business plan of a tour operator

Upmetrics AI Assistant: Simplifying Business Planning through AI-Powered Insights. Learn How

Entrepreneurs & Small Business

Accelerators & Incubators

Business Consultants & Advisors

Educators & Business Schools

Students & Scholars

AI Business Plan Generator

Financial Forecasting

AI Assistance

Ai pitch deck generator

Strategic Planning

See How Upmetrics Works  →

• Sample Plans
• WHY UPMETRICS?

Customers Success Stories

Business Plan Course

Small Business Tools

Strategic Canvas Templates

E-books, Guides & More

• Sample Business Plans
• Transportation, Logistics & Travel

Tour Operator Business Plan

Free Business Plan Template

Download our free business plan template now and pave the way to success. Let’s turn your vision into an actionable strategy!

• Fill in the blanks – Outline
• Financial Tables

How to Write A Tour Operator Business Plan?

Writing a tour operator business plan is a crucial step toward the success of your business. Here are the key steps to consider when writing a business plan:

1. Executive Summary

An executive summary is the first section planned to offer an overview of the entire business plan. However, it is written after the entire business plan is ready and summarizes each section of your plan.

Here are a few key components to include in your executive summary:

Introduce your Business:

Start your executive summary by briefly introducing your business to your readers.

Market Opportunity:

Tour operator services:.

Highlight the tour operator services you offer your clients. The USPs and differentiators you offer are always a plus.

Marketing & Sales Strategies:

Financial highlights:, call to action:.

Ensure your executive summary is clear, concise, easy to understand, and jargon-free.

Say goodbye to boring templates

Build your business plan faster and easier with AI

Plans starting from $7/month

2. Business Overview

The business overview section of your business plan offers detailed information about your company. The details you add will depend on how important they are to your business. Yet, business name, location, business history, and future goals are some of the foundational elements you must consider adding to this section:

Business Description:

Describe your business in this section by providing all the basic information:

Describe what kind of tour operator company you run and the name of it. You may specialize in one of the following tour operator businesses:

• Inbound operators
• Outbound operators
• Domestic operators
• Adventure tour operators
• Group tour operators
• Luxury tour operators
• Online travel agencies
• Describe the legal structure of your tour operator company, whether it is a sole proprietorship, LLC, partnership, or others.
• Explain where your business is located and why you selected the place.

Mission Statement:

Business history:.

If you’re an established tour operator service provider, briefly describe your business history, like—when it was founded, how it evolved over time, etc.

Future Goals

This section should provide a thorough understanding of your business, its history, and its future plans. Keep this section engaging, precise, and to the point.

3. Market Analysis

The market analysis section of your business plan should offer a thorough understanding of the industry with the target market, competitors, and growth opportunities. You should include the following components in this section.

Target market:

Start this section by describing your target market. Define your ideal customer and explain what types of services they prefer. Creating a buyer persona will help you easily define your target market to your readers.

Market size and growth potential:

Describe your market size and growth potential and whether you will target a niche or a much broader market.

Competitive Analysis:

Market trends:.

Analyze emerging trends in the industry, such as technology disruptions, changes in customer behavior or preferences, etc. Explain how your business will cope with all the trends.

Regulatory Environment:

Here are a few tips for writing the market analysis section of your tour guide business plan:

• Conduct market research, industry reports, and surveys to gather data.
• Provide specific and detailed information whenever possible.
• Illustrate your points with charts and graphs.
• Write your business plan keeping your target audience in mind.

4. Products And Services

The product and services section should describe the specific services and products that will be offered to customers. To write this section should include the following:

Describe your services:

Mention the tour operator services your business will offer. This list may include services like,

• Itinerary planning
• Accommodation booking
• Guided tours
• Activities & excursions
• Travel documentation & visa assistance
• Travel Insurance
• Destination management services

Quality assurance & safety measures:

This section should explain how you maintain quality standards.

Additional Services:

In short, this section of your tour operator plan must be informative, precise, and client-focused. By providing a clear and compelling description of your offerings, you can help potential investors and readers understand the value of your business.

5. Sales And Marketing Strategies

Writing the sales and marketing strategies section means a list of strategies you will use to attract and retain your clients. Here are some key elements to include in your sales & marketing plan:

Unique Selling Proposition (USP):

Define your business’s USPs depending on the market you serve, the equipment you use, and the unique services you provide. Identifying USPs will help you plan your marketing strategies.

Pricing Strategy:

Marketing strategies:, sales strategies:, customer retention:.

Overall, this section of your tour company business plan should focus on customer acquisition and retention.

Have a specific, realistic, and data-driven approach while planning sales and marketing strategies for your tour operator business, and be prepared to adapt or make strategic changes in your strategies based on feedback and results.

6. Operations Plan

The operations plan section of your business plan should outline the processes and procedures involved in your business operations, such as staffing requirements and operational processes. Here are a few components to add to your operations plan:

Staffing & Training:

Operational process:, equipment & software:.

Include the list of equipment and software required for tour operators, such as computers & laptops, printers & scanners, communication devices, safety equipment, booking & reservation system, tour management software, etc.

Adding these components to your operations plan will help you lay out your business operations, which will eventually help you manage your business effectively.

7. Management Team

The management team section provides an overview of your tour operator business’s management team. This section should provide a detailed description of each manager’s experience and qualifications, as well as their responsibilities and roles.

Founders/CEO:

Key managers:.

Introduce your management and key members of your team, and explain their roles and responsibilities.

Organizational structure:

Compensation plan:, advisors/consultants:.

Mentioning advisors or consultants in your business plans adds credibility to your business idea.

This section should describe the key personnel for your tour operator services, highlighting how you have the perfect team to succeed.

8. Financial Plan

Your financial plan section should provide a summary of your business’s financial projections for the first few years. Here are some key elements to include in your financial plan:

Profit & loss statement:

Cash flow statement:, balance sheet:, break-even point:.

Determine and mention your business’s break-even point—the point at which your business costs and revenue will be equal.

Financing Needs:

Be realistic with your financial projections, and make sure you offer relevant information and evidence to support your estimates.

9. Appendix

The appendix section of your plan should include any additional information supporting your business plan’s main content, such as market research, legal documentation, financial statements, and other relevant information.

• Add a table of contents for the appendix section to help readers easily find specific information or sections.
• In addition to your financial statements, provide additional financial documents like tax returns, a list of assets within the business, credit history, and more. These statements must be the latest and offer financial projections for at least the first three or five years of business operations.
• Provide data derived from market research, including stats about the industry, user demographics, and industry trends.
• Include any legal documents such as permits, licenses, and contracts.
• Include any additional documentation related to your business plan, such as product brochures, marketing materials, operational procedures, etc.

Use clear headings and labels for each section of the appendix so that readers can easily find the necessary information.

Remember, the appendix section of your tour operator business plan should only include relevant and important information supporting your plan’s main content.

The Quickest Way to turn a Business Idea into a Business Plan

Fill-in-the-blanks and automatic financials make it easy.

This sample tour operator business plan will provide an idea for writing a successful tour operator plan, including all the essential components of your business.

After this, if you still need clarification about writing an investment-ready business plan to impress your audience, download our tour operator business plan pdf .

Related Posts

Travel Agency Business Plan

RV Park Business Plan

Steps to Writing Business Plan

Best AI tools for Startup

10 Essential Components of a Business Plan

Business Plan Cover Page Guide

Frequently asked questions, why do you need a tour operator business plan.

A business plan is an essential tool for anyone looking to start or run a successful tour operator business. It helps to get clarity in your business, secures funding, and identifies potential challenges while starting and growing your business.

Overall, a well-written plan can help you make informed decisions, which can contribute to the long-term success of your tour operator company.

How to get funding for your tour operator business?

There are several ways to get funding for your tour operator business, but self-funding is one of the most efficient and speedy funding options. Other options for funding are:

• Bank loan – You may apply for a loan in government or private banks.
• Small Business Administration (SBA) loan – SBA loans and schemes are available at affordable interest rates, so check the eligibility criteria before applying for it.
• Crowdfunding – The process of supporting a project or business by getting a lot of people to invest in your business, usually online.
• Angel investors – Getting funds from angel investors is one of the most sought startup options.

Apart from all these options, there are small business grants available, check for the same in your location and you can apply for it.

Where to find business plan writers for your tour operator business?

There are many business plan writers available, but no one knows your business and ideas better than you, so we recommend you write your tour operator business plan and outline your vision as you have in your mind.

What is the easiest way to write your tour operator business plan?

A lot of research is necessary for writing a business plan, but you can write your plan most efficiently with the help of any tour operator business plan example and edit it as per your need. You can also quickly finish your plan in just a few hours or less with the help of our business plan software .

How do I write a good market analysis in a tour operator business plan?

Market analysis is one of the key components of your business plan that requires deep research and a thorough understanding of your industry. We can categorize the process of writing a good market analysis section into the following steps:

• Stating the objective of your market analysis—e.g., investor funding.
• Industry study—market size, growth potential, market trends, etc.
• Identifying target market—based on user behavior and demographics.
• Analyzing direct and indirect competitors.
• Calculating market share—understanding TAM, SAM, and SOM.
• Knowing regulations and restrictions
• Organizing data and writing the first draft.

Writing a marketing analysis section can be overwhelming, but using ChatGPT for market research can make things easier.

About the Author

Upmetrics Team

Upmetrics is the #1 business planning software that helps entrepreneurs and business owners create investment-ready business plans using AI. We regularly share business planning insights on our blog. Check out the Upmetrics blog for such interesting reads. Read more

Plan your business in the shortest time possible

No Risk – Cancel at Any Time – 15 Day Money Back Guarantee

Popular Templates

Create a great Business Plan with great price.

• 400+ Business plan templates & examples
• AI Assistance & step by step guidance
• 4.8 Star rating on Trustpilot

Streamline your business planning process with Upmetrics .

How to write a business plan for a tour operator?

Writing a business plan for a tour operator can be an intimidating task, especially for those just starting.

This in-depth guide is designed to help entrepreneurs like you understand how to create a comprehensive business plan so that you can approach the exercise with method and confidence.

We'll cover: why writing a tour operator business plan is so important - both when starting up, and when running and growing the business - what information you need to include in your plan, how it should be structured, and what tools you can use to get the job done efficiently.

Let's get started!

In this guide:

Why write a business plan for a tour operator?

• What information is needed to create a business plan for a tour operator?
• What goes in the financial forecast for a tour operator?
• What goes in the written part of a tour operator business plan?
• What tool can I use to write my tour operator business plan?

Being clear on the scope and goals of the document will make it easier to understand its structure and content. So before diving into the actual content of the plan, let's have a quick look at the main reasons why you would want to write a tour operator business plan in the first place.

To have a clear roadmap to grow the business

It's rarely business as usual for small businesses. The economy follows cycles where years of growth are followed by recessions, and the business environment is always changing with new technologies, new regulations, new competitors, and new consumer behaviours appearing all the time...

In this context, running a business without a clear roadmap is like driving blindfolded: it's dangerous at best. That's why writing a business plan for a tour operator is essential to create successful and sustainable businesses.

To write an effective business plan, you will need to take stock of where you are (if you are already in business) and where you want the business to go in the next three to five years.

Once you know where you want your tour operator to be, you'll have to identify:

• what resources (human, equipment, and capital) are needed to get there,
• at what pace the business needs to progress to get there in time,
• and what risks you'll face along the way.

Going through this process regularly is beneficial, both for startups and existing companies, as it helps make informed decisions about how best to allocate resources to ensure the long-term success of the business.

To anticipate future cash flows

Regularly comparing your actual financial performance to the projections in the financial forecast of your tour operator's business plan gives you the ability to monitor your business's financial health and make necessary adjustments as needed.

This practice allows you to detect potential financial issues, such as unexpected cash shortfalls before they escalate into major problems. Giving you time to find additional financing or put in place corrective measures.

Additionally, it helps you identify growth opportunities, like excess cash flow that could be allocated to launch new products and services or expand into new markets.

Staying on track with these regular comparisons enables you to make well-informed decisions about the amount of financing your business might require, or the excess cash flow you can expect to generate from your main business activities.

To secure financing

A detailed business plan becomes a crucial tool when seeking financing from banks or investors for your tour operator.

Investing and lending to small businesses are very risky activities given how fragile they are. Therefore, financiers have to take extra precautions before putting their capital at risk.

At a minimum, financiers will want to ensure that you have a clear roadmap and a solid understanding of your future cash flows (like we just explained above). But they will also want to ensure that your business plan fits the risk/reward profile they seek.

This will off-course vary from bank to bank and investor to investor, but as a rule of thumb. Banks will want to see a conservative financial management style (low risk), and they will use the information in your business plan to assess your borrowing capacity — the level of debt they think your business can comfortably handle — and your ability to repay the loan. This evaluation will determine whether they'll provide credit to your tour operator and the terms of the agreement.

Whereas investors will carefully analyze your business plan to gauge the potential return on their investment. Their focus lies on evidence indicating your tour operator's potential for high growth, profitability, and consistent cash flow generation over time.

Now that you recognize the importance of creating a business plan for your tour operator, let's explore what information is required to create a compelling plan.

Information needed to create a business plan for a tour operator

Drafting a tour operator business plan requires research so that you can project sales, investments and cost accurately in your financial forecast, and convince the reader that there is a viable commercial opportunity to be seized.

Below, we'll focus on three critical pieces of information you should gather before starting to write your plan.

Carrying out market research for a tour operator

As you consider writing your business plan for a tour operator, conducting market research becomes a vital step to ensure accurate and realistic financial projections.

Market research provides valuable insights into your target customer base, competitors, pricing strategies, and other key factors that can significantly impact the commercial success of your business.

Through this research, you may uncover trends that could influence your tour operator.

You might find that travelers are increasingly interested in eco-friendly trips, such as those focused on sustainable travel and ecotourism. You could also discover that people are looking for more immersive experiences when traveling, such as unique cultural activities and opportunities to interact with locals.

Such market trends play a significant role in forecasting revenue, as they offer valuable data about potential customers' spending habits and preferences.

By incorporating these findings into your financial projections, you can present investors with more accurate information, helping them make informed decisions about investing in your tour operator.

Developing the marketing plan for a tour operator

Before delving into your tour operator business plan, it's imperative to budget for sales and marketing expenses.

To achieve this, a comprehensive sales and marketing plan is essential. This plan should provide an accurate projection of the necessary actions to acquire and retain customers.

Additionally, it will outline the required workforce to carry out these initiatives and the corresponding budget for promotions, advertising, and other marketing endeavours.

By budgeting accordingly, you can ensure that the right resources are allocated to these vital activities, aligning them with the sales and growth objectives outlined in your business plan.

The staffing and equipment needs of a tour operator

Whether you are at the beginning stages of your tour operator or expanding its horizons, having a clear plan for recruitment and capital expenditures (investment in equipment and real estate) is vital to ensure your business's success.

To achieve this, both the recruitment and investment plans must align coherently with the projected timing and level of growth in your forecast. It is essential to secure appropriate funding for these plans.

A tour operator might incur staffing costs for tour guides, bus drivers, and administrative staff. Additionally, they may need to purchase or rent vehicles, such as buses or vans, for transportation. They may also need to purchase or rent equipment such as tents, sleeping bags, or other camping gear for outdoor activities.

To create a financial forecast that accurately represents your business's outlook, remember to factor in other day-to-day operating expenses.

Now that you have all the necessary information, it's time to dive in and start creating your business plan and developing the financial forecast for your tour operator.

What goes into your tour operator's financial forecast?

The financial forecast of your tour operator's business plan will enable you to assess the growth, profitability, funding requirements, and cash generation potential of your business in the coming years.

The four key outputs of a financial forecast for a tour operator are:

• The profit and loss (P&L) statement ,
• The projected balance sheet ,
• The cash flow forecast ,
• And the sources and uses table .

Let's look at each of these in a bit more detail.

The projected P&L statement

The projected P&L statement for a tour operator shows how much revenue and profit your business is expected to make in the future.

A healthy tour operator's P&L statement should show:

• Sales growing at (minimum) or above (better) inflation
• Stable (minimum) or expanding (better) profit margins
• A healthy level of net profitability

This will of course depend on the stage of your business: numbers for a startup will look different than for an established tour operator.

The projected balance sheet of your tour operator

Your tour operator's forecasted balance sheet enables the reader of your plan to assess your financial structure, working capital, and investment policy.

It is composed of three types of elements: assets, liabilities and equity:

• Assets: represent what the business owns and uses to produce cash flows. It includes resources such as cash, equipment, and accounts receivable (money owed by clients).
• Liabilities: represent funds advanced to the business by lenders and other creditors. It includes items such as accounts payable (money owed to suppliers), taxes due and loans.
• Equity: is the combination of what has been invested by the business owners and the cumulative profits and losses generated by the business to date (which are called retained earnings). Equity is a proxy for the value of the owner's stake in the business.

Your tour operator's balance sheet will usually be analyzed in conjunction with the other financial statements included in your forecast.

Two key points of focus will be:

• Your tour operator's liquidity: does your business have sufficient cash and short-term assets to pay what it owes over the next 12 months?
• And its solvency: does your business have the capacity to repay its debt over the medium-term?

The cash flow forecast

As we've seen earlier in this guide, monitoring future cash flows is the key to success and the only way of ensuring that your tour operator has enough cash to operate.

As you can expect showing future cash flows is the main role of the cash flow forecast in your tour operator business plan.

It is best practice to organise the cash flow statement by nature in order to show the cash impact of the following areas:

• Cash flow generated from operations: the operating cash flow shows how much cash is generated or consumed by the business's commercial activities
• Cash flow from investing activities: the investing cash flow shows how much cash is being invested in capital expenditure (equipment, real estate, etc.) either to maintain the business's equipment or to expand its capabilities
• Cash flow from financing activities: the financing cash flow shows how much cash is raised or distributed to financiers

Looking at the cash flow forecast helps you to make sure that your business has enough cash to keep running, and can help you anticipate potential cash shortfalls.

Your tour operator business plan will normally include both yearly and monthly cash flow forecasts so that the readers can view the impact of seasonality on your business cash position and generation.

The initial financing plan

The initial financing plan, also known as a sources and uses table, is a valuable resource to have in your business plan when starting your tour operator as it reveals the origins of the money needed to establish the business (sources) and how it will be allocated (uses).

Having this table helps show what costs are involved in setting up your tour operator, how risks are shared between founders, investors and lenders, and what the starting cash position will be. This cash position needs to be sufficient to sustain operations until the business reaches a break-even point.

Now that you have a clear understanding of what goes into the financial forecast of your tour operator business plan, let's shift our focus to the written part of the plan.

The written part of a tour operator business plan

The written part of a tour operator business plan is composed of 7 main sections:

• The executive summary
• The presentation of the company
• The products and services
• The market analysis
• The strategy
• The operations
• The financial plan

Throughout these sections, you will seek to provide the reader with the details and context needed for them to form a view on whether or not your business plan is achievable and your forecast a realistic possibility.

Let's go through the content of each section in more detail!

1. The executive summary

In your tour operator's business plan, the first section is the executive summary — a captivating overview of your plan that aims to pique the reader's interest and leave them eager to learn more about your business.

When crafting the executive summary, start with an introduction to your business, including its name, concept, location, how long it has been running, and what sets it apart. Briefly mention the products and services you plan to offer and your target customer profile.

Following that, provide an overview of the addressable market for your tour operator, current trends, and potential growth opportunities.

Next, include a summary of key financial figures like projected revenues, profits, and cash flows.

Finally, in the "ask" section, detail any funding requirements you may have.

2. The presentation of the company

In your tour operator business plan, the second section should focus on the structure and ownership, location, and management team of your company.

In the structure and ownership part, you'll provide an overview of the business's legal structure, details about the owners, and their respective investments and ownership shares. This clarity is crucial, especially if you're seeking financing, as it helps the reader understand which legal entity will receive the funds and who controls the business.

Moving on to the location part, you'll offer an overview of the company's premises and their surroundings. Explain why this particular location is of interest, highlighting factors like catchment area, accessibility, and nearby amenities.

