One of the most inexpensive ways of accommodation is to stay in a hostel. Hostels usually cater to the budget traveler and are often located in busy towns and cities or around tourist sites. They usually have basic accommodation features and are cheap. A backpacking hostel does not usually have formal hospitality but instead are more inclined towards building a communal spirit among visitors and/or locals in the form of organized activities. These quick steps will help you on what basic guidelines need to be taken in order to set up a hostel.
Location is everything
The location of the hostel is what will bring in high volumes of budget travelers or backpackers. It is therefore important to make the hostel easily accessible and set you apart from other hostels in the area if any. In a place like Singapore, there are many hotels in Little India but very few of the hostels. Since hotels and hostels are not in direct competition with each other, it is alright if the location you choose has many hotels around too. Make sure to market the establishment in your initial days of opening to the public.
It is necessary to establish an initial costing budget for the hostel that will ideally help you manage and operate for at least one year. This is because in this industry, making profits immediately are farfetched dreams and it is important to give your establishment time to saturate and start making money. Apart from the costs that will be directly involved for the hostel such as building, kitchenware, beds and marketing expenses, you will also have to purchase the relevant permits related to the area of service from the authorities before starting operation. This would be true to operating a hotel too such as a hotel in Bugis.
In order to get a sense of how hostels are usually facilitated, you can visit plenty of websites and brochures. In general however, the hostel is divided into separate areas such as lodging, kitchen, common area, dining, bar and so on. Durable furniture will have to be purchased, including beds, tables, and chairs and so on, the kitchen will ideally have to industrial size and the common areas could have a pool table and couches for relaxing and networking.
For a hostel, a combination of local and foreign staff will help manage the hostel smoothly considering the different types of clientele that will be accommodating. Dividing the staff to hostel management, the kitchen staff, cleaning and reception will avoid any complications.