6 Tips to Sell a Bed and Breakfast Business

Article updated on November 15, 2019.

You’ve worked tirelessly to build your bed and breakfast business, and now you’re ready to cash-in on all of your hard work. But with an increasingly saturated market of bed and breakfasts for sale, how will you stand out in the crowd? Learn how to sell a bed and breakfast (B&B) for top-dollar with help from Sunbelt Business Brokers.

How to Effectively Sell a Bed and Breakfast

After the economy’s rebound from the Great Financial Crisis, the travel and lodging industry took off and never looked back. With an increase in resources being spent on domestic and international travel, the bed and breakfast industry has seen 4.4 percent annual growth from 2014 to 2019. The industry is on the rise, so now is a great time to sell a bed and breakfast business.

As you’re preparing your bed and breakfast for sale, utilize the following list of seller tips from the professionals at Sunbelt Business Brokers.

1. Prepare Your Financials

Any potential buyer is going to be interested in your bed and breakfast’s financials. Work with your accountant to organize your taxes, financial books, utility bills and more.

2. Get Your Facility Inspected

One of the most essential assets to a bed and breakfast business is the real estate itself. Being proactive and hiring a professional home inspector pre-sale can save you money down the road. An inspector will examine everything from the roof and foundation to electrical systems and staircases. By ensuring your establishment is up to code and there are no issues, you can rest assured that nothing will show up on the buyer’s inspection report forcing you to lower your selling price.

3. Price Your Bed & Breakfast Right

Pricing your bed and breakfast correctly is key to selling your business. There are many factors to be considered when valuing a bed and breakfast, ranging from the number of guest rooms to overall condition of the building. Hire a business broker to provide a broker’s opinion of value (BOV) for your business and help you determine a proper asking price.

4. Step Up Your Customer Relations Game

Guest relations and community perception of your business can significantly impact its value. Think about ways that you might increase brand awareness and improve customer experiences at your bed and breakfast. Simple ways to provide added value to customers include but are not limited to:

• Airport shuttles,
• Product packages from local businesses,
• High-speed internet,
• Artwork from local artists,
• Pet-friendly accommodations,
• Decorations around the holidays, and
• An updated, user-friendly website.

Perceived value is key and determines how much your business can charge. The more your business can charge per night, the more a buyer will be interested in buying your bed and breakfast.

5. Offer a Fully Furnished Sale

Prior to listing your business, determine if you are willing to sell your bed and breakfast fully furnished. Selling a bed and breakfast fully furnished can be a major plus for many potential buyers, especially those who plan to continue the business. If you have no need for the furnishings, consider including them in the asking price.

6. Hire a Business Broker

A professional business broker has the experience and industry knowledge to successfully market your bed and breakfast to potential buyers and close the deal at an optimal asking price. Plus, with a professional handling the details of the sale, you can remain focused on what’s most important – running your bed and breakfast!

If you’re searching for a professional business broker to help you sell a bed and breakfast business, look no further than Sunbelt Business Brokers. Our brokers have years of experience maximizing value for sellers and closing deals. Enlist the help of your local Sunbelt Business Brokers office to sell your bed and breakfast business.