When describing the location of your tour operator, you could emphasize the potential for success due to its strategic position in a growing region. The area may have a broad range of appeal, with access to attractions and activities that could draw visitors from around the world. You could also point out the potential for lower costs of operation due to its proximity to key transportation hubs, airports, and ports. Finally, you could note the diverse range of accommodations nearby, from economical to luxurious, that could entice all types of travelers.

Finally, you should introduce your management team. Describe each member's role, background, and experience.

Don't forget to emphasize any past successes achieved by the management team and how long they've been working together. Demonstrating their track record and teamwork will help potential lenders or investors gain confidence in their leadership and ability to execute the business plan.

3. The products and services section

The products and services section of your tour operator business plan should include a detailed description of what your company sells to its customers. 

For example, your tour operator might offer customers everything from a multi-day package tour of a foreign country to a single-day excursion to a nearby attraction. They might also offer services such as hotel bookings, transportation, and customized activities tailored to the customer's interests. All of this is provided to give customers the best possible experience while traveling, while still offering them flexibility and convenience.

The reader will want to understand what makes your tour operator unique from other businesses in this competitive market.

When drafting this section, you should be precise about the categories of products or services you sell, the clients you are targeting and the channels that you are targeting them through. 

4. The market analysis

When outlining your market analysis in the tour operator business plan, it's essential to include comprehensive details about customers' demographics and segmentation, target market, competition, barriers to entry, and relevant regulations.

The primary aim of this section is to give the reader an understanding of the market size and appeal while demonstrating your expertise in the industry.

To begin, delve into the demographics and segmentation subsection, providing an overview of the addressable market for your tour operator, key marketplace trends, and introducing various customer segments and their preferences in terms of purchasing habits and budgets.

Next, shift your focus to the target market subsection, where you can zoom in on the specific customer segments your tour operator targets. Explain how your products and services are tailored to meet the unique needs of these customers.

For example, your target market might include families who are looking for an all-inclusive vacation. These families want to take a vacation with their children but are looking for convenience and ease of planning. They are looking for a tour operator who can provide a comprehensive package that includes accommodations, meals, and activities.

In the competition subsection, introduce your main competitors and explain what sets your tour operator apart from them.

Finally, round off your market analysis by providing an overview of the main regulations that apply to your tour operator.

5. The strategy section

When crafting the strategy section of your business plan for your tour operator, it's important to cover several key aspects, including your competitive edge, pricing strategy, sales & marketing plan, milestones, and risks and mitigants.

In the competitive edge subsection, clearly explain what sets your company apart from competitors. This is particularly critical if you're a startup, as you'll be trying to establish your presence in the marketplace among entrenched players.

The pricing strategy subsection should demonstrate how you aim to maintain profitability while offering competitive prices to your customers.

For the sales & marketing plan, outline how you plan to reach and acquire new customers, as well as retain existing ones through loyalty programs or special offers.

In the milestones subsection, detail what your company has achieved thus far and outline your primary objectives for the coming years by including specific dates for expected progress. This ensures everyone involved has clear expectations.

Lastly, in the risks and mitigants subsection, list the main risks that could potentially impact the execution of your plan. Explain the measures you've taken to minimize these risks. This is vital for investors or lenders to feel confident in supporting your venture - try to proactively address any objection they might have.

Your tour operator could face a variety of risks in their business. For example, they may experience issues with transportation or accommodation arrangements. If, for example, a tour bus breaks down or a hotel is overbooked, it could put the tour operator in a difficult position. Alternatively, they could face risks related to weather; if a tour is disrupted by severe weather, the tour operator could be held responsible for any damages or lost revenue.

6. The operations section

The operations of your tour operator must be presented in detail in your business plan.

The first thing you should cover in this section is your staffing team, the main roles, and the overall recruitment plan to support the growth expected in your business plan. You should also outline the qualifications and experience necessary to fulfil each role, and how you intend to recruit (using job boards, referrals, or headhunters).

You should then state the operating hours of your tour operator - so that the reader can check the adequacy of your staffing levels - and any plans for varying opening times during peak season. Additionally, the plan should include details on how you will handle customer queries outside of normal operating hours.

The next part of this section should focus on the key assets and IP required to operate your business. If you depend on any licenses or trademarks, physical structures (equipment or property) or lease agreements, these should all go in there.

You could have key assets such as the tour operator's website and booking software. These may provide the interface for customers to access the tour operator's services, and could be protected by copyright and other intellectual property regulations. Additionally, the tour operator might have a portfolio of tours and destinations, which could be protected by trademarks and other forms of intellectual property.

Finally, you should include a list of suppliers that you plan to work with and a breakdown of their services and main commercial terms (price, payment terms, contract duration, etc.). Investors are always keen to know if there is a particular reason why you have chosen to work with a specific supplier (higher-quality products or past relationships for example).

7. The presentation of the financial plan

The financial plan section is where we will include the financial forecast we talked about earlier in this guide.

Now that you have a clear idea of the content of a tour operator business plan, let's look at some of the tools you can use to create yours.

What tool should I use to write my tour operator's business plan?

There are two main ways of creating your tour operator business plan:

• Using specialized business planning software,
• Hiring a business plan writer.

Using an online business plan software for your tour operator's business plan

The modern and most efficient way to write a tour operator business plan is to use business plan software .

There are several advantages to using specialized software:

• You can easily create your financial forecast by letting the software take care of the financial calculations for you without errors
• You are guided through the writing process by detailed instructions and examples for each part of the plan
• You can access a library of dozens of complete business plan samples and templates for inspiration
• You get a professional business plan, formatted and ready to be sent to your bank or investors
• You can easily track your actual financial performance against your financial forecast
• You can create scenarios to stress test your forecast's main assumptions
• You can easily update your forecast as time goes by to maintain visibility on future cash flows
• You have a friendly support team on standby to assist you when you are stuck

If you're interested in using this type of solution, you can try The Business Plan Shop for free by signing up here .

Hiring a business plan writer to write your tour operator's business plan

Outsourcing your tour operator business plan to a business plan writer can also be a viable option.

Business plan writers are experienced in writing business plans and adept at creating financial forecasts without errors. Furthermore, hiring a consultant can save you time and allow you to focus on the day-to-day operations of your business.

However, hiring business plan writers is expensive as you are paying for the software used by the consultant, plus their time, and their profit margin of course.

From experience, you need to budget at least £1.5k ($2.0k) excluding tax for a complete business plan, more if you need to make changes after the initial version (which happens frequently after the initial meetings with lenders or investors).

You also need to be careful when seeking investment. Investors want their money to be used to grow the business, not spent on consulting fees. Therefore, the amount you spend on business plan writing services (and other consulting services such as legal services) needs to be negligible relative to the amount raised.

The other drawback is that you usually don't own the business plan itself: you just get the output, while the actual document is saved in the consultant's business plan software - which makes it difficult to maintain the document up to date without hiring the consultant on a retainer.

For these reasons, outsourcing the tour operator business plan to a business plan writer should be considered carefully, weighing both the advantages and disadvantages of hiring outside help.

Ultimately, it may be the right decision for some businesses, while others may find it beneficial to write their business plan using online software.

Why not create your tour operator's business plan using Word or Excel?

Using Microsoft Excel and Word (or their Google, Apple, or open-source equivalents) to write a tour operator business plan is not advisable. Allow me to explain the reasons.

Firstly, creating an accurate and error-free financial forecast on Excel or any spreadsheet demands technical expertise in accounting principles and financial modelling. Without a degree in finance and accounting and significant financial modelling experience, it's unlikely that the reader will fully trust your numbers.

Secondly, relying on spreadsheets is inefficient. While it may have been the go-to option in the past, technology has evolved, and software now performs such tasks much faster and more accurately.

The second reason is that it is inefficient. Building forecasts on spreadsheets was the only option in the early 2000s, nowadays technology has advanced and software can do it much faster and much more accurately.

And with the rise of AI, software is also becoming smarter at helping us detect mistakes in our forecasts and helping us analyse the numbers to make better decisions.

Moreover, software offers ease in comparing actuals versus forecasts and maintaining up-to-date forecasts for clear visibility on future cash flows, as we discussed earlier in this guide. Such tasks are cumbersome when using spreadsheets.

Now, let's address the written part of your tour operator business plan. While it may be less prone to errors, using software can significantly boost productivity. Word processors lack instructions and examples for each section of your business plan. They also won't automatically update your numbers when changes occur in your forecast, and they lack automated formatting capabilities.

In summary, while some entrepreneurs may consider Word or Excel for their business plan, it's far from the best or most efficient solution when compared to specialized software.

• Having an up-to-date business plan is key to maintaining visibility on your future cash flows.
• A business plan has 2 parts: a financial forecast highlighting the expected growth, profitability and cash generation of the business; and a written part which provides the context needed to interpret and assess the quality of the forecast.
• Using business plan software is the modern way of writing and maintaining business plans.

We hope that this guide helped you to better understand how to write the business plan for a tour operator. If you still have questions, do not hesitate to contact us.

Also on The Business Plan Shop

• How to write a 5 years business plan
• Business plan myths

Know someone who owns or wants to start a tour operator? Share this article with them!

Founder & CEO at The Business Plan Shop Ltd

Guillaume Le Brouster is a seasoned entrepreneur and financier.

Guillaume has been an entrepreneur for more than a decade and has first-hand experience of starting, running, and growing a successful business.

Prior to being a business owner, Guillaume worked in investment banking and private equity, where he spent most of his time creating complex financial forecasts, writing business plans, and analysing financial statements to make financing and investment decisions.

Guillaume holds a Master's Degree in Finance from ESCP Business School and a Bachelor of Science in Business & Management from Paris Dauphine University.

Create a convincing business plan

Assess the profitability of your business idea and create a persuasive business plan to pitch to investors

500,000+ entrepreneurs have already tried our solution - why not join them?

Not ready to try our on-line tool ? Learn more about our solution here

Need some inspiration for your business plan?

Subscribe to The Business Plan Shop and gain access to our business plan template library.

Need a professional business plan? Discover our solution

Write your business plan with ease!

It's easy to create a professional business plan with The Business Plan Shop

Want to find out more before you try? Learn more about our solution here

A Step-By-Step Guide to Creating a Tour and Travel Business Plan

Are you thinking about starting a tour and travel business? If so, you will need to create a business plan. This document is essential for any business, and it will help you map out your goals and strategies.

In this blog post, we will outline a step-by-step guide on creating a tour company business plan. By following these steps, you will be able to create a plan that is tailored to your specific business. Let's get started!

Why Your Tour Company Needs a Tour Company Business Plan

For any tour company to be successful, they need to have a well-developed business plan.

A business plan acts as a roadmap, providing essential information on the market and industry you are operating in, the marketing strategy you can use to reach your target audience, pricing structures and legal regulations related to the operations of your business.

A well-crafted plan also allows entrepreneurs to budget their tours, identify potential areas of risk before they start operations and find ways to gain competitive edge over competitors. It serves as an invaluable guide that can help businesses make informed decisions on all aspects of running a prosperous venture while also providing assurance that they are compliant with all applicable local laws.

Benefits of a Tour Operator Business Plan

Having a written plan helps you set realistic objectives and develop operational marketing strategy built for success. So when starting out with your own tour company, it pays to invest time into creating an effective business plan that covers all bases.

Doing so will enable you to launch a strong product that stands out and provides customers ultimate satisfaction!

How do I write a tour operator business plan?

Now that you understand why a tour and travel business needs a well-crafted business plan, you're probably wondering how to create one. Sure, you can just use a tour business plan template, but it's still better to craft your own tour business plan.

So, here are the steps you need to follow to create one.

Executive summary

An executive summary is the first and most important part of your tour business plan. In a single page, you should include your company's mission and vision statement, objectives and strategies, financial projections and any other relevant information. This is the part where you need to grab people's attention and make a strong first impression.

As the word executive summary suggests, though, make sure it is short and to the point . You don't want to bore readers with lengthy introductions or details they don't need.

Important points to add in your executive summary are the following:

• clear business concept
• goals and vision
• what sets you apart
• your target market
• marketing strategies
• projected financial state
• the purpose of your business plan, whether to attract investors or strictly for your own planning purposes

Company overview

Your company overview should give a detailed understanding of who you are and what you do as a tour business. Explain your company's history, vision and mission statements along with the services you offer.

Be sure to also include not only what you do, but why you do it. Your company may have a unique angle that sets you apart from the competition.

For example, what is it in your skydiving or guided tours or adventures that sets you apart from the other you in your area? Defining your company overview serves as a brand story that your customers can connect to and guides you to the right direction.

Industry analysis

This is where you discuss the broad and deep travel industry research in your specific industry. An industry analysis is also called that market analysis of your travel business.

You need to identify the current tour and travel trends, understand your target market, evaluate existing tour companies in your field and analyze your strategies.

When analyzing the tourism industry where your travel agency business operates, you should also be aware of any new tour technology, laws, and regulations. Doing your due diligence on the tourism industry will give you a better understanding of the tour market and how to position your tour business.

Competitor analysis

Your tour business plan should also include a competitor analysis. This helps you understand the market forces and how your business can compete against them.

Analyzing tour competitors should include looking at your prices, packages and tour quality. Doing this will help you come up with ways to position your tour business and make it stand out.

You might also conduct a SWOT analysis to identify your company's strengths, weaknesses, opportunities and threats.

Customer analysis

Having a tour plan that includes an analysis of your customers helps you understand your target clients. It involves researching their needs and preferences, satisfaction and feedback.

By doing customer research, you can better customize packages and services to meet your customers' needs. This will help them build loyal customer relationships, eventually resulting in more tour bookings.

Operational planning

Here goes the most detailed and meaty part of tour business planning. In this important section, you should include your legal structure, risk management strategies and management plans.

You should also include safety measures and policies they are planning to implement. This helps businesses stay organized, be accountable and avoid tour-related risks.

This is also where you will consider any tour software they might need to manage operations – from booking software, distribution channels, or any other partnerships with other businesses.

Team Summary

Use your team summary section to list the key people involved in your tour business and their roles. This is also where you can list any experts, guides, operators, and the management team you will be working with.

Using an organizational chart will allow you to quickly visualize the team structure and make sure all tour business roles are filled.

Financial planning

Your financial plan is an essential element of successful business planning. When creating a business plan, you should include revenue forecasts and expenses. They can also include pricing strategy, cost control methods, cash flow forecasts, financial statements and balance sheets.

Having a tour financial plan will help you make better business decisions, raise capital and compile budgets. If your travel company is seeking potential investors, you should also include your investment strategies and exit plans.

Marketing plan

It goes without saying that tour marketing is an important component of tour businesses.

Your tour business plan should include marketing strategies and promotion tactics. This includes your pricing, advertising channels, and other marketing ways. You should also consider how you are going to use social media and other tour-related technologies to reach your target customers.

Wrapping up

Creating a tour business plan can be overwhelming, but it is essential for tour businesses. Taking the time to do your research and include all the necessary elements in your tour business plan will help ensure success.

As an overview, here are the parts of a successful tourism business plan:

• executive summary
• company overview
• competitor analysis
• customer analysis
• operational plans
• team summary
• financial planning
• marketing plan.

Get started with Ticketinghub

Investing in tour technology and software is also a great way to make your tour business stand out from the competition. Online reservation software for tour operators like Ticketinghub is designed to help tour businesses manage tour bookings, marketing and operations.

Our platform is simple enough for any business owner to use yet powerful enough to grow a large travel company's sales. We offer the most complete solution on the market with features like automated pricing, customizable booking engine, instant online quotes and more than 40 different languages supported by our customer service team.

Furthermore, you can integrate other programs and tools such as Google Analytics, Stripe, SumUp, and more.

Make the most of your tours and activities reservations with Ticketinghub. Book a demo to learn more today.

Get the latest news and stay in touch with the industry secrets.

By clicking "Subscribe", you agree to our Privacy Policy and the data we do collect.

Online Travel Booking Tool: How Magic Link is Solving the Rebooking Problem

FareHarbor vs Rezdy vs TicketingHub: Honest Tour Booking Software Comparison Guide

Why Online Reputation Management Is Important for Tour Operators

How to Craft a Perfect Tourism FAQs Page for Your Tours

Keep Reading

Discover the Most User Friendly Online Booking System

Upgrade your online bookings with a fast and simple booking software solution. Experience hassle-free booking and start saving time today!

Viator Payment Methods: Guide for Tour Operators

Understand Viator's payment options for tour operators. Learn how varied payment methods can increase your bookings and trust.

Avoid Overbooking: Best Practices for Tours

Tackle overbooking in tourism head-on. From OTA syncing to tools like TicketingHub, ensure seamless bookings and satisfied customers.

How to start a Tour Operator business in 2024: A step-by-step guide

By Brieanne Biblow

Share this article:

• Facebook icon
• LinkedIn icon
• Twitter icon

There are so many benefits of being a tour operator , but taking the first step to start your own tour company? That can feel daunting. Like any start-up business, there are lots of pieces that need to come together before you welcome your first customers. With countless resources out there, it’s easy to get overwhelmed when you’ve asked yourself “How do I start an online tour operator business?” We’re here to give you more than just a few tips on starting a travel and tour company. Dive into our practical step-by-step guide on how to start your own tour company.

How to start a Tour Operator business in 2024

1. choose a business niche, 2. register your tour company, 3. design your tour, 4. build relationships  , 5. market your tour, 6. launch your tour, choose a business niche.

Find your passion

The first step to becoming a tour operator is to know what you’re passionate about. If you survey a handful of happy tour guests, do you know the number one thing they’ll say makes a difference between a good tour and a tour they’ll recommend to all their friends? A passionate tour guide.

Your passion for cooking could translate into delicious food tours, or your love of the outdoors could turn into hiking tours, even a passion for all things spooky could transform into starting a ghost tour business. So, take some time to find your passion that you can’t wait to share with others every day.

Evaluate your city

Once you have your passion in mind, it’s time to take a look at your city. Is it a popular tourist destination? Is there anything that’s not being explored? While passion is key, it’s equally important to identify if there’s an opportunity. Passion without opportunity is just a hobby. Check in with your local tourism board to see if they have any market research reports that outline the opportunities and challenges in the industry.

Dig into travel and tourism trends

The travel and tourism industry, like any industry, can see larger trends in pop culture trickle down and open up entirely new business opportunities. Your potential customers are being influenced by trends, so why not do some research, incorporate ones that feel like a fit for you, and watch more bookings roll in.

Some 2024 tourism trends that will be influencing travelers:

• Multi-generational tours : Post-retirement boomers will be looking to travel with their entire families. So creating a tour offering that has something for the whole family could be a great idea.
• Cultural connection : More and more, savvy travelers are always looking for something truly authentic to the destination they’ve traveled to. That doesn’t mean you have to be the authentic expert. Instead, think about exploring opportunities to partner with other start-up businesses in your community that could add this element to your tour offering.
• From screens to reality: Keeping a pulse on popular TV shows and movies can be a great way to come up with unique tour ideas that can target new customers for your business.

Identify your target market

Now that you have innovative tourism ideas , you need to map out what your ideal potential customer looks like. Think about the types of people that will be attracted to your tour.

• What’s their age demographic?
• Where are they coming from?
• What language(s) do they speak?
• What interests do they have?

Who your customers are will determine many of the decisions you make later. This information will also be crucial when you create your marketing strategy. So, take the time to get to know your target market.

Research your competitors

Having found your tour idea and evaluated the market in the previous section, you’re almost ready to register your tour company. But first, you’ll need to research your competition, so you know what you’re up against. Head to Google and search simple like “tour operators near me” and ask yourself:

• What are they doing well?
• Where are their gaps?
• What are their price points like?

Then, find ways to differentiate yourself and stand out.

Register your tour company

With your research complete, now is a good time to consider your options for registering your business. Go to your local tourism board and find out the requirements for starting a tour company in your area. Here are some of the legalities you might have to go through.

Name your tour business

The first thing you need to do is name your business. Your tour name will be used in all of your documentation. Make sure your name is both memorable and descriptive. The most important is if the website domain is available. If your name checks all the boxes, go to your local Registrar of Companies to get it approved and then purchase your domain.

