A fragment of the book by Julia and George Mokhov “Travel agency: where to start, how to succeed” by the publishing house “Peter. Published with permission from the publisher
Do I have enough money to open a travel agency? Risk the last savings or not? How long does it take to pay off investments in the travel industry? How much will I earn? Create your own travel agency or buy ready-made? Or join a franchise network? Is it difficult to make a business plan for travel agencies? What are the requirements for a travel agency office? How many employees will have to be hired? Where to look for frames? Which tour operators to work with? Which countries to sell tours to? Limit yourself to a narrow specialization or sell everything? Open air and railway ticket offices immediately or later? How to attract customers? How much to spend on advertising? Do tourists have a lot of complaints? And still…
TO OPEN ME TO A TOURISM OR NO?!.
We will try to dispel all your fears and support the desire to open a travel agency. But we guarantee: everything that is written here is a real reflection of the state of things in the tourism business, without exaggeration and omissions.
Development of a business plan for a travel company.
We offer for familiarization a scheme that reflects the main parameters and cost items that can be used when compiling a business plan for a travel company (agency).
1. The concept of a travel agency
Kind of activity:
- • travel agent;
- • tour operator;
- • mixed activities.
- sale of air and railway tickets;
- • transfer services, limousine service;
- • visa processing;
- • insurance;
- • preparation of documents for registration of passports;
- • services of an individual guide accompanying;
- • translation services;
- • sale of guidebooks;
- • sale of travel related products;
- • implementation of gift certificates;
- • reservation and reservation of tables in restaurants, tickets for events;
- • rental of tourist equipment;
- • Car rent.
- • by type of tourist destination;
- • at the cost of tours;
- • by country;
- • by type of tourism.
2. Organizational plan
Travel agency office location:
- • Centre;
- • outskirts;
- • distance from the metro.
Office Status:
- • rent;
- • own room;
- • other.
Type of office:
- • showcase office on the first line;
- • in a business center;
- • in the office building;
- • in the mall;
- • on the ground floor of a residential building.
Office size:
- two jobs; triple jobs;
- • one-room, two-room, three-room, more than three rooms;
- • free planning (number of meters).
Office furniture (costing):
tables with reception places, chairs for employees, chairs for visitors, bedside tables with keys, a rack for catalogs, a wardrobe, hangers, a hanger,
a board for information and special offers, a sofa for visitors, a coffee table, a safe, blinds, a mirror, dishes (for employees, for receiving visitors), frames for photographs and permits, plants.
Office equipment (costing):
computers, telephones, fax, printers (2 pcs. minimum), scanner, copier, TV, CD and DVD player for showing films about countries and resorts, air conditioning, water cooler, first aid kit, clock, stationery, wall map of the world or globe.
Design project office:
- • zoning of space;
- • room design according to the concept of a travel company;
- • floor plan.
3. Competitive environment
Competitors in selected tourist destinations.
Competitors in radius:
- • building;
- • district;
- • cities;
- • countries (if necessary).
Advantageous competitive qualities of the future travel agency.
4. Production plan
Staff:
- • staffing table;
- • payroll policy;
- • training.
Technology sales tours:
- • search and booking tours;
- • scheme of interaction with partners;
- • registration of payment for tours;
- • workflow;
- • delivery and issuance of documents.
Range of travel agency services:
- • by seasons;
- • in the directions;
- • by country;
- • by price;
- • by target audience.
5. Marketing and advertising plan
Travel agency pricing policy.
The name of the travel agency, the advertising story of creation (legend).
Features sold tours.
Corporate identity development:
- • contractor;
- • list of required positions;
- • cost and terms of work.
- • concept and functions of the site;
- • contractor;
- • cost and terms of work.
Office design for sales.
Outdoor advertising:
- • signboard;
- • pillar;
- • pointers;
- • a tablet with the operating mode and company details.
Printing products (description, circulation, contractor, production time, cost):
- • booklet;
- • Business Cards;
- • letterhead.
