Tour Company Business Plan: Everything You Need to Know
A tour company business plan is a document that contains all the ideas an individual has for the business.3 min read
2. Legalities of Starting a Tour Company
3. Starting a Tour Company
A tour company business plan is a document that contains all the ideas an individual has for the business. It's like have a roadmap to follow to keep the company heading in the right direction.
The Sections of a Business Plan
A tour company business plan contains several sections to be developed in a clear and detailed manner, such as a description of the company, partnership opportunities, and market analysis. It will also include information for an operations plan, a marketing plan, and a list of the products and services your company will provide.
Within the business plan, you'll be providing information that includes financial projections for the business, which will take into account how the seasons can affect tourism, and a selling theme or proposition explaining why your tour company surpasses the competition.
This portion of the business plan provides a concise summary of each section.
This section describes the business. It will include:
- Business formation information.
- Business type.
- The legal structure of the business.
- Business location.
- The means of doing business, i.e., street-based or internet based.
The operations area fully describes how the business will operate and be set up. It will also include when tasks will be implemented and who will be responsible for completing the tasks.
Market analysis is an important area and one that has several questions that need informative answers. You'll provide information on who your major competitors are, what their pricing strategy is, how you'll price products/services in relation to their price structure, what the demand is for your product or service, the market demand for your product, and what the consumer behavior is toward the product or service.
Team and Management
The team of employees is the driving force of the company. Describe the team, the role of each team member, and who will need to be hired to support the execution of your product/service.
Describe your plans for implementing your ideas to promote a successful business.
Outline the financial forecast for the business. The information covers effective pricing, marketing budgets, cost of sales, cost of staff, and other elements/costs affecting the business.
Legalities of Starting a Tour Company
- Name the business something that's memorable and descriptive.
- Check to see if the domain for the name you've chosen is available. If so, buy it.
- Register the business to make it official.
- Choose the business structure: a partnership, corporation, or sole proprietorship. Evaluate the pros and cons of each structure prior to making a decision.
- Contact the tourism board in your area to find out what the requirements are for opening a tour company.
- Check with your particular city or state about the permits and licenses needed to operate a tour company.
- If you're planning to be a tour guide, you may need to complete a course to attain a license. Check with the tourism board for your area for requirements.
- Open a business bank account to handle tracking of revenue and expenses.
- Purchase liability insurance to ensure the business isn't held liable. Common types of insurance for tourism are property insurance, accounts receivable insurance, and commercial general liability insurance.
Starting a Tour Company
There are several things to do before opening for business as a tour company.
Choosing a Niche and Finding Your Passion
Choose a focus for your company. Keep that focus fresh and stay passionate about the service you're providing.
Repeating the same information to clients several times a day is repetitive and can become boring. The boredom will reflect in your voice, and your customers will pick up on it, which won't be good for business.
Evaluate Your City
Do your homework to determine if your city will benefit from a tour company. Things to consider include if the city is a popular tourist destination, current travel trends, and if there's anything your company can offer that isn't already available.
Identify Your Target Market
Know who your company is focusing on and what areas to cover, such as outdoor activities, fine dining, and points of interest or things to do.
Know your competition. This means having an understanding of their operations and how you can make yours stand out from the crowd.
If you need help with a tour company business plan, you can post your legal need on UpCounsel's marketplace. UpCounsel accepts only the top 5 percent of lawyers to its site. Lawyers on UpCounsel come from law schools such as Harvard Law and Yale Law and average 14 years of legal experience, including work with or on behalf of companies like Google, Menlo Ventures, and Airbnb.