Register your business

Now that you have a name you’re ready to make things official by registering your business. There are different options for how you register— sole proprietorship, partnerships, corporations. Speaking to a small business accountant is a great idea to understand the tax implications of each option. Then, evaluate the pros and cons of each before you make your decision.

Get your business license and permits

Once you’ve registered your business, you’ll need to get a local business license. Check in with your local municipality to do this. You might need to obtain additional permits and licensing based on where you are operating and if you have any vehicles.

Purchase liability insurance

Protect your business, yourself, and your guests by getting liability insurance. Accidents happen, that’s a given. But to ensure that you aren’t held personally liable, you’ll want to meet with an insurance company to learn about what coverage your business needs. Some commonly required in the tourism industry are:

• Commercial General Liability (CGL)
• Property Insurance
• Accounts Receivable Insurance

Register as a tour guide

If you are guiding, you might need to complete a course to become a licensed tourist guide. This allows you to take tourists around a designated geographical area. To find out if you need to register as a guide, check in with your local tourism board.

Open a business bank account

Now that you have a business license, you’ll want to open a corporate bank account. This will help you keep track of all your expenses and revenue and make accounting a lot easier.

Design your tour 

Write your business plan

With all the legalities taken care of, it’s time to write your business plan.

A business plan is a document that holds all of your ideas. It’s your roadmap that helps you determine how you’ll move forward. Include your company description, market analysis, partnership opportunities, and small business goals . It should also include your marketing plan, operations plan, and a list of your vendors, products, and services. It should also contain a variety of financial projections for your first 1-5 years of business. Remember: it’s okay if you don’t have all the answers right away, but it’s good to know what to focus on as you grow.

Side note: once you get up and running, you should learn how to develop a strategic plan to help you reach your ultimate vision for your tour operator business.

Create your Unique Selling Proposition

With your business plan in hand, it’s time to lock down your unique selling proposition.  This explains what makes your tour better than the competition. It’s the benefit that travelers can only get by booking with you — like that you provide ethical travels & tours .  You should be able to define this in one sentence.

Set your tour pricing

Now that you’ve evaluated your market it’s time to determine the value of your tour and choose what you will charge. It’s important to consider your operating costs and market value as well as what you think customers are willing to pay. This part often feels overwhelming for a lot of start-up businesses, which is why we’ve created our free Tour Operator Costing Sheet .

Craft your brand story

Now comes the fun part—it’s time to create a compelling story for your tour. Make sure it has a definite beginning, middle, and end. Find themes that you can carry through the entire experience. A clear narrative makes your tour more memorable.  The goal is to have your guests telling their friends all the neat things they learned in the weeks that follow.

Design a tour logo

Once you’ve created a story for your tour, it’s time to design your brand around it. The first step is to create a logo. Your logo is the visual representation of your business. It will be used in all of your marketing collateral. You can choose to work with a graphic designer, or give free tools like Canva a try. Lookin for some inspiration? Check out more ideas for branding your business .

Build a travel website

Alright! You’re finally ready to create an online presence for your business . This is how many travelers will find you when researching their trips. If you don’t know how to build a website you have a few options; you could hire a contractor, or try your hand with tools like: Wix , Squarespace , or WordPress . Whatever you choose, make sure your website works with online booking system (like Checkfront 😉).

Set up an online booking system

You don’t just want travelers to find you online; you want them to make, and pay, for reservations right on your website. To do this, you need an online booking system . Your booking system can also be used to process your in-person and over the phone reservations. Here are a few links that will help you find the platform that’s right for you.

• What is an Online Booking System?
• How to Create an Online Booking System in 24 Hours (or Less)
• Start Using Checkfront’s Booking System for Free

Build Relationships 

Talk to other tour guides

When starting a business, many entrepreneurs think they need to do everything on their own. This can lead to loneliness and frustration. But, you don’t have to do it alone. Many guides would be happy to share their knowledge with you. Go out and build relationships with other operators in your city, who aren’t direct competitors. Online communities like Tourpreneur are an invaluable resource for tour operators at any stage of their business.

Connect with the local tourism community

Take any opportunity you have to build relationships with local business . While it’s difficult to walk into a room full of strangers and feel like an outsider, you won’t regret pushing yourself to meet other business owners. You’ll feel connected to people in the same boat as you and get a lot from the relationships you make. Just don’t forget to give back. Here are a few key relationships you should build locally:

• With your local city council
• Your local tourism or destination management organization (DMO)
• Your local tourist information office
• Hotel front desks and tour desks

Market Your Tour

With your target market defined and your marketing strategy ready to go, it’s time to get the word out about your amazing business! From online travel agents to social media to email marketing, we’ll cover it all:

List your tours on OTAs

Make it easy for travelers to find you by listing your tour on online travel agents (OTAs). OTA’s like Viator, Expedia Local Expert, Google Things To Do and GetYourGuide already have experience in digital advertising and have built up a mass following. While they will take a commission from your sales, they also have a significant amount of marketing spend at their disposal that your business can benefit from.

Think about it like selling vegetables — while you could set up a booth at a local farmer’s market, you’ll probably get far more customers by selling in a grocery store.

Implement SEO best practices

Now that you’re tour is listed with a couple online travel agents, it’s time to start driving traffic to your website. The best long-term strategy to do so is through search engine optimization (SEO). You can use SEO best practices to optimize your site for Google and other search engines. One of the best things to do is to SEO optimize your product descriptions . That way when someone searches for something related to your tour, your website shows up in search results.

Buy Google Adwords

While SEO is great, it’s a long-term strategy and can takee time to crawl up Google or Bing’s search rankings. To get immediate results you can buy AdWords. Instead of waiting for Google’s algorithm to show your website on the results page, you bid on specific keywords related to your business so your site shows up on top of the page.

Start email marketing

With steady visitor traffic coming to your website, you’ll want to capture their emails so you can stay in touch with them. Email marketing is a powerful tool when done right but it will take some work to stand out in your customers’ inboxes. Our Complete Guide to Email Marketing for Tourism Operators is a great place to start.

Get on Facebook and Instagram

Social media is where your customers are likely spending most of their time online, so you should be there, too. Creating a Facebook page and Instagram account will let you connect to your customers, post pictures of your tours, and make your company information easy to share and recommend. Plus, you can use Facebook Messenger or Instagram’s Direct Messages to answer questions and use the ad network on both platforms to help more people discover your tour.

Launch Your Tour

Host Your Friends and Family

As you prepare for a successful business launch , you’ll want to do a few test runs. We recommend a pre-launch buzz campaign or hosting a few friends and family first. Think of it as your dress rehearsal. Go through the tour from start to finish and collect as much feedback as you can. Once you feel confident that you’ve worked out the kinks, you’re ready to launch! 

Final thoughts

Building your own tour business is no easy feat. From designing a tour and evaluating your market, to building relationships, your brand, your online presence, and getting those first customers through the door. There’s a lot of pieces to put together. However, following this step-by-step guide and your intuition you’ll have a successful tour operator business in no time.

Want to get your tour business off to a running start?

Join the 30 Day ‘Things to Do’ Challenge for Tour Operators.

Tackle one small task a day and watch your business grow.

Related Articles

3 tips to tackle cart abandonment and capture more bookings in 2023

Imagine this: a shopper comes across your website and finds an enticing experience offering. They read your product description, flick…

• Business Tips

How to reduce no-shows and manage last-minute cancellations

Be prepared for the worst! Here’s everything you need to know on how to deal with last-minute cancellations.

Search Blog

Subscribe to our newsletter.

Get tips and strategies to grow your business and impress your guests.

Blog Categories

• Booking Management
• Guest Experience
• Marketing Strategies
• Operator Highlights

How to create a tour operator business plan in 8 steps

Preparing to Write a Business Plan

Tour operator business plan template, tips and tricks for a strong tour operator business plan.

Wondering how to turn your tour operator idea into a real business? The first step to launching a startup and getting investors onboard is to develop a formal proposal called a business plan . Whether you want to start a travel agency, a walking tour company, or an adventure travel business, you will use a business plan to communicate exactly how you plan to make your idea come to life. 

Creating a tourism business plan might sound daunting; in this article, we’ll show you how to do one and offer lots of advice for first-time founders. You’ll be able to use this article as a tour operator business plan template to write your own sample business plan (as an exercise) or to create the real thing.

To more clearly illustrate how to create a tour operator business plan, we’ll use a sample business as we go through each section. Our sample business is a small tour operator startup that specializes in ecotourism in Thailand.

Before you start to create your official business plan, it can be helpful to think through several aspects of your business so that you are fully prepared to address each topic in the business plan template. One excellent preparation exercise is to complete a Business Model Canvas for your company. 

The Business Model Canvas encourages you to think critically about your customers, cost structure, revenue streams, marketing strategy, and more. It’s the perfect warm-up for your business plan because you’ll incorporate your Business Model Canvas notes into the actual business plan document. We recommend that you do this exercise with your co-founders, if you have any, and with a whiteboard – you’ll probably make lots of changes as you go!

You can find a printable Business Model Canvas template here .

Your tour operator business plan should contain at least seven sections: an executive summary, a company overview, a description of your services, an analysis of your market, an implementation plan, a team summary, and a financial plan. You might have one or more appendices at the end, if you have additional relevant information to include. The finished product should be formatted nicely and incorporate your company’s logo and branding.

Executive Summary

As the first component of your business plan, the executive summary is arguably the most important section. If you’re pitching your idea to investors, they’re likely very busy people, so you want to grab their attention from the beginning. The executive summary should contain a concise outline of your tour operator company’s objectives and goals, your mission and/or vision statements , your key success factors, and a clear description of your value proposition. 

Company Overview

Think of this section as what you would post on the “About” section of your tour operator company’s website. The company overview should explain who your company’s key leaders are, how and when the business started, what the ownership structure looks like (if you have investors, for example), where your office is located, and an outline of your current assets and debts. If you’re in the early stages of your business, this section might be quite short.

Operations Plan

The operations plan is where you describe exactly what your company will offer. What kinds of tours will you sell? Where exactly will you operate? This is the type of information you would list on your website for potential customers or guests to read – but without too much of a sales pitch. 

In this section, it can also be helpful to include a description of the full “ life cycle ” of your business. What happens before, during, and after a tour? What steps does the guest complete, and what happens behind the scenes at your company’s office?

Thinking about our Thai ecotourism company, we might illustrate how someone could book a tour perhaps six months in advance on our website. Between booking and arrival, we coordinate accommodation, meals, and transportation with partner providers. When the tour concludes, we offer transportation back to the airport and follow up with a special offer to book another tour with us at a discount. 

Market Analysis

This section explores your specific niche within the tourism industry and the geographic location(s) where you plan to operate. Who are your target clients or guests? Who are your main competitors? What trends exist in this facet of the industry? Is the amount of visitors to your location increasing or decreasing? 

Try to include statistics from reputable sources whenever you can. Destination marketing organizations, tourism bureaus, and air traffic data, just to name a few, can provide valuable insight and add credibility. This section should leave no stone unturned so that your reader can truly understand your market conditions.

In our ecotourism business in Thailand, for example, we would include information about travel trends in Thailand (like the most popular feeder markets), new air routes, economic trends, the number of new hotels being built, etc. We would also explore the ecotourism market; are more people choosing eco-friendly travel options today compared to five years ago? What companies are the current ecotourism market leaders globally and in Thailand?

Implementation

Now that you’ve explained your business idea and described the market in which you plan to operate, it’s time to outline exactly how you will bring your tour operator business to life. This section should include a SWOT analysis , details about your marketing and pricing strategies, and a sales projection. 

In the SWOT analysis , you will explore your company’s strengths, weaknesses, opportunities, and threats. What does your company offer that nobody else in the market does? What are some potential challenges that you will need to face? Using our ecotourism company example, a threat could be natural disasters – if there are floods or mudslides, our business cannot operate. On the other hand, an opportunity is that more people are interested in eco-friendly travel options. 

Your marketing and pricing strategies should be very specific. How will customers find your company? Which online channels will you use? Will you work through travel agents or directly with your customers? 

Your pricing strategy should include the exact rates you plan to charge for at least a year in advance. For example, our ecotourism company in Thailand might charge $699 for a package during low season, $899 during high season, and $999 over holiday periods, with rates increasing 5% each year. 

We might also offer a 10% discount for advance purchase bookings made at least 6 months in advance and charge a 50% cancellation fee for any reservations cancelled within 3 months of the tour departure date. Based on your pricing strategy, you can create a sales projection that will estimate your company’s sales performance, preferably over the next three years.

Team Summary

After your reader understands what your tour operator business will do, they’ll wonder who is going to make it happen. And if you’re planning to launch a full-fledged tour operator business, you’re probably not going at it alone. The Team Summary section should include a thorough plan for your company’s organizational structure, key leaders, employees, and training processes. 

Do you already have a management team in place, or will you need to hire additional leaders? How many employees will you need, and how much will you pay them? And how will you train and develop your employees? The Team Summary should answer all of these questions and provide enough information for potential investors to understand exactly how you plan to staff your business, pay your employees, and ensure all team members are trained properly. 

Financial Plan

The financial plan is extremely important to potential investors because they will want to maximize the return on their investment. Your financial plan is essentially a projection of your revenue streams and cost structure for your company’s first five or so years of operation. It will include not only revenue from ticket sales and costs from employee salaries, but also details like tour-operator software costs, insurance, taxes, marketing spend, depreciation of assets, interest on loans, and more. 

If you don’t have a finance background yourself, it may be helpful to seek assistance from an accountant or someone who knows the ins and outs of financial modeling. 

Additional Information

In an appendix, you can include supporting information or statistics that may be helpful for potential investors, but not essential to your business plan. For instance, you could include a full report on air traffic trends that you used in your Market Analysis section.

Writing a business plan is certainly not an easy task. It’s time consuming and requires a lot of thought, but a well written business plan can lead to significant growth for your company. As you complete your business plan, keep these pieces of advice in mind:

• Conduct thorough research on your market . When you pitch your company to investors, you want to be seen as an expert, so learn as much as you can about your competitors and market trends.
• Simplify your words and descriptions whenever possible . A business plan is not the place to wow your reader with flowery language – instead, you want your reader to easily grasp your value proposition. Think about writing so that a fifth-grader can understand it. The last thing you want is for your reader to be confused about what your company actually does.
• Don’t be afraid to make changes . As you work on your business plan, you might discover that some aspects of your business need to be adjusted for the greater good of the company. After all, the companies that are the most adaptable are the ones that survive!
• Get a second opinion (or a third or a fourth). A good test of your business plan’s readability and clarity is to let someone outside your industry read it, like a family member or friend. If they have a lot of questions, you might need to adjust your descriptions or more clearly explain your plans.
• Proofread ! Your business plan is a reflection of your company’s values. If your formatting is sloppy and your text is full of typos, your reader might question whether you have the attention to detail necessary to run a successful business.

Now that you have all the tools to create a great tour operator business plan, it’s time to get to work!

Subscribe to our newsletter

Yay you are now subscribed to our newsletter.

Adrienne Fors is the founder of Strategic Stays, a consultancy specializing in tech solutions and copywriting for short-term rental businesses and boutique hotels. She was previously a Market Manager at Expedia, and she graduated from the School of Hotel Administration at Cornell University. Adrienne is originally from Minneapolis, Minnesota and enjoys traveling and playing tennis.

Mize is the leading hotel booking optimization solution in the world. With over 170 partners using our fintech products, Mize creates new extra profit for the hotel booking industry using its fully automated proprietary technology and has generated hundreds of millions of dollars in revenue across its suite of products for its partners. Mize was founded in 2016 with its headquarters in Tel Aviv and offices worldwide.

Related Posts

List of 32 travel agency management groups

6 min. Whether you are thinking of moving into the travel industry or you already own a business in this sector, the concept of travel agency management groups is a task worthy of analysis and study. Defining an effective business model for your retail travel agency is one of the key factors in optimizing sales […]

Ultimate Guide to Understanding the Benefits of a Travel Management Company

12 min. Managing and operating modern businesses often encompasses corporate travel. However, managing business travel is complex, especially with limited experience and resources. You must ensure that everything goes smoothly for the travelers while staying on top of the logistics and expenses. That’s why many organizations decide to outsource their travel management to a dependable […]

The Essentials About the Inventory System Used by Travel Agencies

11 min. While travel agencies have to overcome many challenges to remain competitive, there is one challenge in particular that all agencies need to overcome despite their size or target market. They need to excel as intermediaries between tour operators or travel product suppliers and consumers or travelers. The real question is, how do they […]

How to start a tour business

By Kevin Tjoe — 9 Jul 2021

booking system   online booking software for tours   tour operators

Updated March 2023 – Considering how to set up a tour operator business in your area?

You could be about to launch into one of the most exciting industries around and give people amazing lifelong memories – but the nitty gritty of getting started can still be a little daunting! We’ve covered some of the essential steps that will help you steer and launch your tour business ideas successfully.

Here are 6 steps on how to start your tour and travel company the right way.

First, starting a business in a commitment

Starting a tour business requires a lot of time, effort, and dedication. Before diving in, it is important to understand that starting any business is a commitment. It requires a significant investment of time, money, and energy. You need to be passionate about what you do and prepared to face challenges and setbacks.

But with the right planning, strategies, and mindset, you can overcome any obstacle and fully understand how to start a tour guide business that is successful and enjoyable to run.

1. Getting started

Identify your target market and niche.

The first step in starting a tour operator business is to identify your target market and niche. Who are your ideal customers, and what types of tours and activities do they enjoy? Are you targeting adventure seekers, families, or history enthusiasts? Once you have identified your target market, you can develop tours and activities that cater to their needs and interests.

Develop a business plan

A business plan is a crucial document that outlines your company’s mission, goals, strategies, and financial projections. It serves as a roadmap that guides your business decisions and helps you stay focused and organized. A good tour operator business plan should include an executive summary, market analysis, marketing and sales strategies, operations plan, financial projections, and funding requirements. It will also take into account the permits and licenses you may need to apply for.

When finalized, your business plan will set out your roadmap for success , and minimize wasted time and resources as you build your business. 

Secure financing for your business

Starting a tour business can be expensive, and you will need to secure financing to cover your startup costs. Whether you are starting with a modest budget or have a large amount of money to invest, there are various options for financing your business, including personal savings, bank loans, crowdfunding, and angel investors. Before choosing a financing option, it is essential to have a clear understanding of your business’s financial needs, cash flow, and revenue projections. You should also research the pros and cons of each financing option and choose the one that best suits your business’s needs and goals.

2. Legal requirements 

Get your business registered.

Before launching your tour business, you will need to register your company with the appropriate government agencies. This process may vary depending on your location but typically involves registering your business name, obtaining a business license, and registering for taxes. You may also need to obtain permits or licenses specific to your industry, such as a tour operator license or transportation permit.

Check local and national regulations

In addition to registering your business, you will need to ensure that you comply with local and national regulations. These regulations may include safety standards, environmental regulations, insurance requirements, and labor laws. It is crucial to research and understand the regulations that apply to your business to avoid legal issues or fines down the line.

Consider liability insurance

Liability insurance is essential for any tour business. It protects your company from financial losses in the event of accidents, injuries, or property damage during your tours. Liability insurance can also help build trust and credibility with your customers, as it shows that you take their safety and well-being seriously.

3. Building your tour

Establish your tour’s unique selling point.

To stand out in the crowded tour industry when starting a tour business, it is essential to establish a Unique Selling Point (USP) for your tours. Your USP is what sets your tours apart from your competitors and makes them more attractive to your target customers. It could be anything from a unique itinerary, a particular theme, or an exclusive experience that only your company can offer.

Develop tour pricing strategies

Pricing your tours correctly is crucial for the success of your business. You need to find the right balance between profitability and affordability to attract customers and generate revenue. Researching your competitors’ pricing strategies can help you set competitive prices, but it is also essential to consider your costs, profit margins, and customer value.

Build relationships with suppliers

To provide high-quality tours and experiences, you need to build strong relationships with your suppliers when starting a tour guide business, such as hotels, transportation providers, and activity operators. Building long-term relationships with your suppliers can help you negotiate better prices, ensure availability, and provide a seamless customer experience.