Advertising Plan:
- • budget for 3 months, 6 months, 12 months;
- • advertising media.
6. Legal aspects of opening a travel company
Legal form of a legal entity.
Tax system.
Registration of a lease.
Necessary permits depending on the type of tourism activity.
Registration of a trademark.
Purchase and registration of cash control equipment (if necessary).
Ordering strict reporting forms “Tourist voucher”.
Conducting accounting (independently, with the assistance of an accountant, consulting company).
Legal support of activity
7. Financial plan
Sources of funds.
Amount and term of investment.
Initial Cost Plan.
Fixed cost plan.
Income plan.
Payback plan.
8. Conclusion
Future development plan.
Findings.
9.Apps
Estimated costs of creating a travel agency in Moscow,
one-time:
Registration of a legal entity and execution of the necessary permits for travel agent activities: 20, 000–25, 000
Furniture and office preparation for sales: 50, 000–100, 000
Office equipment and communications 100 000–150 000
Corporate identity development 15, 000–25, 000
Website development and registration 20, 000–45, 000
Registration of a trademark 50 000-100 000
Employee training 5, 000–30, 000
Additional possible costs
- Purchase of a ready-made tourism business, payment of legal services to support the transaction
- Payment of services for the selection of premises
- Payment for recruitment services
- Payment for connection services
- Internet and additional telephone lines
- Payment for consulting services
The cost of tours, even in one category of hotels, is different, and the choice of tourists does not always fall at a 3 * level of accommodation. Therefore, in order to make an income plan, it is necessary to analyze the season prices for selected destinations with data from 3 *, 4 *, 5 * hotels and compare with the expected amount of income
An approximate plan of the monthly expenses of a travel company in Moscow (rubles)
Office and infrastructure
Room rental 25 m2 - 50 000
Communication Services 3000
Internet 5000
Water (cooler) 500
Stationery 2500
Other administrative expenses 6, 000
- Director 35, 000 +%
- Manager 19, 000 +%
- Manager 16, 000 +%
- Secretary Manager 12, 000 +%
- Courier 16, 000
- Accountant (outsourcing) 10 000
- Cleaning lady 3000
Printing 5000
Internet Advertising 15, 000
Advertising in the press 15 000
Other media 10, 000
- Legal subscription service 7000 rub. month
- Payment of the online booking system and tour search 1200 rubles / month.
- Cartridge refilling 400 rub./month
Total 241 500 rubles. + percentage to salary
The choice of the status of a travel company. Tour operator or travel agent?
After the cancellation of the licensing of tour operator and travel agent activities in 2007, a mandatory state procedure was established only for tour operator activity. Any legal entity or individual entrepreneur can engage in travel agent activities. The only thing that determines the status of a travel agent today is the existence of an agreement with a tour operator, according to which the travel agent, on behalf of and at the expense of the tour operator, sells the tour product formed by the tour operator. At the same time, the travel agent must comply with a number of requirements established by law, which we will discuss below.
But first of all, it is necessary to find out why it is so important to understand the difference between travel agents and tour operators and in time to complete the necessary legal actions. The fact is that the law establishes a mandatory requirement - all tour operators registered in the territory of the Russian Federation are required to have financial security. Financial support is a guarantee of a tour operator in case of non-fulfillment or improper performance of an agreement on the sale of a tour product, insurance of its civil liability to consumer tourists.
From the financial support funds, the injured tourists are compensated for the real damage that they incurred, for example, the cost of the tour if it did not take place, or the difference in cost if the vacation time was reduced. Financial support is provided by an insurance company or bank guarantor. The law establishes the minimum amount by which an insurance contract or a bank guarantee contract must be concluded; today it is 10 million rubles. for international tourism (enter exit) and 500 000 rubles. for domestic tourism.
The cost of servicing financial security averages 1–1.5% per annum of the amount of security.
For example, from the minimum financial provision for international tourism of 10, 000, 000 rubles. the cost of insurance compensation is 100, 000–150, 000 rubles. It is this amount that will need to be paid annually to the insurance company for the tour operator's civil liability insurance contract.
