Setting up small bed and breakfast business in Harare

WITH a fast-rising population and increased business opportunities, Harare is the energetic capital of Zimbabwe.

The expanding city provides intriguing opportunities for entrepreneurs wanting to set up a bed and breakfast (B&B) business.

With its increasing popularity among travellers seeking a more personal experience, the B&B model presents a charming alternative to larger hotels.

But do not be fooled, launching a B&B is not as simple as opening your doors.

B&Bs need to feel homey, and that means splashing out on decent furniture

Below, we break down the basic costs and requirements of starting your own B&B in Harare, where the potential is promising but the hurdles are many.

Buy or rent?

The first major decision is whether to buy or rent the property.

Both options come with their pros and cons, but one thing is certain: properties in Harare do not come cheap.

The leafy suburbs — places like Borrowdale and Highlands — are ideal for a B&B, but brace yourself for the price tags.

If you are in it for the long haul, buying makes sense, but expect to spend anywhere from US$100 000 to US$300 000 for something halfway decent.

More cautious entrepreneurs might want to rent.

A suitable property for a B&B could set you back US$800 to US$2 500 a month.

Renovation and furnishing

Once you have secured the property, it is time for renovations.

You will likely need fresh paint, new flooring and possibly a touch of modern plumbing or electrical work.

This can run you anywhere between US$10 000 and US$20 000, depending on how fancy you want to get.

B&Bs need to feel homey, and that means splashing out on decent furniture.

Don’t forget those tasteful decorations that will make your Instagram-happy guests swoon.

For a small property, this could easily add another US$10 000 to your bill.

Paperwork

Now comes the joy of bureaucracy.

Setting up a B&B means getting the right licences and permits in place.

First, you will need to register the business with the Registrar of Companies. That is about US$50 to US$100.

Since you are entering the hospitality sector, the Zimbabwe Tourism Authority (ZTA) will want a piece of the action. Their tourism licence could cost anywhere from US$200 to US$500 per year.

Do not forget about health and safety compliance. This is not the part to cut corners. Ensuring your B&B meets fire safety standards might mean installing alarms and extinguishers, costing another US$500 to US$1 500.

Want to put up a sign? You will need a permit for that too, which costs under US$100.

The staffing

Even if your B&B is small, it is unlikely you will be able to run it alone.

Hiring a small team is essential, particularly for tasks like housekeeping, managing bookings and preparing breakfast.

Staff salaries in Harare vary, but you can expect to pay between US$100 and US$300 per person each month.

A couple of staff members might set you back around US$600 to US$1 000 monthly.

And remember, happy staff are worth their weight in guest reviews.

Keeping the lights on

Utilities are a big concern in Harare, with frequent power outages being the norm. That means you will need a reliable backup plan — usually a generator — and you will be paying out for electricity, water and internet.

A backup generator is not optional; it is a necessity.

This will cost between US$2 000 and US$5 000, but it is a one-time investment that could save you a lot of headaches.

Expect your monthly bills for electricity, water and internet to run anywhere from US$200 to US$500.

And with guests expecting strong Wi-Fi, you will need to get a decent internet package, which alone could cost you US$50 to US$150 a month.

Another must-have is property and liability insurance. Insuring the property and the business could cost between US$500 and US$2 000 per year.

Marketing and promotion

A solid marketing strategy is essential if you want to keep those rooms booked.

Having an online presence is non-negotiable. Building a website might cost US$500 to US$2 000 upfront.

Do not forget the importance of social media and SEO (search engine optimisation) — they will be your bread and butter for attracting guests.

Listing on platforms like Airbnb and Booking.com is a good idea, but they will take their cut — typically 3 percent to 15 percent of each booking.

Day-to-day essentials

Your guests will expect more than just a place to sleep.

You will need to budget for meals, especially if breakfast is part of your offering, along with basic upkeep.

Depending on what you are serving, groceries for breakfast and other small meals could cost between US$200 and US$500 a month.

Regular upkeep of the property is also a given. Budget for around US$100 to US$300 a month to keep things running smoothly.

Opening a small B&B in Harare is undoubtedly a labour of love — and one that comes with its fair share of financial and logistical challenges.

Share with us your experiences of starting a business from anywhere in Zimbabwe. Email us on: sundaymailonline@ zimpapers.co.zw or WhatsApp Only: 0771 538 827