Lease and operate an existing motel

Travellers, seasonal and project workers, tourists and visiting families, who pay by the night.

Room revenue minus your rent or agreed payment to the owner, plus staffing, cleaning and utility costs. Longer worker stays can help in quiet months.

• Customer service and calm problem-solving
• Managing cleaners and basic budgets
• Reading and negotiating a lease

• Lease terms can be risky, so check length, rent increases and who pays for repairs and renovations
• Check provincial and municipal rules for accommodation, business licences, fire safety and health inspections
• Check accommodation taxes, tourism levies and GST/HST registration for your province
• Quebec has its own accommodation classification and French-language requirements, so check these if relevant
• Seasonal gaps and winter slowdowns can strain cash flow
• Commercial general liability insurance, and check who insures the building and contents
• WCB/WSIB coverage once you hire cleaners or front-desk staff

Startup costs are estimated at typically around $20,000 to $100,000, depending on the lease or operating agreement. Lease terms can be risky, so check the length, rent increases and who pays for repairs and renovations.

Monthly revenue is estimated at typically around $10,000 to $40,000, depending on the motel, its location and the season. Seasonal gaps and winter slowdowns can strain cash flow, so plan for quieter months.

Check provincial and municipal rules for accommodation, business licences, fire safety and health inspections. Check accommodation taxes, tourism levies and GST/HST registration. Quebec has its own classification and French-language requirements. Also check liability insurance, who insures the building, and WCB/WSIB coverage once you hire.