4. Your brand identity and store

Develop a brand that resonates with your target audience.

Your brand image can make all the difference to whether and how your customers book with you. First, check out our guide to creating the right name for your tourism business. 

Consider how you want to come across to your customers. Are you a warm and welcoming family company, or would you like to exude a sense of exclusivity and luxury? These decisions will shape how you design your visual branding, tell your brand story, come up with tour package name ideas and build your online presence over web, social media, and reseller websites. 

Build a user-friendly website to market your tours

In today’s digital age, having a user-friendly website is essential for marketing your tours and reaching your target customers. Your website should be visually appealing, easy to navigate, and optimized for search engines. It should also provide all the necessary information about your tours, such as itineraries, prices, and booking options.

Learn how you can improve your website’s health by following these steps in our FREE website health checklist .

Promote your tours on social media

Social media is a powerful marketing tool for tour businesses. Platforms like Facebook, Instagram, and TikTok can help you reach a broader audience, engage with your customers, and promote your tours. You can use social media to showcase your tours’ unique features, share customer testimonials, and run promotional campaigns.

Partner with DMOs and travel agencies

Partnering with Destination Marketing Organizations (DMOs) and travel agencies can help you reach a broader audience and increase your bookings. DMOs and travel agencies have established relationships with tourists and travelers, and they can help you market and promote your tours to their clients.

To begin with, you should identify the DMOs and travel agencies in your area that cater to your target market. Once you have a list, reach out to them and set up a meeting to discuss your partnership. Highlight your unique selling points, tour offerings, and target audience to them. It’s important to showcase the value that you bring to the table and how your partnership can benefit both parties.

5. Customer service and operations

Hire knowledgeable and friendly tour guides.

Your tour guides are the face of your business and can make or break the customer experience. Hire guides who are knowledgeable about the destinations you visit, passionate about their work, and have excellent communication skills.

Train guides to handle complaints effectively

No matter how well you plan, unexpected situations can arise during a tour, and complaints can happen. Train your guides to handle complaints effectively and to find solutions that can satisfy customers.

Ensure smooth tour operators

Before every tour, make sure that everything is in order, such as transportation, tickets, and reservations. Communicate any changes or delays to your customers promptly and professionally.

Collect customer feedback

Feedback will help you to really understand and refine your offerings both before and after you launch your tourism business. Take your friends and family on your tours and activities before you launch and gauge their responses. Consider offering local concierges or travel agents a free version of the experience, then gather their feedback and ask for recommendations. And most importantly, request and respond to customer feedback and analytics once you launch. Success all comes down to your customer experience ! 

6. Launch and beyond

Expand your tour business.

As you begin growing your tours and activity business , consider expanding your tour offerings to attract new customers and increase your revenue. You may even be able to add new destinations, activities, or packages that cater to your target market!

Invest in technology

Investing in technology can help tour operators save time, streamline operations , and enhance customer experiences. With the right technology, tour operators can automate their booking process, manage inventory, and stay organized.

One tool that can help with this is tour booking management software, such as Rezdy. Rezdy allows tour operators to manage their bookings and inventory in one central location, automating much of the administrative work that comes with running a tour business. Additionally, it allows tour operators to create and manage tour schedules, set up payment processing, and track their performance in real-time.

Nurture your network

Networking can be a large part of how tour operators work and thrive as distribution and referral channels are key. Are there local hotels that could benefit by recommending your tours or activities to guests? Could you offer delectable treats from a local food producer in the middle of your tours to enhance your customer experience?

It may be worth connecting with your local chamber of commerce or business network, and almost certainly reaching out on Rezdy Marketplace to see which resellers you can connect with in the area. The platform makes it easy to set custom commission rates for each travel agent.

Build a loyal customer base

Building a loyal customer base is essential for any tour business. A loyal customer base can provide a steady stream of revenue and act as advocates for your business, referring new customers and leaving positive reviews.

To build a loyal customer base, tour operators should focus on delivering exceptional customer experiences. This means going above and beyond to meet customer needs, answering their questions, and providing a memorable experience that they will want to share with others. When customers have a positive experience with a tour operator, they are more likely to return and recommend the business to others.

One way to build a loyal customer base is to offer personalized experiences tailored to individual customer preferences. This means taking the time to get to know your customers and their interests and providing customized recommendations for tours and activities. Tour operators can also offer loyalty programs, such as discounts for repeat customers or incentives for referrals, to encourage customers to return and refer others.

Start your tour and activity business with Rezdy

When learning how to start a business within the tours and activity space , the right support and resources can be key. Book a personalized product demo  of Rezdy today, or get started with a free 21-day trial of our powerful booking software.

If you enjoyed this article then make sure to follow the  Rezdy blog . There are a lot of marketing, business & industry tips for operators and resellers.

Start your free trial today

Enjoy 21 days to take a look around and see if we are a good fit for your business.

Operator Best Practice

How to create a Google Business Profile for tour operators

7 tips to fostering diversity & inclusion in your tour and activity business

10 essential tips to grow your e-bike tours business

Welcome to Lake

Discover places to stay and unique experiences around the world.

• How It Works

Home - Blog - How to Start a Tour Operator Business: An Entrepreneur’s Guide

How to Start a Tour Operator Business: An Entrepreneur’s Guide

David Ciccarelli

January 20, 2024

In this article

Get started.

Looking for how to start a tour operator business? Venturing into the world of travel as a tour operator is an exciting journey filled with opportunities to share your passion for adventure and culture. Starting your own tour company might seem intimidating at first, but with a structured approach, you can navigate the roadmap to establishing a successful travel business. From identifying your target market to making sure your travel company stands out in the tourism industry, each step is crucial in creating memorable experiences for your travelers.

Embracing the travel industry means joining a community of professionals dedicated to enriching lives through exploration and discovery. The key to a fruitful travel business lies in the meticulous planning and execution of your unique vision. It’s about crafting that perfect tour that not only showcases the best of a destination but also reflects your brand’s ethos and commitment to quality.

Selecting Your Tourism Sector

Uncovering Your Enthusiasm

Have you ever considered what makes a tour unforgettable? Hint: It’s a guide who’s thrilled to be there. That excitement you feel about a hobby or interest? It might just be your golden ticket in the touring world. Whether it’s your culinary skills begging to be shared through food tours, or a love for nature that could bloom into eco-exploration adventures – that spark could very well ignite your career path. So, what sets your heart ablaze? Let that be the guide to your niche in the bustling world of travel.

Assessing Your Locale

Now, with your passion as a compass, how does your city fare as a destination? What unique experiences are waiting to be discovered? Matching your enthusiasm with local offerings is critical; after all, passion alone won’t sustain a business. Get in touch with your local tourism board and delve into market analysis; this will shed light on both the potential and hurdles you may face in the travel industry.

Trendspotting in Tourism

Tourism is constantly evolving, and keeping your finger on the pulse of industry trends could be the key to your success. Recent trends pointing towards authentic cultural experiences and multi-generational travel could open doors for your business. For example, in 2024, an increased interest in family adventures and local authenticity suggests opportunities for tours that cater to family units and provide genuine local experiences.

Pinpointing Your Ideal Customers

Imagine the people who would be thrilled by your tours. What do they enjoy? Are they adrenaline junkies or cultural aficionados? Ponder these questions to create a clear picture:

• Language proficiency
• Hobbies and interests

Understanding your target market is a cornerstone of your future marketing efforts. It shapes the experiences you craft and the messages you send out into the world.

Understanding Your Competition

Your tour company is almost ready to launch, but before you take that leap, a thorough market research on your competitors is a must. Simple online searches can reveal plenty about your competition’s strengths and weaknesses. Here are some reflective prompts to help you start:

• What are the strengths of other tours?
• Where do they fall short?
• How are their pricing strategies?

From these insights, plot a course to distinguish your tours and shine amidst the crowd.

Remember, in today’s market, having a unique selling proposition isn’t just nice—it’s necessary. Your ability to differentiate and resonate with your niche audience could very well be what makes or breaks your tour operator business. Happy exploring!

Formalizing Your Tour Company

Choosing a distinctive name.

The first step toward establishing your business’s identity begins with a distinctive and descriptive name that stands out. It’s essential to ensure the domain for your business name is available to solidify your online presence. Once you’ve settled on the perfect name, register it with your local Registrar of Companies and snag that domain.

Officially Establishing Your Business

Now that you’ve named your ship, it’s time to sail it into official waters by registering your business entity. Consult a knowledgeable accountant to navigate the seas of taxation and choose wisely between a sole proprietorship, partnership, or corporation.

Securing Necessary Licenses and Permits

Your business is like a puzzle that needs the right pieces to be complete:

• Local business license: Obtain this from your local municipality.
• Additional permits and licenses: These depend on your location and whether you have vehicles in use.

Ensuring Protection with Liability Insurance

It’s not just about navigating the waters; it’s about being prepared for storms:

• Commercial General Liability (CGL)
• Property Insurance
• Accounts Receivable Insurance

Speak to an insurance provider to tailor your coverage to the needs of the tourism industry.

Qualifying as a Licensed Tour Guide

Sharing the wonders of your area may require official recognition. If your region requires it, enroll in a course to get certified and registered as a professional tour guide.

Managing Finances with a Business Bank Account

Keep your financial ship steady by opening a corporate bank account . This ensures your revenue and expenses are transparent and manageable, making the administrative side of exploring smoother sailing.

Remember, every step here is a stepping stone to your dream of guiding others through the adventures you’re passionate about. Proceed methodically, and you’ll be leading expeditions in no time!

Crafting Your Tour Experience

Map Out Your Strategy

Before you dive in, remember, your business blueprint is a treasure map guiding you toward success. Think of it as a compass that directs your journey, encompassing your vision, mission, and the specific steps you need to take. Importantly, this blueprint should outline your operational plans, marketing strategies , and a comprehensive financial forecast. While your business blossoms, keep it flexible; you might stumble upon strategic twists and turns along the way!

Define Your Distinct Advantage

What makes your tour shine brighter than the rest? Identifying your special edge in a sentence can be a game-changer. Maybe it’s how you ensure environmentally responsible excursions or introduce adventurers to off-the-beaten-path sights. Let this be the statement that distinguishes you in a sea of options and captures the essence of your brand.

Decide on Your Rates

Setting prices might seem like scaling a mountain, but you’ve got the gear to reach the peak. Weigh your operational expenses against the perceived value of your offerings. Be mindful of what customers might be willing to pay and what the market can bear.

Weave Your Story

Here’s where creativity takes the lead — spinning the yarn of your brand. Begin with a hook, sail through the body, and end with a bang. The narrative you create infuses life into your tours, leaving guests eager to recount their experiences. Make your brand story the talk of the town.

Visualize Your Identity

A unique brand calls for a standout logo, the flag that flies high on all your endeavors. Collaborate with a design expert or let your imagination run wild with DIY platforms like Canva. Need a spark of inspiration? Check out some resources for branding to get the ideas brewing.

Establish Your Online Homestead

It’s showtime! Build the digital doorstep where wanderers and explorers discover what you offer. Whether you go DIY with tools like Wix and Squarespace or hire a web wizard, ensure that your web haven speaks ‘user-friendly’ fluently and is built to integrate a booking system seamlessly.

Implement Your Reservation Hub

The aim isn’t just for globetrotters to stumble upon you — let them book on the spot, effortlessly. Online booking systems streamline this process, transforming curious clicks into confirmed plans. Don’t just operate; elevate your business with systems like Checkfront that handle bookings across all fronts.

Remember, every step is significant when you’re crafting unforgettable experiences. Keep your clients at the heart of each decision, and you’ll build not just tours, but timeless memories.

Foster Connections in the Tour Industry

Engage with fellow guides.

Have you ever considered that reaching out to fellow tour guides could be a game-changer? Engaging with peers is a fantastic opportunity to gain insight and support. You’re not alone in this journey; there’s a wealth of knowledge to be tapped from experienced guides, especially those who are not in direct competition with you. Try joining online forums like Tourpreneur , where it’s all about tour operators supporting each other.

Strengthen Local Tourism Ties

Do you find networking daunting? Push past the initial discomfort and dive into your local tourism scene. Your efforts won’t be in vain—you’ll forge meaningful connections with individuals who understand your challenges and can offer valuable advice. Here’s who you should be talking to:

• City Council : They often have access to resources that can help your business grow.
• Local Tourism Board or DMOs : They are the backbone of the tourism industry; nurture these partnerships.
• Tourist Information Centers : Stay updated and relevant by connecting here.
• Hotels : Developing a rapport with hotel staff can lead to recommendations and partnerships.

Remember, the essence is to not only receive but also to contribute to these mutually beneficial relationships.

Market Your Excursions

Partner with Online Travel Marketplaces

Boost your visibility by featuring your tours on prominent online travel marketplaces. Think of these platforms as digital storefronts, similar to how a product shines on the shelves of a well-visited shop rather than a standalone stall. They host a variety of tours, from major attractions to unique local experiences, and can amplify your reach to a larger pool of potential customers.

Optimize for Search Engines

Drive attention to your own site by mastering search engine optimization . This process helps your website rise like a hot air balloon in search engine rankings, ensuring that your tours float to the top when explorers are planning their next adventure.

• Start with your tour descriptions: Craft content that’s both engaging and keyword-rich.
• Blog about your destination: Share insider tips and local secrets that showcase your expertise and enhance your website’s freshness.

Invest in Search Engine Marketing

Enhance your online presence instantly with search ads. By bidding on relevant keywords, you create an opportunity for your tours to appear prominently when eager travelers are plotting their next jaunt, skipping the wait for organic growth.

Cultivate Relationships with Email Outreach

Your website visitors are treasure troves of potential; garner their emails and cultivate these relationships through thoughtful email campaigns. Provide intriguing content that whisks them away from the daily grind and entices them with the allure of future escapades.

Engage on Social Platforms

Join the vibrant community where your audience already thrives—social media. Establish a presence on Facebook and Instagram to share the visual and narrative tapestry of your tours.

• Post striking images : Captivate your audience with visuals of the experiences you offer.
• Interact directly : Utilize messaging features to address queries swiftly and personably.

When engaging in these marketing efforts, remember to keep your conversations approachable and light-hearted, sprinkle in fun facts, and always stay genuine—your audience values authenticity and a personal touch. And don’t forget, amidst employing these strategies, to listen and adapt based on customer feedback , ensuring that your marketing not only reaches but resonates with your intended audience.

Begin Your Adventure

Invite your personal network.

Embarking on a tour business venture? Before the grand unveiling, consider a soft opening with those closest to you. Think of this low-pressure scenario as your “trial tour.”

Gather Invaluable Insights

• Engage your network for honest feedback .
• Iron out any last-minute snags (your “test run”).

Refine Your Approach

• Make adjustments based on what you learn.

Imagine it’s showtime for your tour: every detail scrutinized, every moment critiqued. The goal? To smooth the path ahead for your future guests.

Reflecting on Your New Venture

Embarking on the journey to establish a tour operator business entails mapping out various aspects from inception to welcoming your first group of tourists. The strategic planning of operations and managing finances is crucial. Here’s a snapshot to consider:

• Goals : What unique experiences can you offer?
• Budget : Do you have sufficient funds to cover startup costs for things like marketing and office space ?
• Customer Service : Will your client support create raving fans?
• Location and Assets : Have you identified a prime spot and gathered necessary equipment and supplies?

Remember, drafting a thorough business plan and securing financing can be the bedrock of your enterprise. Moreover, amid fluctuating economic conditions, a clear understanding of your profit margin will keep you on a steady course.

Consider forming a Limited Liability Company (LLC) for protection and flexibility, and attentively listen to your customers to preempt any grievances. It’s about commitment to a vision that outlasts the setbacks like a pandemic, ensuring you’re not just another statistic in start-up business trials.

Your endeavor isn’t merely a business; it’s a platform for unforgettable experiences — something that no pandemic or economic downturn can ever fully diminish.

instorm, and find the true essence of your unique offerings. Ready to take on the challenge?

Frequently asked questions, launching your tour business from home.

Interested in starting a tour business without needing to leave your home? Begin by identifying a niche market that piques your interest, from city sightseeing to specialized food tours. Next up, conduct market research to pinpoint potential customers’ preferences. Establish a solid online presence with an engaging website and harness social media platforms to spread the word. Equip yourself with a reliable computer, stable internet connection, and potentially a dedicated phone line for customer inquiries.

Crafting Your Tour Company’s Business Plan

Looking to set your tour operator business on a clear path? A well-thought-out business plan is a game-changer. Make sure it includes:

• Market Analysis: Who’s looking for your tour experiences?
• Services and Products: What unique tours are you offering exactly?
• Marketing and Sales Strategies: How will you attract those adventurous souls?
• Financial Projections: When do you anticipate breaking even?

These components lay the groundwork for a sustainable business model.

Initial Strategies with Minimal Investment

Limited budget? No problem! Starting a tour operator business doesn’t require a fortune. Consider these low-cost tactics:

• Partnerships : Team up with local businesses for mutual promotion.
• Freelance Guides : Work with freelancers instead of full-time staff initially.
• Free Tools : Utilize free booking software and marketing resources to cut costs.

Understanding Licensing for Tour Operators

Navigating the maze of licensing? Tour operators may need specific licenses, depending on region and tour type. This could range from general business licenses to special permits for outdoor activities. Always check with local authorities to ensure compliance.

Leveraging the Internet for Your Tour Business

Going online enhances your reach significantly. Build a user-friendly website, create enticing content, and consider online advertising. Engage customers through social media and encourage online reviews to build a trusted brand.

The Realities of Running a Successful Tour Company

Wonder what it takes to thrive in the tour industry? It’s definitely a ride with ups and downs. Be ready for:

• Stiff competition : Stand out by offering unique tour experiences.
• Customer Service : Deal with inquiries and feedback promptly and professionally.
• Marketing Savvy : Continuously promote your services to maintain visibility.
• Adaptability : Stay flexible to market changes and customer preferences.

Running a successful tour business takes grit, innovation, and a dash of charm. Are you up for the adventure?

administrator

David Ciccarelli, is the Founder and CEO of Lake. He is based in Toronto, Canada, and is an expert in management, business administration, strategy, product development, and customer experience. His educational achievements include the Owner President Management Program at Harvard Business School (2019-2022) and the QuantumShift Program at Ivey Business School in 2017, aimed at CEOs of growing businesses.

• Tour Operator

Related Posts

October 29, 2023

Preparing Your Vacation Rental for Emergency Situations

While not expected, emergency situations may arise at your vacation rental.  As such,...

December 21, 2023

Vacation Rental Pricing Tools: Optimize Your Income with Smart Strategies

Striking the right balance with your Airbnb listing price can be a puzzling game. Are your...

January 3, 2024

Vacation Rental Welcome Book: Crafting the Perfect Welcome for Guests

Thinking of hosting your lake house on Lake? Here is everything you need to know to create...

Don't have an account yet? Register

Already have an account? Sign In

Reset Password

Please enter your username or email address, you will receive a link to create a new password via email.

• Adventure Tours
• Sightseeing Tours
• Transport and Transfer Tours
• Destination
• Booking Engine
• Back Office Tool
• Channel Manager
• Point of Sales
• Agents and Resellers
• Payment Gateway
• Success Stories
• Books and Guide
• Learning Center
• Help Center
• All Categories
• Travel Trends
• Business Management
• Travel Technology
• Distribution
• TrekkSoft Tips

How to create a business plan for a tour or activity company

Each TrekkSoft customer has their own story about how and why they became a tour operator or activity provider.

Some tour operators realised that they love educating others and providing them with meaningful cultural experiences.  Others started activity companies simply because they love the sport, activity, or adventure and wanted to introduce others to it.

Whatever your company and passion, you'll need a business plan to make sure your venture is both financially and conceptually viable. Let us help you out.

1. Fill our Business Model worksheet

We've created a Business Model worksheet especially for tour and activity business owners  looking to define their business ambitions and map a direction forward. Print out a copy, have a few pens handy, and unleash your business creativity. You could also have fun covering a large print-out with Post-it notes.

