The Complete Guide to Starting an AirBnB Business

The beginning of a new year is a great time to plan for a new business venture. You can consider starting an Airbnb business with your extra living space. Instead of not being regularly occupied, turn your house, condo unit, or apartment into a profitable accommodation business to maximize your revenue for 2024 – and the coming years.   

Airbnb has become a favorite online platform for people searching for short- and long-term vacation rentals. It has grown and contributed to the Philippines’ economy. Research shows that activities booked through Airbnb contributed P45.7 million to the country’s GDP while it also provided nearly 103,800 jobs in 2022. Just like other businesses, you need to carefully plan and prepare your property to attract potential visitors. If you are still unfamiliar with how this platform works, this article will guide you on how to start an Airbnb business in the Philippines.

8 Useful Tips on How to Start an Airbnb             

1. Determine Your Budget

One of the essential Airbnb business tips to remember is to first determine your budget. How much money can you afford to start this type of business? There are several related costs that you must consider in the budget including the following:

• Purchase or rental – Consider the initial cost and monthly payments if you are planning to either buy or rent a property.
• Taxes and fees – Part of Airbnb business tips associated with costs are the taxes you have to pay and the fees in compliance with the permits and local regulations where the property is located. There is also a commission fee that you must pay to Airbnb for each booking.
• Renovation or upgrades – You may wish to renovate or upgrade your property to make it more presentable and appealing to potential guests. Enhance the appearance of the living space to attract bookings through painting, decorating, or furnishing with modern appliances and furniture.
• Utility bills – Keep in mind Airbnb business tips like regularly paying your bills such as electricity, water, internet, gas, and cable TV to prevent disconnection of services. These utility bills are additional costs that your visitors consume while staying at your rental space.
• Cleaning and maintenance – Keep your property clean and well-maintained. This adds to a satisfying guest experience. Airbnb business tips include purchasing cleaning supplies, repairing leaks and damages, or replacing broken things.

2. Check the Local Laws and Regulations

Airbnb business tips include checking what laws and regulations apply to your rental property and complying with all of them. Airbnb hosts in the Philippines are required to secure business registration from national and local governments (municipality, city, or province) where the property is located. Some of the permits you need to get from your LGU are:

• Barangay Clearance
• Mayor’s Permit
• Plumbing and Electrical Permits
• Fire Safety Insurance Certificate

3. Prepare and Spruce up Airbnb Rental Space

A well-furnished and comfortable Airbnb space adds to a relaxing vacation among guests. This will add to their memorable experience while staying at your rental property. This can lead to positive reviews and increased bookings from loyal and potential guests. Follow Airbnb business tips that can help prepare all the essentials. You also have to invest in several Airbnb supplies before welcoming your first guests.

Here is a checklist that you can use as a guide for the given Airbnb business tips:

• Install a keyless entry lock for an easier and contactless check-in.
• Furnish the rental with modern and well-functioning appliances like a refrigerator, television, stove, air conditioner, and washing machine.
• Purchase furniture such as bed, sofa, cabinets, desks, and dining tables and chairs.
• Provide high-quality Airbnb amenities like clean linens, towels, and toiletries.
• Have a good internet connection.
• Create a house manual for the visitors.

4. Take High-Quality Images of Your Property

Airbnb business tips include taking great photos that highlight the best features of your property. This is important because guests always check photos to see whether or not the rental property is worth their money. Take high-quality shots to make a good impression and attract possible guests to book your place. You can also hire a professional photographer to take photos for you.

5. Form a Group of Reliable Local Contractors

Never forget the benefit of having trusted and reliable local contractors. They will help you keep your rental space in perfect condition. One of the foolproof  Airbnb business tips is to enlist their service and create a good relationship with them. These local contractors can include housekeepers, electrician, repairman, and plumber.

6. Set Your Rental Rate for the Property

Strategically pricing your property is among the Airbnb business tips that you need to consider so you can attract more bookings. You may either earn or lose money if you do not price it right. You could lose money if you price your rental too low when the property is located at a famous tourist destination. But you could lose bookings if you raise your rate too high because other Airbnb rentals may be less expensive. One of the Airbnb business tips to consider is to check local market rates so you can accurately set your price. See how much your competitors are charging within your area. You can give discounts to guests who will stay for a week or a month. This way, you can attract more bookings.  

7. Make an Airbnb Account and List Your Rental Space

Register an Airbnb account and create a listing for your property. These are two Airbnb business tips that you must do so you can finally start your business. Write an accurate description of your property that highlights its best features. Do not exaggerate the information as this will lead to negative reviews when visitors find out that your rental space is not similar to the one described in the listing. Include special amenities such as a swimming pool or barbeque grill. Is it near a famous tourist spot? These Airbnb business tips can make your property stand out among the other listings and lead to increased guest bookings. It would also help to give a striking title to catch the attention of possible visitors. Photos make a lasting impression so make sure to add several attractive images.   

8. Express Your Gratefulness to Guests

Airbnb business tips are never complete without showing your heartfelt appreciation to your guests. This will make them happy. They can even become your loyal visitors who will recommend your property to their families and friends. You can prepare a complimentary breakfast, leave a simple thank you note, and give them a gift on their last day at your place.

ALSO READ: 7 Fool-proof Hotel Marketing Strategies That Can Increase Guest Occupancy

If you have an extra house, a condo unit, or a separate room that is not always occupied, you can consider starting an Airbnb business to earn extra income. Knowing how to start an Airbnb business is important so you can do the necessary process and attract potential visitors to rent your property either for a short or long-term stay. It also helps to follow Airbnb business tips that can guide you from the planning stage until the time you can already welcome your visitors. Give accurate details about your property and emphasize its strong features but do not exaggerate. You may lose potential bookings if your guests write bad reviews. Instead, provide good amenities that can leave a lasting impression on them.                  

Hotel and Spa Essentials is known as the distributor of wold-class hotel amenities that you can also use for your Airbnb. If you are looking for an Airbnb supplier, Hotel and Spa Essentials can help. Spruce up your Airbnb rental space with room amenities that can make guests comfortable while staying at your property.   

CONTACT US