Small boarding house for workers and long stays

Contractors and tradespeople on local projects, seasonal and hospital workers, people between homes, and longer-stay travellers.

Weekly or monthly room rents, sometimes with a nightly rate for short stays. Steady occupancy matters more than high prices.

• Organising bookings, cleaning and repairs
• Dealing calmly with different people
• Budgeting and keeping records

• Planning permission or change of use, and whether HMO licensing applies, check with your local council
• Fire risk assessment, fire doors and alarms, gas and electrical safety certificates
• Landlord or lease terms, and business rates versus council tax, check which applies
• Landlord and business insurance, plus public liability, check the policy covers paying residents or guests
• Empty rooms still cost money, so build a cash buffer
• Rules can differ across England, Scotland, Wales and Northern Ireland

Startup costs are typically estimated at around £8,000 to £40,000, depending on the property, furnishing and safety work needed. Empty rooms still cost money, so it is sensible to build a cash buffer before you open.

Monthly revenue is typically estimated at around £3,000 to £12,000, depending on the number of rooms and how full they are. That is revenue, not profit, so rent, repairs and empty rooms come out of it.

Check with your local council about planning permission or change of use, and whether HMO licensing applies. Also check fire risk assessments, fire doors and alarms, and gas and electrical certificates. Rules can differ across England, Scotland, Wales and Northern Ireland.