DIY task: While working on the worksheet, ask yourself:

• Who are my key partners?
• What are my key activities?
• What are my key resources, e.g. online booking software ?
• What are my value propositions?
• What do my customer relationships include?
• What are my customer segments?
• What channels are important to my business, e.g. partnering with travel agents ?
• What is my cost structure?
• What are my revenue streams?

2. Define goals and objectives for your tour business or activity company

Imagine your business five years from now. What will it look like? How many customers will go on your tours per week, or how many activities will be bookable on your website?

Picture the future, define 5-10 concrete objectives, and then list the steps required to get there.

Some goals and solutions include:

• Reach new markets > Partner with local travel agents and activity providers
• Improve booking experience > Enable online bookings to save customers time with a software provider such as TrekkSoft
• Expand the tours I offer > Identify gaps in the market that I can fill with my experience and resources, then run trial tours to collect feedback from

3. Work out your finances on your business model

No matter how enthusiastic you are, it's important to ensure that your tour business or activity company makes economic sense. You're an entrepreneur, after all!

Ask yourself:

• How much initial investment will my tour company need?
• When will I start getting a profit?
• If I get any investment, when can investors (including myself) expect a return?
• What are my projected profits over time?
• Will I be able to devote myself to the tour or activity business in a financial sense?
• What kind of salary or income can I expect from my tours or activities?
• What are the chances the business will fail? 
• What will happen if it does?
• How can I reduce risk, or plan for a worst-case scenario?

4. Define exactly how your tours and activities are of value

A  useful tool from Strategyzer is their Value Proposition Canvas , which makes it easy to define  how you are creating value for your customers and how to design products and services they really want.

5. Create a marketing strategy that's optimised for your customers

One marketing plan doesn't fit all, especially considering the wide range of tours and activities on the market.

• Who is my target audience?
• How old are they?
• Where are they from?
• What do they do for a living?
• What experience and memories do they want to gain from my tour or activity?

Next, research and create a marketing strategy that these customer segments will best respond to.

You may consider print marketing, or a well thought-out text and visual marketing strategy. Also, effective social media use is key to your marketing efforts, especially if you're targeting millenials.

• How to create a marketing plan for tour and activity operators
• A complete guide to visual content marketing for professionals in the tourism industry

While these steps are general, be sure to tailor each step on your marketing plan to your audience. Talk in their language and promote your tours or activities in a way they'll respond to. Good luck!

Learn how TrekkSoft can help you grow your online presence and get more bookings

Posted by Lucy Fuggle

Tour Guides

10 qualities every good tour guide needs

DMO & Resellers

How Fjord Norway brought 110+ suppliers online

TrekkSoft Users

Two ways to easily collet payments

Related Articles

The ultimate booking solution for you

If you're a tour or activity company or a tourism board, we have the perfect plan for your business.

Stay in the Loop

Enhance your travel experience: subscribe to our newsletter for exclusive insights, insider tips, inspiring stories, and unmissable deals that will ignite your wanderlust and help you craft unforgettable journeys.

Submit a guest post

We understand the tour and activity industry and you can rely on our team to onboard your business, introduce you to digital best practice, and guide you to success.

• Status Page
• Developer Docs

2010-2023 TrekkSoft | A TrekkSoft Group company

• Terms & Privacy

We earn commissions if you shop through the links below.  Read more

Tour Operator Business

Back to All Business Ideas

How to Start a Tour Operator Business

Written by: Carolyn Young

Carolyn Young is a business writer who focuses on entrepreneurial concepts and the business formation. She has over 25 years of experience in business roles, and has authored several entrepreneurship textbooks.

Edited by: David Lepeska

David has been writing and learning about business, finance and globalization for a quarter-century, starting with a small New York consulting firm in the 1990s.

Published on May 17, 2023 Updated on March 13, 2024

Investment range

$2,300 - $10,300

Revenue potential

$108,000 - $360,000 p.a.

Time to build

0 – 3 months

Profit potential

$86,400 - $144,000 p.a.

Industry trend

Are you an entertainer? One of the ways you could use your skills is by starting a tour operator business. You could offer tours to see the main attractions in your city, tours of natural areas, or even tours of the food scene in your city. The tour operator industry took a hit during the pandemic, but it’s coming back strong in 2023 and is worth more than $10 billion, so there’s money to be made.

But first, you’ll need some business know-how. Luckily, this step-by-step guide details all you need to know to start a successful tour operator business.

Looking to register your business? A limited liability company (LLC) is the best legal structure for new businesses because it is fast and simple.

Form your business immediately using ZenBusiness LLC formation service or hire one of the Best LLC Services .

Step 1: Decide if the Business Is Right for You

Pros and cons.

• Meet lots of people and show them a good time
• Good profit potential
• Growing market
• Business needs to be based in an area with attractions of some kind
• Can be somewhat seasonal

Tour operator industry trends

Industry size and growth.

• Industry size and past growth – The U.S. tour operator industry is worth $10.3 billion in 2023 after declining an average of 3.4% annually for the last five years due to the pandemic.(( https://www.ibisworld.com/united-states/market-research-reports/tour-operators-industry/#:~:text=Tour%20Operators%20in%20the%20US%20industry%20trends%20(2018%2D2023),falls%20to%206.6%25%20of%20revenue. ))
• Growth forecast – The U.S. tour operator industry is projected to grow an impressive 19.4% in 2023. 
• Number of businesses – In 2023, 10,286 tour operator businesses are operating in the U.S. 
• Number of people employed – In 2023, the U.S. tour operator industry employs 44,534 people.

Trends and challenges

• Many tourists are seeking tours to “hidden gems” rather than the normal tourist spots.
• Many people are booking their travel activities, including tours, on mobile apps.
• Technology is playing an increasing role in the tour operators industry, requiring tour operator business to make an investment in technology.
• Current economic conditions may negatively impact the travel industry in general. 

Demand hotspots

• Most popular states – The most popular states for tour guides are Alaska, California, and Oregon. (( https://www.zippia.com/tour-guide-jobs/best-states/#oregon ))
• Least popular states – The least popular states for tour guides are Minnesota, Michigan, and Louisiana.

What kind of people work in tour operator businesses?

• Gender –  53% of tour guides are female, while 47% are male. (( https://www.zippia.com/tour-guide-jobs/demographics/ ))
• Average level of education – T he average tour guide has a bachelor’s degree.
• Average age – The average tour guide in the US is 34.3 years old.

How much does it cost to start a tour operator business?

If you’re going to do walking tours, your startup costs should be around $2,000. Costs include a computer and a website. If you plan to give tours in a vehicle like a trolley, your costs will be closer to $10,000.

How much can you earn from a tour operator business?

You can probably charge about $120 per person for a half day tour or $200 for a full day tour. Your profit margin should be about 80% if you run your business from home.

In your first year or two, you could work from home and have 30 customers a week, 30 weeks a year, at $120, bringing in $108,000 in revenue. This would mean $86,400 in profit, assuming that 80% margin. 

As you gain traction, you might have 100 customers a week, 30 weeks a year.  At this stage, you might have a kiosk and hire staff, reducing your margin to around 40%. With annual revenue of $360,000, you’d make a tidy profit of $144,000.

What barriers to entry are there?

There are a few barriers to entry for a tour operator business. Your biggest challenges will be:

• Being in a good location where people will pay for tours
• Having extensive knowledge of your tour area

Related Business Ideas

How to Start an Airbnb Business

How to Start a Travel Agency

How to Start a Bed & Breakfast

Step 2: hone your idea.

Now that you know what’s involved in starting a tour operator business, it’s a good idea to hone your concept in preparation to enter a competitive market. 

Market research could give you the upper hand even if you’ve got the perfect product. Conducting robust market research is crucial, as it will help you better understand your customers, your competitors, and the broader business landscape.

Analyze your competitors 

Research tour operator businesses to examine their services, price points, and customer reviews.

• Make a list of tour operator businesses that offer similar services. 
• Review your competitors’ services – their features, pricing, and quality – and marketing strategies.
• Check out their online reviews and ratings on Google, Yelp, and Facebook to get an idea of what their customers like and dislike.
• Identify your competitors’ strengths and weaknesses. 

This should identify areas where you can strengthen your business and gain a competitive edge to make better business decisions.

Why? Identify an opportunity

You’re looking for a market gap to fill. For instance, maybe the local market is missing an inbound tour operator, or a tour guide business that offers travel agency services as well.

You might consider targeting a niche, such as food scene tours or adventure travel tours.

This could jumpstart your word-of-mouth marketing and attract clients right away. 

What? Determine your services

You’ll need to determine what kind of tours you want to give. Consider what’s in your area that might be of interest to tourists. Your best bet is to pick a niche that other tour companies are not targeting. You could also offer travel agent services like booking hotel accommodations or flights.

How much should you charge for tours?

Your prices should be based on market prices in your area, but also on your operating costs.

Once you know your costs, use this Step By Step profit margin calculator to determine your mark-up and final price points. Remember, the prices you use at launch should be subject to change if warranted by the market.

Who? Identify your target market

Your target market is likely to be tourists, and the tourists who participate in tours are often older, but it will depend on the type of tours you offer. If your tours are likely to appeal to older tourists, you can market to them on Facebook. However, your best bet is to partner with travel agencies who can promote and book your tours. 

Where? Choose your business premises

In the early stages, you may want to run your business from home to keep costs low. But as your business grows, you’ll likely need to hire workers for various roles and may need to rent out an office or a invest in a kiosk to set up in high traffic tourist areas. You can find commercial space to rent in your area on sites such as Craigslist , Crexi , and Instant Offices .

When choosing a commercial space, you may want to follow these rules of thumb:

• Central location accessible via public transport
• Ventilated and spacious, with good natural light
• Flexible lease that can be extended as your business grows
• Ready-to-use space with no major renovations or repairs needed

Step 3: Brainstorm a Tour Company Name

Your business name is your business identity, so choose one that encapsulates your objectives, services, and mission in just a few words. You probably want a name that’s short and easy to remember, since much of your business, and your initial business in particular, will come from word-of-mouth referrals.

Here are some ideas for brainstorming your business name:

• Short, unique, and catchy names tend to stand out
• Names that are easy to say and spell tend to do better 
• Name should be relevant to your product or service offerings
• Ask around — family, friends, colleagues, social media — for suggestions
• Including keywords, such as “tours” or “guided tours”, boosts SEO
• Name should allow for expansion, for ex: “GlobeStride” or “Boundless Journeys” over “EcoTreks” or “Dive Quest”
• Avoid location-based names that might hinder future expansion
• Use online tools like the Step by Step Business Name Generator . Just type in a few keywords and hit “generate” and you’ll have dozens of suggestions at your fingertips.

Once you’ve got a list of potential names, visit the website of the US Patent and Trademark Office to make sure they are available for registration and check the availability of related domain names using our Domain Name Search tool. Using “.com” or “.org” sharply increases credibility, so it’s best to focus on these. 

Find a Domain

Powered by GoDaddy.com

Finally, make your choice among the names that pass this screening and go ahead and reserve your business name with your state, start the trademark registration process, and complete your domain registration and social media account creation. 

Your business name is one of the key differentiators that sets your business apart. Once you pick a name, reserve it and start with the branding, it’s hard to switch to a new name. So be sure to carefully consider your choice before moving forward. 

Step 4: Create a Tour Operator Business Plan

Every business needs a plan. This will function as a guidebook to take your startup through the launch process and maintain focus on your key goals. A business plan also enables potential partners and investors to better understand your company and its vision:

• Executive Summary: Summarize your tour operator business, highlighting the unique travel experiences you offer and your target market.
• Business Overview: Describe your tour operator business, including the types of tours you provide, destinations you cover, and the travel niche you specialize in.
• Product and Services: Detail the tour packages and services you offer, such as guided tours, transportation, accommodations, and any unique experiences or add-ons.
• Market Analysis: Analyze the demand for travel and tours in your chosen destinations, considering factors like tourism trends, customer preferences, and competitor offerings.
• Competitive Analysis: Identify other tour operators in your target locations, their strengths and weaknesses, and explain how your tours will differentiate themselves through quality, pricing, or unique experiences.
• Sales and Marketing: Outline your strategies for reaching and attracting customers, including digital marketing, partnerships with hotels or travel agencies, and promotions to drive bookings.
• Management Team: Introduce key team members responsible for running the tour operator business, highlighting their experience in the travel industry and customer service.
• Operations Plan: Describe the logistics of running your tours, including itinerary planning, tour guides, transportation, safety measures, and quality control.
• Financial Plan: Present financial projections for your tour operator business, including startup costs, revenue forecasts based on anticipated bookings, expenses for tour logistics, and expected profitability.
• Appendix: Include any relevant documents, such as tour itineraries, partnerships with hotels or attractions, insurance policies, and marketing materials.

If you’ve never created a business plan, it can be an intimidating task. You might consider hiring a business plan specialist to create a top-notch business plan for you.

Step 5: Register Your Business

Registering your business is an absolutely crucial step — it’s the prerequisite to paying taxes, raising capital, opening a bank account, and other guideposts on the road to getting a business up and running.

Plus, registration is exciting because it makes the entire process official. Once it’s complete, you’ll have your own business! 

Choose where to register your company

Your business location is important because it can affect taxes, legal requirements, and revenue. Most people will register their business in the state where they live, but if you are planning to expand, you might consider looking elsewhere, as some states could offer real advantages when it comes to tour operator businesses. 

If you’re willing to move, you could really maximize your business! Keep in mind, it’s relatively easy to transfer your business to another state. 

Choose your business structure

Business entities come in several varieties, each with its pros and cons. The legal structure you choose for your tour operator business will shape your taxes, personal liability, and business registration requirements, so choose wisely. 

Here are the main options:

• Sole Proprietorship – The most common structure for small businesses makes no legal distinction between company and owner. All income goes to the owner, who’s also liable for any debts, losses, or liabilities incurred by the business. The owner pays taxes on business income on his or her personal tax return.
• General Partnership – Similar to a sole proprietorship, but for two or more people. Again, owners keep the profits and are liable for losses. The partners pay taxes on their share of business income on their personal tax returns.
• Limited Liability Company ( LLC ) – Combines the characteristics of corporations with those of sole proprietorships or partnerships. Again, the owners are not personally liable for debts.  Here’s how to form an LLC .
• C Corp – Under this structure, the business is a distinct legal entity and the owner or owners are not personally liable for its debts. Owners take profits through shareholder dividends, rather than directly. The corporation pays taxes, and owners pay taxes on their dividends, which is sometimes referred to as double taxation.  Read how to start a corporation here .
• S Corp – An S-Corporation refers to the tax classification of the business but is not a business entity. An S-Corp can be either a corporation or an LLC , which just need to elect to be an S-Corp for tax status. In an S-Corp, income is passed through directly to shareholders, who pay taxes on their share of business income on their personal tax returns.

We recommend that new business owners choose LLC as it offers liability protection and pass-through taxation while being simpler to form than a corporation. You can form an LLC in as little as five minutes using an online LLC formation service. They will check that your business name is available before filing, submit your articles of organization , and answer any questions you might have. 

Form Your LLC

Choose Your State

We recommend ZenBusiness as the Best LLC Service for 2023

Step 6: Register for Taxes

The final step before you’re able to pay taxes is getting an Employer Identification Number , or EIN. You can file for your EIN online or by mail or fax: visit the IRS website to learn more. Keep in mind, if you’ve chosen to be a sole proprietorship you can simply use your social security number as your EIN. 

Once you have your EIN, you’ll need to choose your tax year. Financially speaking, your business will operate in a calendar year (January–December) or a fiscal year, a 12-month period that can start in any month. This will determine your tax cycle, while your business structure will determine which taxes you’ll pay.

The IRS website also offers a tax-payers checklist , and taxes can be filed online.

It is important to consult an accountant or other professional to help you with your taxes to ensure you are completing them correctly.

Step 7: Fund your Business

Securing financing is your next step and there are plenty of ways to raise capital:

• Bank loans: This is the most common method but getting approved requires a rock-solid business plan and strong credit history.
• SBA-guaranteed loans: The Small Business Administration can act as guarantor, helping gain that elusive bank approval via an SBA-guaranteed loan .
• Government grants: A handful of financial assistance programs help fund entrepreneurs. Visit Grants.gov to learn which might work for you.
• Friends and Family: Reach out to friends and family to provide a business loan or investment in your concept. It’s a good idea to have legal advice when doing so because SEC regulations apply.
• Crowdfunding: Websites like  Kickstarter  and  Indiegogo  offer an increasingly popular low-risk option, in which donors fund your vision. Entrepreneurial crowdfunding sites like  Fundable  and  WeFunder  enable multiple investors to fund your business.
• Personal: Self-fund your business via your savings or the sale of property or other assets.

Bank and SBA loans are probably the best option, other than friends and family, for funding a tour operator business. You might also try crowdfunding if you have an innovative concept.  

Step 8: Apply for Tour Operator Business Licenses and Permits

Starting a tour operator business requires obtaining a number of licenses and permits from local, state, and federal governments.

Federal regulations, licenses, and permits associated with starting your business include doing business as (DBA), health licenses and permits from the Occupational Safety and Health Administration ( OSHA ), trademarks, copyrights, patents, and other intellectual properties, as well as industry-specific licenses and permits. 

You may also need state-level and local county or city-based licenses and permits. The license requirements and how to obtain them vary, so check the websites of your state, city, and county governments or contact the appropriate person to learn more. 

You could also check this SBA guide for your state’s requirements, but we recommend using MyCorporation’s Business License Compliance Package . They will research the exact forms you need for your business and state and provide them to ensure you’re fully compliant.

This is not a step to be taken lightly, as failing to comply with legal requirements can result in hefty penalties.

If you feel overwhelmed by this step or don’t know how to begin, it might be a good idea to hire a professional to help you check all the legal boxes.

Step 9: Open a Business Bank Account

Before you start making money, you’ll need a place to keep it, and that requires opening a bank account .

Keeping your business finances separate from your personal account makes it easy to file taxes and track your company’s income, so it’s worth doing even if you’re running your tour operator business as a sole proprietorship. Opening a business bank account is quite simple, and similar to opening a personal one. Most major banks offer accounts tailored for businesses — just inquire at your preferred bank to learn about their rates and features.

Banks vary in terms of offerings, so it’s a good idea to examine your options and select the best plan for you. Once you choose your bank, bring in your EIN (or Social Security Number if you decide on a sole proprietorship), articles of incorporation, and other legal documents and open your new account. 

Step 10: Get Business Insurance

Business insurance is an area that often gets overlooked yet it can be vital to your success as an entrepreneur. Insurance protects you from unexpected events that can have a devastating impact on your business.

Here are some types of insurance to consider:

• General liability: The most comprehensive type of insurance, acting as a catch-all for many business elements that require coverage. If you get just one kind of insurance, this is it. It even protects against bodily injury and property damage.
• Business Property: Provides coverage for your equipment and supplies.
• Equipment Breakdown Insurance: Covers the cost of replacing or repairing equipment that has broken due to mechanical issues.
• Worker’s compensation: Provides compensation to employees injured on the job.
• Property: Covers your physical space, whether it is a cart, storefront, or office.
• Commercial auto: Protection for your company-owned vehicle.
• Professional liability: Protects against claims from a client who says they suffered a loss due to an error or omission in your work.
• Business owner’s policy (BOP): This is an insurance plan that acts as an all-in-one insurance policy, a combination of the above insurance types.

Step 11: Prepare to Launch

As opening day nears, prepare for launch by reviewing and improving some key elements of your business. 

Essential software and tools

Being an entrepreneur often means wearing many hats, from marketing to sales to accounting, which can be overwhelming. Fortunately, many websites and digital tools are available to help simplify many business tasks.  

You may want to use industry-specific software, such as  Flybook , FareHarbor , or Resmark , to manage your bookings, email communications, and customer lists.

• Popular web-based accounting programs for smaller businesses include Quickbooks , Freshbooks , and Xero . 
• If you’re unfamiliar with basic accounting, you may want to hire a professional, especially as you begin. The consequences for filing incorrect tax documents can be harsh, so accuracy is crucial.

Create a website

Website development is crucial because your site is your online presence and needs to convince prospective clients of your expertise and professionalism. You can create your own website using services like WordPress, Wix, or Squarespace . This route is very affordable, but figuring out how to build a website can be time-consuming. If you lack tech-savvy, you can hire a web designer or developer to create a custom website for your business.

