deep down, they’ve always known you’re a maverick who can wake up on a whim and decide on a daring, beautiful dream. 

They know you throw caution to the wind, bones to the dogs and feet to the floor when it comes to work ethic, and they’ll support you through the growing pains of opening a business. Honour them, cherish them, for you’ll need lots of support to run your B&B and not be part of the 50%  or 65% statistic.

So, we’ve deconstructed all these qualities into specific questions that you must ask yourself in the table below: 

Lots to ponder, lots to think about. Feeling inspired yet? Stick with us and we’ll take you places with our top tips for running a B&B.

What Are the Factors to Consider When Running a Bed and Breakfast?

1. Location trumps all

When it comes to running a successful bed and breakfast, location is key. To increase your chances of success, it’s best to have one or more of the following: 

• Proximity to popular tourist attractions such as national parks, historic sites, trendy towns, restaurants, and wineries.
• Access to outdoor activities and natural beauty, like hiking, biking, boating, or animal watching.
• Unique cultural experiences such as local art scenes, festivals, or historical monuments and museums.

Your property should be easily accessible by travellers with different transport options available. You should also target a specific niche, such as eco-friendly lodging, pet-friendly accommodations, or backpackers lodging type, to help guests know what to expect and decide if your property is right for them. 

To identify potential gaps in the market, it’s helpful to research existing bed and breakfasts in the area, their success rates, and the potential niches that are not yet being targeted.

2. Know your expenses

When you start your own B&B, the most important expense you need to consider is insurance. It includes health, disability, life, business, or loan insurance. You must secure yourself and your family in case anything happens to your business — and rest assured; something will happen, be it a little plumbing issue that makes you lose money for a day or two, or a natural disaster that causes havoc to the entire town, make sure you’re covered for everything. 

To get recommendations, consult other self-employed individuals and your financial advisor. Often, small expenses like gifts and entertainment are overlooked. So, it’s crucial to incorporate such costs into your budget from the outset.

3. Research zoning and land use regulations

Zoning regulations for B&B establishments are applied for and finalised at the local government level (municipal) and can vary with each authority. These regulations may include restrictions on the number of guest rooms, requirements for owners to reside on the property, parking arrangements, noise and traffic concerns.

Failure to comply with these regulations can result in fines for operating an illegal business . But that doesn’t have to be you because you’ve got this guide. It is important to consider all regulations, advertising and marketing costs, and staffing needs when planning to establish a B&B.

4. Cater for all payment methods

As a bed and breakfast owner, accepting credit cards is essential. But we know it can be challenging to figure out the actual cost with so many different types of cards — commercial, reward, international, and additional fees. That’s why having an integrated payments solution is a simple and efficient option to set up the technology needed to manage your property.

5. Work your website

Websites require regular monitoring, updating, and upgrading to ensure they continue to generate bookings. Additionally, website security must be maintained to prevent data breaches. Each time you need a change made to your website, it costs money. The good news is that you can save time, effort, and money by using a website builder that offers automated updates and security features.

6. Look out for your linen

Replacing your linens regularly is important because as an accommodation provider, your linens must be in pristine condition. Large hotels prefer to use white linens for this reason, as they are easier to replace one piece at a time, as should you. Everything being white requires minimal sorting, and it is easier to spot stains and marks that are on white linen. 

7. Read the room

The first step towards opening your B&B is to ensure that the electrical outlets, plumbing, and landscaping comply with the necessary safety codes and standards while also being aesthetically pleasing. Once that is taken care of, you can furnish the rooms, make sure all your painting is up to standard, and put up a welcoming sign in front of your property to attract guests.

8. Where there’s smoke

Remember that smoke detectors and fire alarms are also required by law on your property. These are literally your life savers in the event of a fire.

Run a Successful B&B With  RoomRaccoon

RoomRaccoon is a user-friendly and intuitive platform that is designed to make it easy for everyone, including those who are not tech-savvy, to use it. Here’s how it works: 

To get started with your bed and breakfast, you first need to set up your rates, room types, and availability. Don’t worry, your designated implementations manager will guide you through the entire onboarding process so that you won’t have to do it alone. 

Next, you can integrate with various online travel agencies (OTAs) such as Booking.com, Expedia, Airbnb, and other platforms. This feature automatically syncs your availability, rates, and reservations across multiple platforms, saving you time and preventing errors.

A property management system allows you to manage all aspects of your bed and breakfast from one centralised location. This includes managing reservations, guest information, room inventory, pricing, housekeeping, and more. Additionally, easy-to-understand reports and dashboards will help you analyse your B&B’s operational performance, identify more revenue opportunities, and optimise pricing, inventory, and distribution strategies.