FAQs: Owning and Operating a Vacation Rental Franchise
So, you’re considering your options as a vacation rental franchisee, but have some questions to ask first. Well, you’ve come to the right place.
Below, Grand Welcome Franchise management services has the answers to five of the most frequently asked questions regarding owning and operating a vacation rental franchise.
- What is a vacation rental franchise?
- Why should I choose to start a franchise in the vacation rental industry?
- Do I need experience in a vacation rental business to succeed as a vacation rental franchisee?
- As a franchisee, what would be my responsibilities?
- How do I go about starting a vacation rental business?
Let’s get these questions answered so you can get the details you need to make a wise, informed decision!
|You are reading an article from the Franchise section of our Ultimate Vacation Rental Business Guide.
See the other articles in this section below:
➜ Vacation Rental Management Franchise
1. What Is a Vacation Rental Franchise?
A vacation rental franchise is a lifestyle business (meaning, it provides a foundation from which to enjoy a particular lifestyle) where an owner utilizes a vacation rental management program to grow their business from one vacation rental property to multiple properties throughout a protected territory. This is accomplished by using a proven, consistent method of accounting, marketing, guest services, and housekeeping/maintenance to build revenue more and more as properties are added to a portfolio.
There are many benefits that come from owning a vacation rental franchise:
- You can work from home, on your own time.
- You can start with low initial investment with big upside potential.
- No employees are required to start your business (which means No headache!)
- You can operate your business with limited staff even as your business grows
- You have access to proprietary knowledge and processes.
- Technology is current, streamlined, and run by professional administrative staff.
- It’s an effective way to increase market share, or expand into new markets.
- Territories are defined, established, and protected.
- Training and ongoing support is readily available.
- You have a partner who will help you grow your business, or sell it.
As a franchisee, perhaps the greatest benefit is having the ability to do what you love, when you want to, while making money at the same time.
2. Why Should I Choose to Start a Franchise in the Vacation Rental Industry?
Why start a franchise in the vacation rental industry rather than in any other industry?
First of all, you may already have a property that is perfect for renting out. If that’s the case, then you have nothing to lose and a lot of revenue to gain. Second of all, you can purchase properties in locations where you would like to vacation yourself, and be able to enjoy that wonderful perk when guests are not booked. Finally, it’s fun! The hospitality business allows you to help other people have memorable vacations in remarkable places. You’ll help bring together couples, family, and friends for a relaxing good time. It doesn’t get more rewarding than that.
If you want to talk numbers, though, we’ve got them and they’re not too shabby:
- $18 billion in US revenue
- 7.2% revenue annual growth rate
- 18.5% user penetration
In other words, the vacation rental market is trending big time with no end in sight.
3. Do I Need Experience in a Vacation Rental Business to Succeed as a Vacation Rental Franchisee?
Absolutely not. You don’t need to have any experience in a vacation rental business to start and be successful as a franchisee. However, there are a few different traits that will make the work much easier for you if they are a natural part of your personality.
For example, do you have:
- A strong entrepreneurial spirit? If you have a strong social and professional network and enjoy connecting with people from all walks of life, then it will be easier for you to grow your business. A willingness to take a calculated risk is also a key trait that all good entrepreneurs tend to have.
- High motivation? Getting your own business up and running requires a lot of energy and drive to push through the paperwork and other details that seem to be endless. However, this level of effort is only temporary until the business begins to almost run itself. Motivation is still a good quality to possess to keep everything running smoothly and profitably for the long term.
- Passion for customer service? Are you willing to go above and beyond for the sake of your guests’ enjoyment? Doing so reaps the very real rewards that positive reviews bring. Being personable and a team player will go a long way in establishing a thriving, trustworthy business.
- Organizational skills? Keeping track of multiple listings is only easier if you can coordinate your efforts and manage other members of your crew (cleaners, maintenance workers, etc.).
These are exactly the things that make a good franchisee. However, if you don’t naturally possess these traits, no worries. Grand Welcome’s proven vacation property management model is designed to thoroughly support owners throughout the start-up process and beyond.
What Grand Welcome handles to help you focus on your business:
- Give intensive training to our franchisee
- Provide all the necessary technology tool to run your business successfully
- Protect rental territories
- Interview different companies offering reservation systems
- Employ a bookkeeper
- Write contracts
- Handle sales
- Advertising and marketing
With all of this taken care of for you, you don’t need any specific educational or professional experience to make money and grow your business.
If, however, you do want additional vacation rental training, we offer:
- A comprehensive 1-week vacation rental training at our headquarters
- Another 1-week vacation rental training at an existing corporate-run location
- An initial in-market vacation rental training
- Ongoing support with:
- Grand Welcome staff
- Online programs
4. As a Franchisee, What Would Be My Responsibilities?
As a franchisee with Grand Welcome Franchise, your responsibilities are minimal. Our staff, systems, and support makes it easy to start your business from scratch and keep it operating successfully.
You’ll only have a few main responsibilities as a vacation rental business manager:
- Deliver an exceptional guest experience
- Manage housekeeping and build the list of vendor suppliers
- Recruit new properties
- Secure vacation homes in your location
- Build your list of vendor suppliers
- Manage ongoing owner relations with your property owners
As a franchisee, every other aspect of your business will be taken care of by a team of experts who are trained to implement our comprehensive management program. That way, you’ll be able to focus on the most important, and profitable, parts of your vacation rental business.
5. How Do I Start a Vacation Rental Franchise Business?
The first thing to do when starting a vacation rental business…is to know how to start a vacation rental business. While it can certainly be complicated and time-consuming to build a business from the ground up, starting a franchise through Grand Welcome Franchise makes the process quick, smooth, easy, and seamless.
Grand Welcome utilizes a 6-step process (which typically takes between 30-45 days for completion) for getting all the information you need to decide if franchising in the vacation rental industry is the right choice for you.
- Download the Franchise Information Kit.
- Begin initial discussions via telephone. We will learn about your interests and business objectives, and you will learn about our available opportunities and what’s required to purchase a franchise.
- Submit the preliminary questionnaire, which is then reviewed by our franchise team to determine if you’re a candidate who is ready to proceed in the process.
- You will be provided with a copy of our Franchise Disclosure Document and the Franchise Agreement. These will provide you with everything you need to know about our company, operation, and expectations.
- You will speak with the CEO of Grand Welcome on a 30-45 minute phone call. You will hear how the company has grown and will be able to ask questions.
- Attend Discovery Day, where you’ll be introduced to key personnel, talk about your responsibilities, and learn about the franchise program in detail.
Now that you know how to start a vacation rental business, are you ready to open your vacation rental management franchise?