Your customers are unlikely to find your website, however, unless you follow Search Engine Optimization (SEO) practices. SEO will help your website appear closer to the top in relevant search results, a crucial element for increasing sales. 

Make sure that you optimize calls to action on your website. Experiment with text, color, size, and position of calls to action such as “Book Now”. This can sharply increase purchases. 

Here are some powerful marketing strategies for your future business:

• Leverage Social Media Influencers: Collaborate with travel influencers on platforms like Instagram and YouTube to showcase your tour packages, tapping into their engaged audiences and fostering trust through authentic experiences.
• Run Targeted Online Ads: Utilize platforms like Google Ads and social media advertising to target specific demographics interested in travel, ensuring your ads reach potential customers who are more likely to engage with your tours.
• Create Compelling Visual Content: Invest in high-quality photos and videos of your tour destinations, sharing them across social media, your website, and promotional materials to evoke emotions and entice potential customers.
• Implement Referral Programs: Encourage satisfied customers to refer friends and family by offering incentives such as discounts or exclusive perks, amplifying your customer base through word-of-mouth marketing.
• Collaborate with Local Businesses: Partner with local hotels, restaurants, and other businesses to cross-promote services, creating mutually beneficial relationships that expand your reach within the travel community.
• Host Virtual Tours: Capitalize on the growing trend of virtual experiences by offering online tours or live-streamed previews, allowing potential customers to get a taste of your offerings before committing.
• Optimize for Local Search: Ensure your business appears in local search results by optimizing your Google My Business profile, collecting positive reviews, and providing accurate information, making it easier for customers to find and choose your tours.
• Offer Limited-Time Promotions: Create a sense of urgency by periodically offering limited-time promotions or exclusive deals, encouraging potential customers to book your tours sooner rather than later.
• Attend Travel Expos and Events: Participate in travel expos and events to showcase your offerings directly to an audience interested in travel, allowing you to engage with potential customers face-to-face and establish personal connections.
• Focus on Customer Experience: Prioritize exceptional customer service and personalized experiences to build a positive reputation, as satisfied customers are more likely to become repeat clients and ambassadors for your business.

Focus on USPs

Unique selling propositions, or USPs, are the characteristics of a product or service that sets it apart from the competition. Customers today are inundated with buying options, so you’ll have a real advantage if they are able to quickly grasp how your tour operator business meets their needs or wishes. It’s wise to do all you can to ensure your USPs stand out on your website and in your marketing and promotional materials, stimulating buyer desire. 

Global pizza chain Domino’s is renowned for its USP: “Hot pizza in 30 minutes or less, guaranteed.” Signature USPs for your tour operator business could be: 

• Discover the extraordinary with our immersive and personalized tours
• Leave no stone unturned with our comprehensive and authentic tour itineraries
• Discover the hidden gems with our knowledgeable tour guides

You may not like to network or use personal connections for business gain. But your personal and professional networks likely offer considerable untapped business potential. Maybe that Facebook friend you met in college is now running a tour operator business, or a LinkedIn contact of yours is connected to dozens of potential clients. Maybe your cousin or neighbor has been working in tour operator businesses for years and can offer invaluable insight and industry connections. 

The possibilities are endless, so it’s a good idea to review your personal and professional networks and reach out to those with possible links to or interest in tour operator businesses. You’ll probably generate new customers or find companies with which you could establish a partnership.

Step 12: Build Your Team

If you’re starting out small from a home office, you may not need any employees. But as your business grows, you will likely need workers to fill various roles. Potential positions for a tour operator business include:

• Tour Guides – give tours, customer service
• Marketing Lead – create and implement marketing strategies
• General Manager – scheduling, accounting

At some point, you may need to hire all of these positions or simply a few, depending on the size and needs of your business. You might also hire multiple workers for a single role or a single worker for multiple roles, again depending on need. 

Free-of-charge methods to recruit employees include posting ads on popular platforms such as LinkedIn, Facebook, or Jobs.com. You might also consider a premium recruitment option, such as advertising on Indeed , Glassdoor , or ZipRecruiter . Further, if you have the resources, you could consider hiring a recruitment agency to help you find talent. 

Step 13: Run a Tour Operator Business – Start Making Money!

The tourism industry has bounced back in a big way since the pandemic, so now could be a great time to start a tour operator business. It’s an exciting way to share the highlights of your area, have some fun, and make some money. You could eventually hire a whole team of tour guides to take your business to the next level.

Now that you understand the business, you’re ready to plan your itineraries and get your successful tour operator business on the road!

• Tour Operator Business FAQs

A tour operator business can be profitable depending on various factors such as market demand, pricing strategies, operational efficiency, and the ability to provide exceptional customer tour experiences.

During a typical day at a tour operator business, various activities take place to ensure smooth operations and high-quality service. These include responding to customer inquiries and booking requests, designing and customizing tour itineraries, coordinating with suppliers, managing reservations and payments, addressing customer feedback, conducting research on new destinations, and collaborating with marketing and sales teams.

The growth potential of a tour operator business is significant, with opportunities to expand services to new destinations, diversify tour offerings, enhance customer experiences, and leverage digital marketing strategies. Developing partnerships with other businesses in the travel industry can also contribute to growth and increased revenue potential.

A tour operator business falls under the travel and tourism industry and operates as a service-based business that organizes and arranges travel experiences for individuals or groups. The business acts as an intermediary between customers and various suppliers, providing comprehensive and well-planned travel experiences through pre-packaged tours or customized itineraries.

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Save my name, email, and website in this browser for the next time I comment.

• Decide if the Business Is Right for You
• Hone Your Idea
• Brainstorm a Tour Company Name
• Create a Tour Operator Business Plan
• Register Your Business
• Register for Taxes
• Fund your Business
• Apply for Tour Operator Business Licenses and Permits
• Open a Business Bank Account
• Get Business Insurance
• Prepare to Launch
• Build Your Team
• Run a Tour Operator Business - Start Making Money!

Subscribe to Our Newsletter

Featured resources.

20 Side Business Ideas (Side Hustles)

Carolyn Young

Published on December 4, 2022

It’s the age of the side hustle, as more and more people look to make extra money or become an entrepreneur. In 2023, 45% of US adults, or nearly9 ...

21 Agency Business Ideas

David Lepeska

Published on August 11, 2022

Dreaming of running your own agency? There are a lot of possibilities out there, from travel to advertising and marketing, to recruiting, SEOconsult ...

21 Tourism and Travel Business Ideas

Published on July 21, 2022

With the pandemic winding down, countless Americans are getting back to traveling! That means now is a great time to establish a travel-relatedbusin ...

No thanks, I don't want to stay up to date on industry trends and news.

Free Download

Travel Tour Agency Business Plan Template

Download this free travel tour agency business plan template, with pre-filled examples, to create your own plan..

Or plan with professional support in LivePlan. Save 50% today

Available formats:

What you get with this template

A complete business plan.

Text and financials are already filled out and ready for you to update.

• SBA-lender approved format

Your plan is formatted the way lenders and investors expect.

Edit to your needs

Download as a Word document and edit your business plan right away.

• Detailed instructions

Features clear and simple instructions from expert business plan writers.

All 100% free. We're here to help you succeed in business, no strings attached.

Get the most out of your business plan example

Follow these tips to quickly develop a working business plan from this sample.

1. Don't worry about finding an exact match

We have over 550 sample business plan templates . So, make sure the plan is a close match, but don't get hung up on the details.

Your business is unique and will differ from any example or template you come across. So, use this example as a starting point and customize it to your needs.

2. Remember it's just an example

Our sample business plans are examples of what one business owner did. That doesn't make them perfect or require you to cram your business idea to fit the plan structure.

Use the information, financials, and formatting for inspiration. It will speed up and guide the plan writing process.

3. Know why you're writing a business plan

To create a plan that fits your needs , you need to know what you intend to do with it.

Are you planning to use your plan to apply for a loan or pitch to investors? Then it's worth following the format from your chosen sample plan to ensure you cover all necessary information.

But, if you don't plan to share your plan with anyone outside of your business—you likely don't need everything.

More business planning resources

How to Start a Business With No Money

Industry Business Planning Guides

Simple Business Plan Outline

How to Write a Business Plan for Investors

How to Create a Business Plan Presentation

Business Plan Template

10 Qualities of a Good Business Plan

How to Write a Business Plan

Download your template now

Need to validate your idea, secure funding, or grow your business this template is for you..

• Fill-in-the-blank simplicity
• Expert tips & tricks

We care about your privacy. See our privacy policy .

Not ready to download right now? We'll email you the link so you can download it whenever you're ready.

Download as Docx

Download as PDF

Finish your business plan with confidence

Step-by-step guidance and world-class support from the #1 business planning software

From template to plan in 30 minutes

• Step-by-step guidance
• Crystal clear financials
• Expert advice at your fingertips
• Funding & lender ready formats
• PLUS all the tools to manage & grow

Tax Season Savings

Get 40% off LivePlan

The #1 rated business plan software

Discover the world’s #1 plan building software

How to Develop a Successful Tour Operator Business Model

Table of Content

The 3 elements to form a successful tour operator business model, setting goals and objectives for your tour operator company, the value proposition: why would anyone buy your tour, key resources you’ll need to deliver your usp, sorting out your finances, establishing your revenue streams, defining your customer relationships, pulling everything together into your marketing strategy, wrapping up.

How did you realize you have a passion for educating and providing people with rich cultural experiences? Or that you simply love a specific activity and want to share the experience with others? However you made that realization, you’re here, ready to take the next step to creating a viable and successful tour operator business.

The truth is that being a tour operator is not just about providing new and exciting experiences for tourists. There’s way more to it than that. Just like any other venture, there are lots of pieces that need to come together before you achieve any kind of success.

A major part of that puzzle is putting together a well thought out business model and plan.

That’s why you’re reading this article. It is your guide to understanding the tour operator business model and how to create your own. It will also help you to focus on tasks that will have the most business impact.

Let’s get to it!

The tour operator business model consists of three key elements: your tour and activity selection, your market , and your money making plan.

Tour and activity selection: What are you selling? What makes it unique/what’s your unique selling proposition (USP)? What resources do you need to get started?

Your market: Who are you selling your products or services to? Which category of traveler/tourist are your services for? Who are your competitors?

Money making plan: How will you make money? How will you market your trips and activities?

Addressing those three main points in a document or spreadsheet is the first step to creating a viable tour operator business model.

Next? Set goals.

This part is extremely important in several ways. The first one being that envisioning how your business will look 5 years down the line gives you some more perspective of what you need to do to get there.

So think about what it will look like. How many customers will book your tour per week? How many activities can you handle per week?

Answer questions of that nature and you’ll be able to come up with at least 10 objectives and steps that you need to take to get there.

Some examples of goals and steps you may come up with:

• Expand your tour activity selection. In order to do so, you need to find gaps in the market that you can meet with your resources and experience.
• Reach a new market segment. That requires that you perhaps partner with other travel agents and activity providers.
• Further streamline your booking experience. That requires that you activate online bookings with tools like Regiondo .

Setting clear, well-defined goals can also help your business grow; and improve teamwork and collaboration (when everyone on your team understands the direction your business is headed, they’ll have more clarity and purpose in their work to get you there.)

And remember that setting goals is an ongoing process in any business .

Your business’ value proposition is arguably the most important element of your overall marketing message. It is the part where you define how you’re creating value for your prospective customers.

To be a bit more technical: Your value proposition is a clear and concise articulation of why customers should choose your tours or activities over your competitors.

So what goes into creating a clear and concise value proposition?

• State your vision for the business
• What value does your product or service provide to the customer?
• Why are you qualified to offer that value offering?
• What is unique about your product or service?
• What is the growth potential for your product or service?

The aim of writing down your value proposition is that it makes it easier for customers and potential investors to evaluate your offering — from a market and financial perspective. In fact, every single item on your business model or plan has to relate back to your value proposition.

What do we mean by that? Simply put, your key resources are the main resources your company uses to create your USP and to provide your tour or activity offerings. They are the most important things to have for your tour operator business model to work.

Credit: Strategyzer

So think about a few things:

• What are the main assets your company needs to put on tours and activities?
• What key resources does your tour require?
• Which resources are most important in all your distribution channels?
• What does the operational end of your business look like? For example, what kinds of materials do you need? What equipment will you need? What types of people will you employ?

The key resources section plays a vital role in bringing your vision and value proposition to life. It highlights what you need in order to deliver the value your customers expect from you.

You’re really excited to get your new business model up and running— we get it. But remember that a successful tour operator business needs to make economic sense.

So, you need to ask yourself some financial questions, which include:

• What’s the initial investment of capital that my tour operation company will need?
• When will I start making profit?
• What will my profit statements look like in 6 months? A year?
• What income can I take home?
• Will I be able to dedicate enough, finance-wise?
• What is the likelihood of the business failing?
• What if it does (fail)?

Those questions are vital to accurately gauging your ability to develop a successful tour operator business model.

Perhaps the most critical component of any sustainable tour operator business model? A positive cash-flow.

You need to figure out your revenue streams from the get-go. To help you fine-tune them, here are some questions you should ask yourself:

• What are your primary and secondary revenue streams?
• What value are your customers willing to pay for?
• How would they prefer to pay?
• How much does every revenue stream add to overall revenues?

Customer relationships refer to the way you interact with new and existing customer segments. Once you know their communication and purchasing preferences, you can adequately build a system to attract customers, get repeat business and more referrals.

Here are some key questions to think about when mapping out your customer relationships:

• What does your target audience expect from you?
• Can you integrate that into your business (cost and format-wise)?

Those two questions will further inform your USP, finances, and other strategies.

You need a marketing strategy that is solely designed for your target market and customers. There are so many niches in the tour operator industry which also means that there are so many different marketing plans that are particularly favorable to specific niches.

You need to create a marketing plan that is tailored to your niche.

So, ponder the following:

• What is my customer persona? Meaning, who are they? How old are they? What do they do for a living? Where are they from? What do they want from your tour or activity?
• Where do you find your ideal customer? For example, are they heavy social media users? If so, which channels are they active on?
• What are their purchasing personas? Meaning, is it a segment that purchases online? Do they prefer sending through a check or buying in person?

You can then do your research to create an effective marketing strategy that your customer segments will buy into.

Let’s give you potential strategies you can incorporate into your overall marketing strategy:

• Add a blog to your website to substantially boost your search engine optimization (SEO) efforts.
• Cultivate your social media presence.
• Run campaigns that make sense for your customer segment. For example, if your target market is millennials looking for the ultimate holiday experience, then social media should be your priority over print advertising.

Building a tour operator business from scratch is not easy. There are many pieces of the puzzle you have to put together: from choosing your niche, to building relationships, to conducting thorough market research, to building your brand and online presence, etc.

However, creating the right business model will give you a clear roadmap to guide your business journey. Use this article as a guide to creating a viable tour operator business model.

You might also like: 

• How to Start a Tour Company with (Almost) No Money
• How to Conduct Market Research for Tour and Activity Companies
• How To Start a Walking Tour Business
• 4 Questions to Help You Design the Perfect Tour

Related Articles

• Tips & tricks

Stay updated with Regiondo by signing up for our Newsletter

Get a personalized demo or create your free account now

Take your business to the next level with Regiondo - it's free to get started and you don't need a credit card.

Start a Tour Company

Inventing Adventure: Your Journey as a Global Experience Provider

TOUR COMPANY

Related business ideas, discover your perfect domain, tour mini business plan, business idea - tour company, expected percent margins:, earnings expectations:, actions to hit these numbers:, tour programming and pricing:, marketing and customer acquisition:, sales and customer experience:, cost management:, business operations:, not what you had in mind here are more ideas, grab your business website name, step 1: determine if the business is right for you, breakdown of startup expenses, breakdown of ongoing expenses, examples of ways to make money, step 2: name the business, step 3: develop a business plan, step 4: obtain necessary licenses and permits, step 5: secure financing, step 6: market the business, step 7: hire employees, step 8: develop an operations plan, step 9: launch the business, step 4: obtain licenses and permits, step 5: secure funding, step 6: create a website, step 7: market the business, step 8: hire employees, explore more categories, take the next steps.

How To Start A Successful Tour Operator Business

• Business Management

Among many other qualities, tour operators can usually say this about themselves: they are passionate about what they do, and they love people. If you are thinking about becoming one and want to start a travel business, these are your starting points.

Going forward, it will take some hard work and dedication on your part. That said, being a business owner and making a living from doing what you love is extremely rewarding. Just know that laying down the ground correctly from the start is vital to make sure your vision becomes a sustainable reality.

With this in mind, we have put together some tips to help you get your feet off the ground.

Download FREE eBook

The Ultimate Guide To Scaling Your Tour Operator Business

A 150-page guide that covers everything from establishing a winning travel brand to delivering a market-leading service

How To Start A Travel Business

So, you are ready and motivated to take on the task of starting your own tour operator business. While it may not be an overnight success, the good news is that when you love what you do, putting in the hours feels less like a job. The first bit of advice we have for you is to write up a business plan.

Jot Down Your Business Plan

You have loads of enthusiasm, love meeting new people, and know which direction you want to take your company in. There is something specific that you are passionate about, for example, a cultural part of your city, and you are ready to share your knowledge of it with like-minded travelers.

It is now time to put that all on paper and figure out how you are going to make a living from operating tours. Your business plan should include:

• Your business objectives
• Details of your target customers
• Market research you have undertaken to show you have a viable proposition
• Proposed budget with an outline of income and expenses
• Ideas for company branding
• Projections of income
• Vision for the future

Overall this plan needs to provide a detailed outline of what it is you are going to do, what makes your offering unique so that customers will buy into it, how it is going to support you financially, as well as plans for the future.

Once everything is written down, show it to a friend, mentor, or someone you trust and ask for their advice. A person with the relevant experience can help you to set realistic goals for yourself, and ensure that there is nothing you have overlooked.

If you are going to approach investors to start a travel business, or build a partnership with anyone, they are going to want to see this document too.

Register Your Business With Local Authorities And Acquire Relevant Paperwork

As is always the case, expect there to be formal paperwork to fill out when you start a travel business.

To register your tour operator business, you will need a name. Think up something memorable and descriptive that potential clients can easily catch onto.

At this point, it is also a good idea to check if the web domain for your chosen name is available before going ahead with registration. This is because you are going to need a tour operator website for your business, and ideally want these to be the same.

Once registered, check in with your local tourism board to see which licenses you require for guiding travelers in your city or intended location. You will also need to acquire insurance that will cover you and your clients, and protect you from loss in the case of any accidents, unexpected events, damage to property, etc.

Create Your Tour Operator Website

Your website is a vital tool for giving your business an online presence and helping potential customers find you.

Using platforms such as WordPress, Weebly, Wix, or Squarespace, you can create a beautiful online window to your business. Let your potential customers know more about who you are, and what you can offer them. When browsing your site, they need to be reassured that you are a legitimate operator who is going to give them an amazing travel experience.

Setup Online Payment And Bookings Functionality

One of the most important tools needed to start a travel business is the ability to accept online payments and bookings, and manage them thereafter. Answering calls all day, sifting through paperwork, or operating in excel , is both timely and costly for you.

Rather use technology to help you with this – the right platform can boost your sales and automatically help you keep everything organized. For example, the WeTravel platform lets travel organizers accept online payments, create booking pages, embed book now buttons on their website, as well as manage bookings among many other things.

Tools like this automate tedious tasks and save your business precious time and resources. Clients are happier too as they can instantly make bookings and payments via a reliable online process, without having to pick up a phone or wait for you to confirm a reservation.

Put Together A Killer Tour Proposition

With a website and the ability to accept online payments and bookings in place, it is time to put together a killer tour proposition that is going to draw in clients.

Write up a tour description that highlights what is unique and special about your offering. Rather than just including the facts of your tour, create a narrative that is going to catch the reader’s eye. Travelers today want authenticity over run of the mill. Use images and videos to help get a story across, as this will give travelers a more immersive and visual idea of what to expect.