The contractual scheme of the travel agent during the implementation of tours is approximately as follows:
- the tour operator concludes an agent (commission) agreement with the travel agent, according to which the agent is instructed to sell (sell) the tours formed by the tour operator for a fee;
- the travel agent attracts a client (tourist) and concludes an agreement with him on the sale of a tourist product, receives the documents necessary for the design of the tour;
- the travel agent sends the tour operator an application for booking specific travel services for the client (tourist) - indicating the dates, number and data of tourists, hotel, level of transportation, excursions and other components of the tour;
- the tour operator confirms the application of the travel agent and invoices for payment;
- the travel agent transmits to the tour operator the documents (or information) necessary for the design of the tour (for example, for a visa);
- the travel agent accepts the final payment from the tourist (in cash, issues a cashier's check or strict reporting form);
- the travel agent makes payment to the tour operator minus the remuneration due to it (by bank transfer or cash to the tour operator's cash desk);
- the tour operator issues the travel agent with the tour documents necessary for the tourist to travel;
- the travel agent gives the tourist documents on the tour and all the necessary information for the tourist;
- the travel agent reports to the tour operator - sends an agent report (act) indicating the amount of sale of the tour and the amount of remuneration;
- the tour operator signs the agent’s report and issues an invoice for services rendered under the agency agreement.
But it should be borne in mind that the above scheme reflects only the ideal version of the workflow.
In practice, a travel agent may expect various surprises; firstly, the tour operator may refuse to conclude an agent agreement with you and offer a sale contract, as a result, your legal status will change, it will be necessary to adapt the accounting and document flow;
secondly, when making a payment under a tour operator’s agreement, you will suddenly find that the invoice has been issued for payment to
of another company or, making a payment through the cash desk of the tour operator, you will be issued a cash receipt for physical
a person with the stamp “paid” without the seal of the organization.
Further, the tourist who has made an advance payment on the tour may refuse to travel and you will have to pay a fine for the tour operator
cancellation of armor, etc.
Travel company staff
The optimal staff for a small travel company looks something like this:
- ¦ leader;
- ¦ manager1;
- ¦ manager2;
- ¦ secretary with an expanded range of responsibilities;
- ¦ courier;
- ¦ accountant cashier;
- ¦ cleaning lady.
Director
The head of the travel company is a key figure and solves a large number of issues, both economic and strategic, but in addition to it, it is desirable to have at least two sales managers.
The head can be the chief accountant, cashier, sign documents and draw up the receipt of funds.
If the head of the travel agency is a hired employee, he must have at least two years of work experience, this is the minimum time that a specialist can go through all the “seasons” of the travel agency's work — high, low, “dead” - and learn to manage the company. If the head - the founder of the travel agency does not have experience in tourism, this is not a tragedy. It is necessary to invite managers with work experience to work with them and develop a strategy, assortment, and advertising policy for the company.
Travel company manager.
His responsibilities include: negotiating with clients and partners over the phone and in the office, arranging tours with tourists, booking tours and paperwork with tour operators, monitoring orders, changing prices, the requirements for documents provided, terms of cooperation, and special offers.
A universal manager must maintain and improve his qualifications (master classes, seminars, advertising tours), work at exhibitions and workshop. Requirements for managers: higher education, work experience in tourism, lack of bad habits, presentable appearance, competent Russian language, sociability, initiative, ability to solve conflict situations, responsibility.
A manager with no work experience should at least strive to work in tourism and have a secondary specialized or higher (incomplete higher) education, as this significantly affects the general level of culture. On
to teach someone who seeks knowledge is a thankful job, but find out the long-term plans of this candidate so that
the invested forces and funds were not wasted, - perhaps he will use the knowledge gained in another travel agency.
