How to Take Part in the Booming Tourism Industry of Davao with the Help of a CPA

Posted by Admin on Jul 10, 2013 in CPA Davao | 0 comments

Breaking through the tourism industry in the Philippines is a fun and rewarding endeavor. Being one of the mega diverse countries in the world and having nearly whole-year round warm climate, foreigners have more than enough reasons to visit this country. In 2012 alone, it has attracted more than 4 million visitors and this figure is expected to inflate in the coming years. But part of becoming a tourist or a traveler is the constant search for more authentic or original encounters. Among many other Philippine tourist destinations, the tourism industry in Davao takes pride in offering that kind of experience.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Tourism is one of the sunrise industries in Davao that exceeded way beyond expectations. And so, more and more entrepreneurs are investing in tourism-related businesses in the city. If you’re a beginner in this industry however, it is advised to heed assistance from many Davao CPAs since businesses leaning to such sector may differ from more common types of businesses. Moreover, you need to have the basic knowledge on:

 

 

How to Start a Tourism Business in Davao

 

 

Year 2012 marked another history when Davao City has breached the one million mark of tourist arrivals – a high jump from 2011’s 800,000. This huge improvement was attributed by many to the additional flights and opening of new structures like the SM Lanang Premier. Regardless of the reasons behind this huge inflation, such data only opened up more opportunities for entrepreneurs to venture in the realm of tourism business.

 

 

From determining your purpose of delving into the tourism business to finding the right CPA to manage your funding resources, it is important to know the steps in building the right business platform:

 

 

1.  Take time to think about the reasons why you decided to go into tourism business.

 

Did your colleagues encourage you? Was your previous business a failure? Are there other already potential clients that may avail of your products/services? All of these reasons are acceptable, but you must remember that in order to succeed, there should be an underlying passion. You don’t need others to decide for yourself (only their advices) especially if there’s money at stake.

 
      2.  Decide which category in the tourism business you should invest for.

 

 

There are several categories in the tourism business sector where you can choose from:

 

 

•  Accommodations – This is one thing that every tourist almost always avails since there is an inevitable necessity to look for something to rest. There has been a growing number of accommodations in Davao, all of which exude varying amenities and services, so it is important to stand out. How? According to TripAdvisor, here are the top decisive factors for a tourist to choose a hotel:

 

 

 

 

 

 

 

 

1.  Location
2.  Free Wi-Fi connection, Decent-sized bed, Views, Cleanliness, Amenities, and Price.

 

•  Guided Tours – guided tour services involves guiding tourists with informative and entertaining walk or drive around a popular attraction. 
•  Souvenir Shops – a gift shop or souvenir gift shop is a store primarily selling souvenirs from the visited place. In Davao, common souvenir ideas are Durian candies, souvenir T-shirts, leather crocodile stuff from Crocodile Park, customized mugs and many others. 
•  Hospitality – involves restaurants and other beverage establishments that many tourists frequent. 
•  Tourist Attractions – extreme adventures are a constant trend in today’s tourism industry so it might be a worthwhile investment. 
•  Transportation Services – this is where rent-a-car or rent-a-van companies fall. It involves transporting tourists to, from, and/or around their travel itineraries. 
•  Travel Agencies – as part of the growing travel sector, travel agencies still serves as the 1 stop shop for everything involved with visiting a place, including transportation, accommodations and attractions.

 

 

 

 

 

 

 

 

 

 

Whichever your pick is among these choices, it is important to gain a true understanding of who your future market will be, what will likely be its size, and the probable price that people are going to pay for your products and/or services.

 

 

3.  Write your business plan.

 

 

Behind every successful business is a well-thought business plan and strategy. This business plan of yours will serve as your tourism business blueprint. Among others, here are the things essential to be included in your business plan:

 

 

•  General Summary ¬this should detail where your proposed location is, what are the long and short-term goals of your business, your business name, your management staff, marketing plans, and other managerial aspects involved. 
•  Products and/or services – of course, you need to provide specifications of all the products/services you will be providing to your clients/customers. 
•  Financial Summary – loans, assets even financial projections must be detailed in your business plan. Especially if you have no previous experience with running a tourism business, it is advised to undertake every business action based on your current financial standing.

 

 

 

4.  Obtain a business permit.

 

 

Even if you’re planning to run your tourism business at home, the Bureau of Internal Revenue may still ask for several requirements. Accomplishing all the legal matters of a business will make way for a smooth running business in Davao, which is by the way, known for its strict yet just governance.

 

 

 

 

 

 

5.  Market your tourism business.

 

 

The tourism sector is a highly competitive industry. So to stand out from your competitions, you need to utilize both offline and online marketing strategies available at their most apposite costs.

 
6. Procure necessary funds.

 

 

It’s not enough to have a capital. Moreover, it is not recommended to invest all your savings in one-go. There are many loan options for start-up businesses owners like you. And one way to understand the issues and the processes involved in doing business is for you to hire a CPA in Davao City. It makes sense to seek for professional assistance since it gives in-depth evaluation and advice to run your tourism business successfully.

 

 

(source: http://www.youtube.com/watch?v=Bfnp95Rw0jI )

 

In conclusion, running a tourism business provides a multi-fold advantage: to you a business owner, to your employees, to the tourists or your clients, and more importantly, to the Philippine’s tourism industry. It is the country’s hard-earned reputation in the tourism sector you’re either trying to wane or build. So make sure to carry our flag well.

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