Devise A Marketing And Advertising Strategy

Just as you did with your business plan, jot down some ideas to market your tour operator business. There are various channels you can use to promote your products when you start a travel business.  Ideally, you want to keep track of and measure what does and doesn't produce results so as to be able to refine your approach when needed.

Begin with free avenues like your Google my business listing , creating a blog for your website, being active on social, utilizing email marketing , building up a travel partner network , etc.

If you are not seeing results, you may have to utilize paid channels as well. Ideas to try here include Facebook ads , Google AdWords , native advertising , etc.

Overall, experiment with various channels instead of just one. The more you promote your tour online, the better the likelihood of receiving a booking.

Give Your Tour A Test Run

It is not a bad idea to practice your tour a few times before launching it, just so that you can refine it before hosting paying guests if needed.

Invite some friends and family along to enjoy it with you, and see if they have any suggestions or comments to help you make it the best it can be!

New resources, straight to your inbox

We’re committed to your privacy. WeTravel uses the information you provide to us to contact you about our relevant content, products, and services. You may unsubscribe at any time.

About the author

Related Posts

Ota vs direct bookings: how to find the right balance, using down-time for strategic planning for your travel business, 5 reasons travel companies should work with freelancers (and how to begin).

How to Create a Business Plan for Your Tour or Travel Company

Do you have the next great tour business or travel company idea, but don’t know how to turn it into reality? You’ve found your niche and even come up with the best tour company name ever, but who do you tell and how do you get started? 

Table of Contents

Why your tour company needs a business plan.

We’ve previously covered topics on how to build your business, but one beneficial, even crucial, practice before you start is to write up a small business plan, one that compiles all the important aspects of your brand in a single 15-20 page document. Having a simple tourism business plan will help you plan for the future and even discover new things about your brand. 

Whether you’re a young entrepreneur building a tour startup in search of investors, or you’re an established tour operator looking to better understand your business and take it to the next level, a tour operator business plan can help guide you in the right direction. 

The Benefits of a Business Plan

As mentioned above, a tour company business plan is a document that outlines all the important aspects of your tour business. From your company goals and objectives, to your team members, and even your financial statements, a business plan is an effective tool for analyzing the ins and outs of your business.

It is the ultimate document used to convince investors and lenders to support your tour company. If you’re not looking for investors, writing a simple business plan for your tour business is still useful practice to align the leaders in your company, discover any shortcomings you might have missed, and plan for future growth.

How to Create a Tourism Business Plan

Now that you understand why having a small business plan is important, you’re probably wondering how to write one. You can use a business plan template, but it’s good to know why you’re including the information it asks for. It’s also acceptable to cater the content of your business plan to suit your unique company, but there are certain sections that investors expect to see, making them beneficial for you to include.

Here is what you need to include in your company’s business plan: 

Executive Summary

One of the most important sections of your business plan will be your executive summary, which serves as a high-level overview of your business, providing highlights of the fundamentals of your brand.

You’ll notice that most, if not all, of the topics covered within your executive summary will have their own dedicated section later on in your business plan. Because the executive summary is typically limited to a single page, leave the nitty-gritty details for their respective sections and use the executive summary as a way to simply introduce the topics to your reader. 

Executive summary topics:

• What is your business and what does it do? Do you host walking tours or provide bicycle rentals? Are you a tour guide or do you run a themed hotel experience? Give the reader a clear understanding of your business concept.
• What are your business goals and where do you envision your company in the future? How do you want to see your business grow?
• What makes your business different from your competitors? Whether you’re renting out a specific product like Segways or providing a service like guided tours, discuss what sets you apart from (and makes you better than) similar businesses in your industry.
• Who is your target audience? Who are you selling to and why are they interested?
• What is your marketing strategy? How do you plan to connect with and convert your customers?
• What is your current financial state? What is your projected financial state?
• What is the purpose of your business plan? Are you looking to secure investors and/or lenders? If so, how much are you asking for? You won’t need to discuss this if your business plan is strictly for your own planning purposes.
• Who is on your team, what are their job titles, and what do they do?

Again, like your business plan as a whole, not all of the topics listed above may be applicable to your business or your specific needs, so include only what you see fit. 

Company Overview

Your company overview should give your reader a detailed understanding of who you are and what you do. This includes technical topics like your business description, structure, and model, but should also cover the heart and soul of your company. That is, not only what you do, but why you do it. Developing your brand story is an important step to branding in the travel and tourism industry .

What is it about running a bungee jumping business, wine tasting tour, or spelunking course that inspires you? What is your company’s mission, vision, purpose, and USP (unique selling proposition)? What are your business goals and objectives, both short-term and long-term? Defining these aspects of your business helps readers, whether investors or your own employees, connect with your business at a deeper level.

Market Analysis

Another important section to include in your business plan for your tour company is a detailed market analysis. Even if you’re creating your business plan for internal use only, conducting market analysis and research is an excellent way to gauge your position within your industry, identify areas of concern, and create an effective marketing strategy using the 7 Ps of Travel and Tourism Marketing .

Things to consider in your market analysis include your target market and demographic, whether your marketing strategy is aligned with your target market, where you want to position yourself in the industry in relation to your competitors, and where you have room to improve. 

Try conducting a SWOT analysis for your tour business to explore your:

• Strengths – what do you do well?
• Weaknesses – what could you do better?
• Opportunities – are there gaps in your industry that you can take advantage of?
• Threats – what external factors affect your chance of success?

Team Summary

Use your team summary section to outline the leaders and key players in your tour company. An organizational chart works well to display this information and will usually explore members of management and other key personnel, their job titles, and their roles and responsibilities. Be sure to address how each person plays/will play an integral role in the success of your tour business or travel company.

Even if your business is very small or you run a sole proprietorship, it’s still worth including a team summary section so that potential investors can get to know who they’re investing in. A team summary adds a human element to your business plan and can help build your readers’ confidence by showing them that they can trust the leaders (even if it’s just you) to bring the company to success.

Financial Plan

Discuss your finances. What is your current financial state, what is your future financial projection, and how do you plan on getting there? If you’re looking for an investment, how much do you need? Include relevant documents, paperwork, statements, calculations, etc. to back up the numbers you’re sharing.

Marketing Plan

Needless to say, tour marketing is one of the most important aspects of your tour business.

Your business plan should have a detailed marketing strategy and promotional tactics, including pricing strategy, advertising channels, and innovative tactics. It should also leverage social media and other tourism-related technology to reach your target market effectively.

Your Business Plan Can Set You Up For Success

Investing the time up front to create a simple business plan for your tour company is worth the effort, and is crucial to becoming a successful tour operator. Going into anything without a plan can be risky, and starting a tour business is no different. 

Once you know how to write a business plan and understand the main components that make one effective, you’ll have an invaluable tool for securing investors and planning your company’s growth in the competitive tourism and travel industry. There’s really no better time than now, so go out there, write a killer business plan, and start the tour business of your dreams .

Written By | Edward Nieh

Edward Nieh is a freelance writer and copy editor working across multiple mediums for clients from various industries. He has a degree in creative writing with a focus on screenwriting for feature films.

Previous Article How Tourism's Recovery is Empowering Women Worldwide

Next Article 8 Revenue-Generating Tourism Rental Ideas for 2024 (Updated)

Related Posts

Articles , Increase Online Bookings , Tourism Trends

Set-jetting, forest bathing, and hush trips: 20 innovative tourism business ideas and trends for 2023.

Articles , Increase Online Bookings , Tourism Best Practices

Advantages and disadvantages of online travel agencies (otas).

Articles , Increase Online Bookings , Marketing Strategies

Your marketing mix: the 7 ps of travel and tourism marketing, search the blog.

• All Categories
• Tourism Best Practices

Most Popular Articles

• Set-jetting, Forest Bathing, and Hush Trips: 20 Innovative Tourism Business Ideas and Trends for 2023 121 views
• Advantages and Disadvantages of Online Travel Agencies (OTAs) 36 views
• Your Marketing Mix: the 7 Ps of Travel and Tourism Marketing 26 views
• How to Create a Business Plan for Your Tour or Travel Company 18 views
• How to Create and Promote Amazing Tour Packages 7 views

I have read and agree to the Rezgo Privacy Policy

GET STARTED

Sign-up for a free demo.

Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmo tempor incididunt ut labore et dolore magna aliqua.

Schedule A Demo

• Book a Consultation

• Trusted By 500+ Customers

No products in the cart.

• Search for:

How to Start a Tour Operator Business

Share with Friends

Last Updated on: December 27, 2023 by Joseph Muriithi

Starting a tour operator business can be an exciting and rewarding venture for those who have a passion for travel and a desire to share it with others. However, it is important to acknowledge that the tourism industry can be highly competitive and constantly evolving. In this blog post, we will delve into the essential steps you need to take to start your own tour operator business and thrive in this dynamic field.

Need a business plan written for starting your tour operator business? Get in touch here!

Research and Planning

The first step in starting a tour operator business is conducting extensive research and meticulous planning. Begin by identifying your target market and determining the types of tours you want to offer. Consider the interests and preferences of your potential customers, and tailor your tours accordingly. Research the destinations you wish to focus on and analyze the demand for tours in those areas. Additionally, delve into the legal and financial aspects of setting up a tour operator business, such as obtaining the necessary licenses and permits, securing appropriate insurance coverage, and developing a comprehensive pricing strategy. It’s also important to conduct a thorough analysis of your competitors to identify gaps in the market and find ways to differentiate your business.

Offering Various Types of Tours

When starting a tour operator business, you have the flexibility to offer various types of tours based on the interests and preferences of your target market. Here are some popular types of tours that you can consider:

• Cultural Tours: These tours focus on immersing travelers in the local culture and traditions of a destination. They often include visits to historical sites, museums, and cultural events, providing participants with a deeper understanding of the local heritage.
• Adventure Tours: Adventure tours cater to thrill-seekers and outdoor enthusiasts. They offer activities such as hiking, mountain biking, kayaking, or wildlife safari expeditions. These tours aim to provide unique and adrenaline-pumping experiences in nature.
• Culinary Tours: For food lovers, culinary tours offer the opportunity to explore a destination’s cuisine and culinary traditions. These tours may include cooking classes, food tastings, visits to local markets, and dining experiences at renowned restaurants.
• Wildlife Tours: Wildlife tours allow travelers to observe and learn about exotic flora and fauna in their natural habitats. They often include visits to national parks, wildlife reserves, and guided safaris, providing opportunities to see rare and endangered species.
• Historical Tours: Historical tours focus on the rich history and heritage of a destination. They include visits to historical landmarks, ancient ruins, and architectural wonders. These tours offer insights into the past and help participants appreciate the cultural significance of a place.
• Educational Tours: Educational tours cater to students, scholars, and lifelong learners. They provide opportunities to engage in educational activities, such as attending lectures, participating in workshops, and visiting educational institutions or research centers.
• Sustainable and Eco-Friendly Tours: With the rising awareness of sustainability, eco-friendly tours have gained popularity. These tours promote responsible travel practices and focus on minimizing the environmental impact. They often include activities such as eco-trekking, volunteering in conservation projects, or staying in eco-lodges.
• Special Interest Tours: Special interest tours cater to niche markets and specific hobbies or interests. They can be tailored to photography enthusiasts, art lovers, wine connoisseurs, or sports enthusiasts. These tours offer unique experiences aligned with the participants’ passions.

Remember to thoroughly research your target market and consider their preferences when selecting the types of tours to offer. You can also create customized tours by combining elements from different categories to cater to specific customer needs and preferences.

By diversifying your tour offerings, you can attract a wider range of customers and differentiate your business from competitors.

Start-Up Costs

Starting a tour operator business requires a financial investment to cover various start-up costs. The specific expenses can vary depending on factors such as the size and scope of your business, the destinations you plan to operate in, and the types of tours you offer. Here is a table outlining the average range of start-up costs for a tour operator business:

It’s important to note that these figures are estimates and can vary based on individual circumstances. It is recommended to create a detailed budget and consider seeking professional advice to accurately determine your start-up costs.

Building Relationships and Networks

Establishing strong relationships and networks within the travel industry is crucial for the success of your tour operator business. Connect with local suppliers, accommodation providers, transportation companies, and other relevant stakeholders to build a reliable network of contacts. Attend travel trade shows, conferences, and events to meet potential partners and gain insights into new destinations and tour packages. Collaborating with trusted suppliers not only ensures the quality of your tours, but also enables you to negotiate better deals and offer competitive prices to your customers. Additionally, consider joining professional associations and organizations related to the tourism industry to further expand your network and gain access to valuable resources and industry expertise. Building strong relationships with your customers is just as important as building relationships with other businesses. Foster open communication, provide personalized recommendations, and go the extra mile to create memorable experiences for your customers.

Proven Marketing Techniques

Effective marketing and promotion are essential for attracting customers and differentiating your tour operator business from competitors. Here are some proven marketing techniques that can be helpful:

• Engage in Content Marketing: Create valuable and informative content related to travel and the destinations you offer tours to. Publish blog posts, articles, or videos that provide insights, tips, and recommendations for travelers. This positions you as an expert in the industry and helps build credibility and trust with potential customers.
• Leverage Social Media: Utilize social media platforms to showcase your tours, engage with your audience, and build a community of travel enthusiasts. Share captivating visuals, travel stories, and behind-the-scenes content to generate interest and excitement about your offerings. Encourage user-generated content by organizing photo contests or using dedicated hashtags for customers to share their experiences.
• Collaborate with Influencers: Partner with travel influencers or bloggers who have a significant following and influence in your target market. They can help promote your tours, share their experiences, and reach a wider audience. Choose influencers whose values align with your brand and whose audience matches your target market.
• Offer Referral Programs: Incentivize your existing customers to refer your tours to their friends and family by offering referral discounts or rewards. Word-of-mouth recommendations are powerful in the travel industry, and this strategy can help expand your customer base.
• Utilize Email Marketing: Build an email list of interested prospects and past customers. Send regular newsletters or email campaigns with updates on new tours, exclusive discounts, and travel tips. Personalize your emails to make them more engaging and relevant to each recipient.
• Collaborate with Local Businesses: Form partnerships with local businesses in your destination areas. For example, collaborate with restaurants, hotels, or activity providers to offer package deals or cross-promotions. This can help attract more customers and provide added value to your tours.

Remember to monitor the effectiveness of your marketing strategies and make adjustments as needed. Regularly analyze data and metrics to understand what resonates with your audience and drives bookings.

Required and Essential Skills and Talents

To successfully operate a tour operator business, certain skills and talents are necessary. Here are some of the key ones:

• Strong Communication: Excellent communication skills are essential for effectively interacting with customers, suppliers, and other stakeholders. Clear and concise communication helps build trust and ensures that everyone involved is on the same page.
• Customer Service: Providing exceptional customer service is crucial for creating a positive experience and building customer loyalty. Being able to anticipate and fulfill customer needs, handle inquiries and complaints, and go the extra mile to exceed expectations are vital skills.
• Organizational Abilities: Tour operators need to be highly organized to handle multiple tours, bookings, and logistics simultaneously. Planning and coordinating different aspects of tours, such as transportation, accommodations, and activities, require efficient organizational skills.
• Knowledge of Destinations: Having a deep understanding of the destinations you offer tours to is essential. This includes knowledge of local attractions, landmarks, culture, history, and any specific requirements or regulations.
• Sales and Negotiation: Being able to effectively sell your tours and negotiate with suppliers and partners is important for securing deals and providing competitive prices to your customers. Sales and negotiation skills help in building profitable partnerships and maximizing revenue.
• Adaptability and Problem-Solving: The tourism industry is dynamic, and unexpected challenges can arise. Being able to adapt to changing circumstances and finding creative solutions to problems is crucial for ensuring smooth operations and maintaining customer satisfaction.
• Passion for Travel: A genuine passion for travel and a love for exploring new destinations is fundamental to running a tour operator business. This passion will drive your dedication, inspire your customers, and enable you to curate unique and memorable experiences.

Remember that these skills can be developed and improved over time through experience, training, and continuous learning.

Providing Exceptional Customer Service

Once you have successfully launched your tour operator business, it is crucial to focus on providing exceptional customer service. Satisfied customers not only become repeat clients but also act as brand ambassadors, spreading positive word-of-mouth about your business. To accomplish this, consider the following tips:

• Train your staff: Invest in comprehensive training programs to ensure that your staff members are knowledgeable, friendly, and capable of delivering excellent customer service. They should be well-versed in the details of your tours, destinations, and any potential challenges that may arise during the trip.
• Prompt communication: Respond to customer inquiries and concerns promptly and in a professional manner. Address any issues that may arise during the tour efficiently and effectively. Make your customers feel heard, valued, and appreciated.
• Personalize the experience: Tailor your tours to meet the unique needs and preferences of your customers. Pay attention to their interests and provide personalized recommendations and suggestions. This personal touch will enhance their overall experience and create a lasting impression.
• Go above and beyond: Surprise your customers with unexpected gestures that exceed their expectations. Consider small gifts, personalized notes, or exclusive experiences. These thoughtful touches can leave a lasting impression and make your customers feel special and valued.
• Gather feedback: Regularly collect feedback from your customers to identify areas for improvement and address any concerns. This feedback loop is essential for enhancing your offerings and continually improving your customer service. Consider implementing customer satisfaction surveys or providing a platform for customers to share their experiences. Actively respond to feedback and incorporate suggestions to demonstrate your commitment to continuous improvement.

Starting a tour operator business requires careful planning, thorough research, building strong networks, effective marketing, and delivering exceptional customer service. By following the steps outlined in this blog post and continuously adapting to changing market trends and customer preferences, you can establish a successful and profitable tour operator business. Remember to stay passionate about travel, provide unique and immersive experiences, and prioritize the satisfaction of your customers. With dedication, perseverance, and a customer-centric approach, you can embark on a fulfilling journey to becoming a successful tour operator.

Fill this form and we will be in touch to discuss your needs. Our team is comprised of experienced business planners bring a wealth of knowledge and expertise enabling them to meticulously analyze business models, competitive landscape, product positioning, and target market to develop a compelling Business Plan that resonates with your target audience, investors/ funders and stakeholders.

Maybe you want to read

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Save my name, email, and website in this browser for the next time I comment.

• Privacy Policy
• Terms and Conditions
• Frequently Asked Questions
• Jobs & Careers
• Start-Up Business Plans
• Investor Business Plans
• Expansion Business Plans
• Non-Profit & NGO Business Plans
• Editing Business Plans
• Pitch Decks & Presentations
• Business Plan Samples

How to make a tour business plan?

Table of Contents

How to make a tour business plan successful? Do you want to be the next big tour company, giving people from all walks of life fun and educational trips? If you want your tour business to be successful, you’ll need a specific plan. A good business plan will explain your company’s goals, direction, and strategy. It’s also a must-have if you want to find partners or get money for your business. But don’t worry! Putting together a good and complete tour business plan doesn’t have to be hard. All it takes is some basic planning and study. Here’s everything that should be in the best business plan for a tour company!

A tour operator business plan is, in the simplest words, a long document that gives an overview of your company and how it works. It has details about your target market, the services you offer, your marketing plans, your financial forecasts, and more. The plan’s goal is to give you a road map for your business and help you make choices about its future that are based on facts.

Executive Summary

Overview of the tour business.

The first section of a tour operator business plan should provide an overview of the company. This includes information about the type of tours offered, target market, location(s), and any unique selling points. It is also important to include details about the company’s legal structure and ownership.

Mission statement

Your mission statement should sum up your vision, values, and goals in a few sentences and help you make choices. At its heart, it should say what you want to accomplish with your tour operator business and how you will do it. It should be like a promise of what you want to do with your business.

Key objectives

The key objectives section should outline specific goals that the company aims to achieve in the short-term (1-2 years) and long-term (3-5 years). These objectives should be specific, measurable, achievable, relevant, and time-bound (SMART).

Business Description

Description of the tour business.

