How to make money on daily rent of apartments: a business plan

To open your own business, you need to have specific knowledge. A confectioner must be able to bake pies and cakes, an auto mechanic must understand cars. But what if the acquired profession offers the nearest employer a thousand miles away, and a minimum of funds has been allocated for starting a business? In this case, as an option for applying forces, it is worth considering daily rent of apartments, a business plan does not require special knowledge and large financial investments.

The first step in starting a new business is study of legal norms and rules which govern the operation of the real estate market. The Housing Code has a list of requirements that govern the rental and sublease of apartments.

Before opening your own business, you will need to go through the procedure for registering a legal entity.

It is best to register as an individual entrepreneur, this will minimize the cost of maintaining accounting records. Opening an IP will require no more than 5000 rubles.

If you plan to work with travel expenses and conclude agreements with legal entities, then renting apartments for rent as a business is formalized as a Limited Liability Company (LLC). In addition to a higher social status, the founder of an LLC is liable to creditors only with the amount of the authorized capital. Services for the collection and registration of documents will cost 15,000.

The Tax Code of the Russian Federation for both individual entrepreneurs and LLCs allows for the possibility of working under a simplified taxation scheme. It allows you to pay 6% of the turnover or 15% of the profit of your business to the treasury.

The landlord must be informed in advance about how to officially rent out the apartment and what tax to pay.

What apartment do you need

For the lucky ones, the grandmother left excellent housing in the city center, the rest will have to look for owners who are ready to rent out the property.

At the same time, it must meet the requirements:

1. Long term lease, minimum 1 year.
2. Location. There are few who want to go to the outskirts of the city, so you need to find an apartment in the city center.
3. Good repair. In order not to spend money on bringing the room into a divine form, you need to take care of its appearance in advance.
4. The willingness of the owner to conclude a formal contract and pay taxes. This will lead to a rise in prices by 10-15%, but it is not worth playing dangerous games with the state, they fall under the Criminal Code.

When answering the question: how to organize a business for renting an apartment, where to start, you should consider the issue of furniture. The monthly price difference will be about 5000 if you rent a house with furniture.

Otherwise, you will have to buy:

• sofa;
• bed;
• kitchen furniture;
• fridge;
• microwave oven.

This is a necessary minimum that can attract tenants, its purchase will cost about 70,000. This amount will pay off in 14 months, besides, it is easier to rent a room without furniture.

Treaty

A properly executed contract is the key to the absence of problems. The housing code contains mandatory items:

• residential address;
• details of the contracting parties;
• contract time;
• methods and terms of payment, its amount;
• who pays utility bills;
• possibility of sublease.

In addition to it, an act of acceptance / delivery of the premises is signed, which describes its technical condition, meter readings, the presence of furniture and household appliances.

The landlord must be informed in advance about how to officially rent out the apartment and what tax to pay.

The form of the contract does not provide for a clause on its mandatory registration with state bodies; these issues are resolved orally.

However, in any case, it is advisable for a businessman to warn the owner about this step, otherwise the apartment owner has every chance of becoming a defendant in a criminal case with a large fine, and the businessman will lose the object.

Where to find clients

So, the apartment is found, everything is ready for receiving guests. It remains to find them, sign the contract and get paid. Where to look for clients? The answer to this question can be found on the Internet and local media.

All clients can be divided into two categories:

1. Indigenous townspeople. Young couples who need a place to hide, or spouses who need a break from each other.
2. Guests of the city, business travelers and tourists.

The cost of monthly rent is 15,000 rubles per month. This figure is given for the regional city, for a one-room apartment with good repair and furniture.

Internet

Avito and bulletin boards. They are overflowing with offers of apartments for rent, and in order to make your offer stand out, you need to try not to be formal in submitting an ad.

It must necessarily describe the advantages of a particular offer:

• price and discounts;
• location, proximity to transport infrastructure;
• availability of furniture;
• Additional services.

Out-of-town clients can be found on travel websites. In the age of blogging, people willingly share their impressions of travel with others, leave addresses and contact details of the host.

In addition to accommodation services, you can provide transfer services from the station and airport, which will bring additional income.

Another way to attract customers is to create your own website or group on social networks.

Mass media

An important channel of attraction will be local newspapers, which are distributed free of charge in mailboxes.

A line ad will cost 200 - 300 rubles, a dedicated block - about 500. Having spent several thousand rubles, you can accustom customers to the constant availability of fresh offers.

It should be noted that it will be difficult to recoup a large-scale advertising campaign from one object., and it is even more difficult to achieve full occupancy without advertising. Therefore, when studying the question of how to build a daily apartment rental business, all the subtleties should be taken into account in advance. Including the number of apartments.

Funds will be wasted if the room at the time of the call is occupied

One businessman will be able to maintain a dozen objects, based on this number, and the final calculation of profitability will be made.

Income and payback of the project

The initial investment will not exceed 30 thousand, this is paperwork, consultation with a lawyer and unforeseen expenses. Every month, about 15,000 will have to be paid for one apartment, about 10,000 will go to advertising, and 5,000 will go to taxes and fees. Total expenses will amount to 165,000 for 10 objects.

Daily rent costs about 1500 rubles. Ideally, we multiply this number by the number of objects and by the number of days in a month, we get 450,000. But this is ideal, in practice it will not work to achieve 100% occupancy, a figure of 50% is considered a good indicator. This gives a monthly income of 225,000. Thus, net income will be 60,000. Quite a realistic figure, which can be increased by increasing the percentage of occupancy.

Other options

Mortgages and moving to the outskirts of the city provide the owner with an opportunity to increase profits. A mortgage at 10% per annum with a cost of a one-room apartment of 1.5 million will require about 12,000 monthly. These are interest, they do not affect the main body of the loan.

Given the need for repairs and the purchase of furniture, we can say that there is no difference whether to take an apartment on a mortgage or rent - the costs are equal.