Importance of a Feasibility Study When Setting up a Hotel
Carrying a feasibility study for a business venture, or project is highly paramount in achieving success. Sadly, however, you find that many do not realize it. You find more often than not, that intended hotel owners tend to ignore or fix this process into their hotel set-up phase. Many times hotels fail to scale through as they should is very much as a result of the fact that the feasibility study was conducted. Maybe if we knew what feasibility study is an how important is to the success of hotels we would take it more seriously.
What is Feasibility Study?
Put simply, a feasibility study is “an assessment of the practicality of a proposed plan or method”. It is a method for determining how viable your plans and objectives are. Feasibility considers the ‘how’ and ‘when’ of a project or business. It gives you a clear picture of the hotel you are about to open. Will it succeed or not? How will it succeed? When will it scale through? If this and that are carried out, what will be the outcome? These questions and more are what feasibility study brings under intense scrutiny. It touches all the important aspects, which include economical, operational, technical, scheduling and financial factors.
Importance of Feasibility Study when Setting up a Hotel
Now that you have an understanding of what feasibility is, and how it works, you definitely already have a perfect idea of why it is highly indispensable when setting up your hotel business. Let’s put them out there in clear precise details:
- It helps you define your goals
- It reduces the chances for failure
- Helps you in coming up with a viable plan/strategy
- Determines if your plan will succeed or not
- Gives you good identity in the long run
- Helps in setting your focus on the right path
- Narrows the business alternatives
- Helps in making the right decisions for your hotel business
- Enhances the success rate of the business, since it evaluates numerous parameters
- Identifies new opportunities
Hire Jones Hospitality for your Hotel Feasibility Study
Feasibility study appears like a lot of work, and you are probably wondering how do I do all these? Can I handle it? Do not beat yourself about that. That is why hospitality consulting companies exist. Reach out to the Jones Team today for your hotel feasibility study and all things hospitality in Nigeria.