To ensure success and longevity, it is important to create a comprehensive tour business plan that covers all facets of the operation. This should provide an overview of:

• Customized Tours : The Tour Business offers personalized trips tailored to each customer’s interests and goals.
• Professional Guide s: Experienced guides provide insight and information about the different cultures, landscapes, and attractions experienced on the tour.
• All-Inclusive : All meals, accommodations, and transportation are included in the tour package.
• Educational : Tours are designed to provide a unique and educational experience to travelers of all backgrounds.
• Affordable: By providing affordable prices and group discounts, the tour operator aims to make tours accessible to everyone.

Market analysis

Obtaining a detailed market analysis is essential when building a tour company plan. It consists of:

• Target Market : Identifying the size of the market, the type of customers, and their needs and preferences.
• Demographics : Analyzing the geographic, age, gender, income, and other demographic characteristics of the target market.
• Competition : Assessing the competitive landscape and the existing tour offerings. This involves researching the types of tours that are currently available, the price points, and the quality of service.

Target audience

Think about who you want to go on your tours, like families, couples, business tourists, people who want to try new things, or older people.

If you want to reach action seekers, for example, you should know that they want both mental and physical challenges. So, make your tours fit their unique tastes and interests and give them unforgettable experiences that they will remember and excitedly tell their friends about.

Competitive analysis

Competitor analysis is critical when evaluating any industry and should form the fundamental structure of your business plan. Here are the key points to consider:

• Identify who your competitors are and what they offer
• Evaluate your competitors’ strengths and weaknesses
• Monitor your competitors’ performance by tracking customer reviews, website traffic, and advertising strategies.
• Compare your tour business to your competitors to determine where you stand in the industry.
• Identify any opportunities or threats posed by your competitors in the marketplace.

Services Offered

Detailed description of the tours offered.

When creating your tour business plan, one of the most important components is a detailed description of the tours you intend to offer.

• Sightseeing Tours : These are perfect for visitors who want to explore a city’s top attractions.
• Cultural Tours : These tours help visitors learn more about the local culture.
• Adventure Tours : These tours are great for thrill-seekers who want to explore the outdoors, like biking tours, kayaking, climbing expeditions, and more.
• Nature Tours: For those who want to get up close and personal with nature, offer eco-tours to nearby parks and nature reserves.
• Educational Tours : Aimed at students and teachers, these tours are designed to provide an educational experience like history and art-focused tours.

Tour itineraries

Think about what the customer wants and how they like to spend their time. Include unique and educational activities that show off the history, culture, and draws of each place. Make sure to give them some free time to relax and explore on their own. A well-planned tour will not only bring in people but also make sure they have an experience they will never forget.

It’s important to find a price for your tour packages that is both affordable and profitable . You want to have low prices to attract customers, but you also need to make sure that your prices cover all of your costs and make you a profit.

For example, if you offer a 7-day tour package to a famous destination, make sure to include all the costs for transportation, lodging, meals, activities, and tour guides. Then, add your targeted profit margin to figure out how much the package should cost in total. Remember that reasonable pricing can set your tour company apart from the competition, but it’s important to keep your business going and making money.

Marketing and Sales Strategy

Marketing channels.

There are a variety of ways to reach potential customers, including traditional and digital channels

• Traditional marketing: This could include print advertising, TV/radio spots, and direct mail campaigns.
• Digital marketing: may include search engine optimization (SEO), content marketing, email campaigns, and social media (Facebook, Instagram, TikTok) campaigns.
• Events: Events like trade shows, conferences, and seminars can be great ways to introduce potential customers to your tour business.
• Partner programs: Partnering with other businesses in related industries can be a good way to reach new customers.
• Word of mouth: Encourage customers to share their experiences with your tour company This could involve offering discounts or promotions for referrals.

P/S: Looking for a travel theme for your WordPress website ? Check out Travelerwp! Our user-friendly theme is perfect for travel bloggers, tour operators, and agencies. To make the most of Travelerwp, invest in digital marketing strategies like SEO, content and social media campaigns. Let’s take your travel website to the next level with Travelerwp and effective digital marketing. 

Sale strategies

When making a sales plan for your tour business plan, you should think about who your target market is.

For example, if you’re trying to attract families, you might need to change your prices and tour packages to accommodate bigger groups. Also, think about other groups that might be interested in your services, such as luxury tourists, seniors, or people from other countries.

By knowing the different kinds of people who are likely to buy tour packages, you can make a good sales plan that will bring in more customers. You can also use special deals or discounts to get people to book with your company, and you can offer loyalty benefits to get people to come back.

Promotion and advertising

Some common ways to market your tour business are:

• Using social media like Tiktok, Instagram, Facebook, and Twitter can help you reach a larger audience and show off your tours through visually appealing material. Share photos and videos of your tours, interact with your fans, and use the right hashtags to get more people to see them.
• Pay-per-click (PPC) advertising lets you put ads on search engines and social media sites and only pay when someone clicks on your ad. This can be an inexpensive way to reach people who are constantly looking for tours.
• By going to trade shows and other events , you can meet people in the tourism industry and promote your tours to travel agents and other possible customers. To get people to come, offer deals or discounts for plans made at the event.
• Working with influencers can help you reach new people and give your brand more respect. Invite people who have a lot of followers to go on your tours and push them to tell their followers about it.

Management and Organization

Company structure and leadership.

To run operations well, it is important to plan out who will lead the business and how it will be set up. The framework of a company may include things like:

• Individual roles and job descriptions : Tour guide, customer service representative, marketing expert, administrative staff, etc.
• Hierarchical levels of employees : Manager, boss, team leader, employees
• Division of labor across departments: Teams for sales, management, marketing, and customer service.
• Other important roles of management in the tour company business plan: Financial management, risk management, strategy planning
• Expertise and skills of the founders : marketing, operations, money, customer service, and language skills.

Lastly, founders should give all the information that is needed about their areas of knowledge and skill sets so that decisions can be made based on the right skills.

Roles and responsibilities of team members

Everyone in the company should know who is in charge of what parts of the business. Here are some of their most important jobs and tasks:

• Creating a general plan for the tour operator business, such as doing market research, analyzing trends, and figuring out the long-term goals of the business.
• Doing research and finding possible destinations. For example, you could look at travel trends, measure market demand, and work with local partners to find the best places for the tours.
• Taking care of customer service: They will be in charge of handling customer questions and issues, helping customers, and making sure customers are happy.
• Organizing and booking trip plans like flights, hotels, and transportation, as well as working with local partners and travel providers to make sure the tours run smoothly.
• Putting together interesting and useful tour schedules for customers. For example, working with local partners to create experiences for travelers that are special and real.
• Marketing and advertising tours to people who might want to go on them. Getting the word out about the tours and bringing in new customers by using social media, email marketing, and other methods.
• Taking care of the business’s finances, such as planning, forecasting, and reporting on finances.

Personnel plan and hiring strategy

This will explain the business’s hiring needs and how you plan to find and hire employees. A good hiring process is important if you want to find suitable people quickly and make sure your current employees feel supported and valued. Think about the skills you need for each job. For example, tour guides need to be good with people and organized, and budget planners need to be good with money.

Also, think about ways to set up feedback methods and in-house training to keep the team’s morale high.

For example, giving workers regular feedback on their performance and giving them chances to improve their skills through training and development programs can help keep them engaged and motivated.

Financial Plan

Revenue projections

Accurate forecasts of income should be based on research, and they should include both short-term and long-term plans . It is very important to find ways to make money, such as selling tickets, getting sponsors, or selling things. Estimates of income should be changed all the time to make sure they are accurate and that goals are met.

Cost projections

It is important to write down all of the expected costs, from the early costs of starting up to the ongoing costs of running the business. The cost projection should include exact numbers and estimates to give a full picture. Also, you should predict and plan for ongoing costs like employee salaries and maintenance. To make sure the company does well, it needs a fair estimate of these costs.

Break-even analysis

It is used to figure out how much money the business needs to make in order to cover all of its costs. For example, if a tour business has fixed costs of $20,000 and variable costs of $10,000 per tour, it would take $30,000 in sales for the company to break even. This means that the business needs to make at least $30,000 in sales to pay for all the costs of running the tour.

Funding requirements

Without enough money, it will be hard for a business to get off the ground. So, it’s important to make a budget that is sensible and includes all the money you’ll need. This could include costs for starting up and running the business.

Also, it’s important to think about how much any licenses, permits, or fees will cost. Lastly, don’t forget to figure out how much money you’ll need to cover costs until your tour business can make money on its own.

Risk Analysis

Potential risks and challenges.

When creating your tour business plan, there are several potential risks and challenges to consider:

• Weather conditions and natural disasters that could cause disruptions in travel plans
• Unexpected changes in local laws and regulations that could affect the business
• Unforeseen costs associated with unexpected delays and cancellations
• Legal liability in case of accidents or injuries
• Liability for lost or damaged property
• Competitors offering similar tours at lower prices
• Unforeseen changes in customer behavior that could affect demand for tours
• Lack of knowledge of local cultures and languages that could negatively affect customer service
• Difficulty in obtaining required permits and visas for travelers

Contingency plans

Taking a proactive approach is important. Your plan should try to reduce or get rid of risks and offer answers in case something goes wrong.

• Think about what could happen if a worker gets sick or needs to take time off without warning.
• Think about how changing rules will affect profits;
• Outline possible options if clients cancel their tours;
• Make plans for keeping money coming in from other sources during times of trouble.

By now, you’ve obtained a better understanding of what goes into creating a successful business. Having identified your target activities, costs, marketing plans and budget allocation, as well as recognizing potential roadblocks along the way – you have taken an impressive step in developing your tour company! Creating a tour business plan is a project that requires time, research and organization to design. With this well thought out plan in place however, you have laid yourself a strong foundation for success.

Unleash The Full Potential of Your Travel Agency Website with Traveler

• NEW VERSION 3.1.1 – Upsell and Trust Badges For Partner by traveler 16/11/2023
• How to Increase Bookings for Your B&B? by traveler 13/09/2023
• NEW VERSION 3.1.0 – New Update Solo Tour Demo, Mega Menu, Upsell Power and Trust Badges by traveler 11/09/2023
• How To Optimize Blog Content for Your Bed & Breakfast Business? by traveler 10/09/2023
• Top 5 Ways to Advertise Your Bed and Breakfast Business by traveler 10/09/2023

Related Posts

How to increase food & beverage revenue in your hotel.

How To Write A Perfect Travel Guide ?

Texting vs Calling: Which is Better for travel agency website?

• Privacy Policy
• Support Policy
• Refund policy
• Term and Conditions

Traveler design by ShineCommerce © All rights reserved

How To Write A Great Business Plan For A Tour Operator

The first step for any person starting a tour operator business is to sit down and write a business plan..

A business plan for a tour operator shouldn’t just be written to give to banks, consultants, or compliance solutions such as Protected Trust Services. The most important reason to write a business plan is for you. A great business plan will allow you to place your ideas on paper and allow you to reflect and develop different ideas and strategies for your tour operator business to be a great success.

Don’t be intimidated by a business plan for your tour operator business.

We understand that it may seem very formal and intimidating to write a business plan. But, it shouldn’t be, and absolutely doesn’t need to be. This one document is quite simply what it says on the tin, so to speak, – A plan for you and for your business.

A great business plan is always short, concise and to the point.

The true key is to write to your audience – make sure whomever is reading this business plan will fully understand your business plan.

What needs to be included in a business plan when starting up a travel business.

The executive summary.

This is a concise document summarising what is in each section of the business plan.

Business Overview

This area describes your business, point to include:

Business formation history

The type of business

The legal structure – are you a Limited Company?

Location of the business

Means of doing business – are you internet based, high street based etc

Operations Plan

This area should fully describe how your business will work. How will the business be set up, who will be responsible for different tasks, when will different tasks be implemented and completed – In essence, how will your tour operator business operate?

Market Analysis

Arguably this is one of the most important elements. It is imperative that you understand your competition and your place in the market.

The major questions to answer within this area:

• Who are your major competitors? Include a little on their history and their success.
• How much are your competitors charging and how will you price in relation?
• How much demand is there for your product?
• Market demand and consumer behaviour towards the products you intend to offer. Who is your target market?

Team and Management

You may have a great idea but the team who will drive your company are the key to true success. In this section describe your team, their roles and also who you will need to hire to fully support an excellent execution of your product.

How are you going to turn your ideas into a phenomenal tour operator business? Within this area you should fully cover your marketing plan, sales plan and also show how you going to measure your success.

Financial Plan

This area is your eyes! Your financial forecast is incredibly important for any startup tour operator business . Every penny going in and every penny going out should be included. This will allow you to see how to price effectively, marketing budgets, cost of sales, staff costs and every element of monies concerning your business.

We have an ideal financial forecast template for travel businesses and also a very simple business plan template for you to follow. Do email us at [email protected] or call 0207 190 9988 and our consultants will always be more than happy to support you. Our advice is completely complimentary.

For a solid understanding of how to write a business plan do take a look at the following link which is full of extensive explanations that we feel will really help you. How to write a business plan.

If you’d like to discuss this further, please get in contact with one of Protected Trust Services’ (PTS) lovely staff members by calling 0207 190 9988 . Or, you can visit our member support and travel trust account pages to learn more about how we protect you.

Share This Story, Choose Your Platform!

February 27, 2024

Why Joining a Consortium is Important for Your Travel Business

In the ever-evolving landscape of the UK travel industry, navigating challenges and staying competitive requires collaborative efforts with like-minded [...]

February 9, 2024

Top 5 Things You Need to Know As a Start-up Travel Business

Embarking on the journey to a start-up travel business can be an exhilarating yet challenging endeavour. Whether you're launching [...]

January 9, 2024

Embracing Responsible and Sustainable Travel in 2024

In recent years, the call for sustainable travel from industry and consumers alike has grown significantly, alongside the call [...]

Want to learn more? The PTS team are only a phone call away.

We are always available for a welcome consultation to discuss any questions or queries

307-315 Holdenhurst Road, Bournemouth, Dorset, BH8 8BX

020 7190 9988

[email protected]

Member Types Travel Agent Tour Operator Homeworker Consortia Sports Specialist Cruise Specialist Flight Agents

Member Benefits

Company Press Partners Suppliers Login

© Copyright 2024 Protected Trust Services | Company No. 06181223

Sitemap | Privacy Policy

• Tracking Cookies

Functional Cookies

• Google Maps

Necessary Cookies

• Travel, Tourism & Hospitality ›

Leisure Travel

Industry-specific and extensively researched technical data (partially from exclusive partnerships). A paid subscription is required for full access.

Market cap of leading tour operators worldwide 2023

As of September 2023, German-based multinational group TUI AG was the tour operator company with the highest market cap worldwide. As of that month, TUI's market cap exceeded three billion U.S. dollars. UK-based tour operator Jet2 plc and Australian company Flight Centre Travel Group Limited followed in the ranking, with a market cap of 2.96 billion and 2.8 billion U.S. dollars, respectively. Meanwhile, Booking Holdings recorded the highest market cap of leading online travel companies worldwide as of September 2023.

Market cap of leading travel agency and tour operator companies worldwide as of September 2023 (in million U.S. dollars)

• Immediate access to 1m+ statistics
• Incl. source references
• Download as PNG, PDF, XLS, PPT

Additional Information

Show sources information Show publisher information Use Ask Statista Research Service

September 2023

as of September 18, 2023

Other statistics on the topic

• Number of TUI AG employees worldwide 2011-2023, by region
• TUI UK Limited revenue 2015-2022
• Turnover of Hays Travel Limited in the UK 2008-2023
• Number of retail travel agents in the UK 2023, by retailer

To download this statistic in XLS format you need a Statista Account

To download this statistic in PNG format you need a Statista Account

To download this statistic in PDF format you need a Statista Account

To download this statistic in PPT format you need a Statista Account

As a Premium user you get access to the detailed source references and background information about this statistic.

As a Premium user you get access to background information and details about the release of this statistic.

As soon as this statistic is updated, you will immediately be notified via e-mail.

… to incorporate the statistic into your presentation at any time.

You need at least a Starter Account to use this feature.

• Immediate access to statistics, forecasts & reports
• Usage and publication rights
• Download in various formats

You only have access to basic statistics. This statistic is not included in your account.

• Instant access  to 1m statistics
• Download  in XLS, PDF & PNG format
• Detailed  references

Business Solutions including all features.

Statistics on " Travel agencies in the United Kingdom (UK) "

• Annual output of travel agencies and tour operators in the UK 2010-2022
• Monthly output growth of travel agencies and tour operators in the UK 2019-2023
• Market size of the travel agency industry in the UK 2013-2023
• Revenue of travel agencies in the UK 2008-2021
• Gross value added (GVA): travel agencies in the UK 2008-2021
• Travel agency, tour operator, and reservation services employment in the UK 2015-2021
• Number of businesses in the travel agency industry in the UK 2023, by employment size
• Number of businesses in the travel agency industry in the UK 2013-2023
• Number of retail travel agents in the UK 2019-2023
• Leading travel agents ranked by number of outlets in the UK 2024
• Most popular amusement, cruise, and travel brands in the UK Q4 2023
• TUI UK Limited net income 2015-2022
• Market cap of leading online travel companies worldwide 2023
• Leading online travel companies worldwide 2022-2023, by EV/EBITDA
• Key information on the online travel agency industry in the UK January 2023
• Revenue of On the Beach Group plc in the UK 2012-2022, by segment
• Net income of On the Beach in the UK 2014-2022
• Revenue of Tripadvisor worldwide 2012-2023, by region
• Lastminute.com Group revenue worldwide 2019-2022, by country
• Skyscanner annual revenue 2011-2021
• Preferred methods to book the next overseas holiday in the UK October 2022
• Preferred methods to book the next overseas holiday in the UK October 2022, by age
• Leading holiday travel provider websites in the UK Q4 2023, by share of voice
• Hotel / private accommodation online bookings by brand in the UK 2023
• Package holiday bookings by brand in the UK 2023

Other statistics that may interest you Travel agencies in the United Kingdom (UK)

• Premium Statistic Annual output of travel agencies and tour operators in the UK 2010-2022
• Premium Statistic Monthly output growth of travel agencies and tour operators in the UK 2019-2023
• Premium Statistic Market size of the travel agency industry in the UK 2013-2023
• Premium Statistic Revenue of travel agencies in the UK 2008-2021
• Premium Statistic Gross value added (GVA): travel agencies in the UK 2008-2021
• Premium Statistic Travel agency, tour operator, and reservation services employment in the UK 2015-2021
• Basic Statistic Number of businesses in the travel agency industry in the UK 2023, by employment size
• Premium Statistic Number of businesses in the travel agency industry in the UK 2013-2023

Travel agents

• Premium Statistic Number of retail travel agents in the UK 2019-2023
• Premium Statistic Number of retail travel agents in the UK 2023, by retailer
• Premium Statistic Leading travel agents ranked by number of outlets in the UK 2024
• Basic Statistic Most popular amusement, cruise, and travel brands in the UK Q4 2023
• Premium Statistic TUI UK Limited revenue 2015-2022
• Premium Statistic TUI UK Limited net income 2015-2022
• Basic Statistic Number of TUI AG employees worldwide 2011-2023, by region
• Premium Statistic Turnover of Hays Travel Limited in the UK 2008-2023

Online travel agencies

• Basic Statistic Market cap of leading online travel companies worldwide 2023
• Premium Statistic Leading online travel companies worldwide 2022-2023, by EV/EBITDA
• Premium Statistic Key information on the online travel agency industry in the UK January 2023
• Premium Statistic Revenue of On the Beach Group plc in the UK 2012-2022, by segment
• Premium Statistic Net income of On the Beach in the UK 2014-2022
• Premium Statistic Revenue of Tripadvisor worldwide 2012-2023, by region
• Premium Statistic Lastminute.com Group revenue worldwide 2019-2022, by country
• Premium Statistic Skyscanner annual revenue 2011-2021

Booking behavior

• Premium Statistic Preferred methods to book the next overseas holiday in the UK October 2022
• Premium Statistic Preferred methods to book the next overseas holiday in the UK October 2022, by age
• Premium Statistic Leading holiday travel provider websites in the UK Q4 2023, by share of voice
• Premium Statistic Hotel / private accommodation online bookings by brand in the UK 2023
• Premium Statistic Package holiday bookings by brand in the UK 2023

Further Content: You might find this interesting as well