In today's society, it is essential to have a sustainable mindset, open-mindedness, and a vision of the future to develop and grow in ways that promote positive polarity.
This increased awareness of environmental changes, challenges and choices has made us examine our financial climate and determine how we can improve upon it in a way that allows us to utilise untapped idle resources.
By finding a purpose for existing premises, we would be doing our part towards sustainable tourism.
Homestay hosting opportunities like Airbnb, Stayz and Bookings.com, allow us to create a profitable business venture without much fuss.
Many can benefit by jumping onto the sharing economy to make money.
What is the sharing economy?
The sharing economy is a platform that connects travellers and property owners, made possible by technology enablers such as the internet and social networks. It allows empowered people to make money from an underused asset by leasing them out when not being used. Some examples are spare bedrooms and guest houses.
How does an Airbnb operate?
- Host registers Airbnb space on the Airbnb website- Guest books
- Host confirms
- Guest pays Airbnb in advance
- Airbnb pays host 24 hours after guest checks in
- Airbnb fees range from 3%-5%
- Guest reviews their stay for cleanliness, personal safety, security, decor etc.
- Host reviews their guest's stay (Enabling Airbnb to identify guests to be placed on the watchlist/blacklisted).
How do I excel at Airbnb?
It is all in the details.
1) Offer a home away from home with the highest standards of cleanliness - Check that you have the following cleaning supplies at your disposal.
- Compostable Garbage Bags / Degradable Garbage Bags- Mop & Bucket
- Soap & Sanitiser
- Cloths, Scourers & Sponges
- Biodegradable Cleaning Chemicals
See below Cleaning Checklist for Airbnb to ensure you exceed the general cleaning expectations and become a 5-star host.
2) Do not just supply the essential amenities - Provide your guests with those extra guest amenity luxuries usually found in resorts.
- Guest Toiletries - Basic Earth, Eco Fresh, Pure Beach, and Body & Soul- Food Staples
- Toilet Paper & Facial Tissues
- Laundry Sachets
- Dishwashing Sachets
- Room Accessories
3) Host a space that is safe and secure.
How do I start an Airbnb business?
1) Determine your Airbnb Space - What space will you be renting through Airbnb.
2) Review your local laws that pertain to your Airbnb business regarding permission required and legal requirements.
- Room rentals: May need to obtain local council approval and licence as bed and breakfast accommodations, precise requirements vary between local councils, contact your local council for your specific requirements.- Whole houses, apartments and self-contained buildings with kitchen and bathroom facilities: Must check the zoning permits for residential, and check with the local council to see if approval is necessary for your serviced apartments.
3) Research your market.
- What is available currently in your local area?- What service are they offering?
- What are they charging?
4) Ensure you have the additional insurance cover for short-stay lettings required.
- Public liability insurance recommended: It covers someone injured on your premises. Home insurance or strata owner policies do not protect Airbnb hosts who rent out rooms or buildings on their residential property because they do not cover business use.- Business insurance suggested: If your Airbnb usage becomes commercial, such as a bed and breakfast accommodation, look into obtaining other specified business insurance.
Airbnb offers Host Liability Insurance Program: Part of AirCover that protects hosts with coverage when a guest is injured or their belongings are damaged or stolen whilst staying at your property.
As well as Host Damage Protection: Airbnb agrees to pay the host if a guest damages your property or belongings during their stay and does not reimburse you.
Both are subject to exemptions and policy terms and conditions.
Inform yourself so that you understand what is covered.
5) Consider hosting an Airbnb Experience - A host can offer a unique experience pertaining to their knowledge and skill set (This may include showing guests around local attractions, offering local history and having special discounts for local businesses).
6) Decide upon a competitive price - Ensuring that you are covering costs and making a profit.
7) Create your Airbnb listing and start to reap the rewards.
Why not make use of that extra bedroom or guest house.
Make the step towards starting your very own Airbnb and see for yourself the benefits.