Travel agency secretary
carries out incoming calls, distributes them according to the specialization of managers, answers questions of a general nature (“How do you get to?”, “What time do you work?”), ensures timely ordering of necessary office supplies, household goods, and monitors the routine of the courier, executes instructions of the head, receives visitors and guests of the office. It must be understood that sometimes it is very difficult to manage without the help of a secretary, especially in the high season - in the summer, when the telephone rings at the same time and the client sits in an armchair.
Secretaries are also tasked with filling out questionnaires, recording and registering incoming and outgoing mail, and replies to corporate emails, ICQ, Skype.
As a rule, a secretary is hired after several months of the travel company’s work, when the phone rings constantly, and clients requiring attention go to the office.
Courier
- A very important and responsible position. By the forces (legs) of this person, money, passports, documents must go to the tour operator. Therefore, when choosing a candidate for this position, follow a simple rule: a person must be checked by all possible means - call the previous place of work, confirm the correspondence of the place of registration and place of residence, call the home phone and talk with relatives, ask for recommendations. These measures are not redundant. The problems that may arise from the courier’s actions are, without exaggeration, disastrous — the loss of foreign passports and documents, the theft of money that the courier carries daily. The best option is a relative or friend, but, unfortunately, such candidates are not always found.
Cashier accountant
certainly a necessary specialist, but the cost of his services for a small travel agency is too high (in Moscow from 30, 000 rubles). Therefore, most travel agencies use the services of law firms or a visiting accountant. Such a staffing solution can reduce the cost of accounting no less than three times.
Schemes of remuneration and bonuses in the tourism business
In the tourism business there is a general tendency to increase wages. This is due to the existing personnel “hunger”. Experts with work experience move to another company, where they offer a slightly higher salary in the same full-time position, and this can happen every six months.
Travel Manager Payroll Options
A tour is considered sold at 100% payment.
1. Interest-free system: a salary of 22, 000-30, 000 rubles.
2. Salary + interest:
• Salary of 10, 000-15, 000 rubles. + 10% of the tours sold by the manager.
• Salary of 15, 000 + 10% after the implementation of tours by more than 150, 000 rubles.
• Salary of 15, 000 + 10% of the revenue from the sold tours, shared between all managers.
• Salary of 18, 000–20, 000 rubles. + 5% of the tours sold by the manager.
• Salary of 18, 000–20, 000 rubles. + 10% of all sold tours, shared between all managers.
3. Planning system : a fixed salary is paid when the plan is implemented; for example, from 50, 000 rubles. (This refers to the income of the company, not the total cost of the tours). If the plan is overfulfilled over 50, 000 rubles. + 10%, more than 100, 000 rubles. + 15%, more than 250, 000 + 20%.
During the low season (January, February, May, June) the plan is 50%. At the same time, the previous fixed salary is paid.
If the plan is not fulfilled, with the exception of the low season, the system of fines works:
- ¦ first month - without fines, an analysis of the reasons associated with a decrease in sales is required;
- ¦ second month onwards: 40, 000–49, 000 rubles. - 10% is withheld from fixed payment (30, 000–39, 000 rubles - 20%; 20, 000–29, 000 rubles - 30%).
In the first months after the opening of the office of a travel agency, the planned payroll system, as a rule, is not applied.
Travel company courier payroll options
1. Salary 12 000-15 000 rubles., Payment of a ticket, mobile phone, working hours: Monday — Friday.
2. Salary of 15, 000–20, 000 rubles., Payment of a ticket, mobile phone, working hours: Monday - Saturday.
During the high season and increasing sales, couriers are usually given a bonus of 20-30% of the salary. The courier is an important employee of a travel agency, so it’s better to pay on time, issue bonuses and work quietly.
On the market you can find offers from courier companies that deliver documents anywhere
cities, they conclude an official contract, bear full financial responsibility for money and documents in the package.
Payroll options for a travel company director
1. Salary of 40, 000 rubles.
2. Salary of 18, 000–20, 000 rubles. + 1–5% of monthly income
agencies after deducting expenses.
3. 12, 000–15, 000 rubles. + 5-10% of monthly income after deducting expenses.
It was just a small fragment of the book of Julia and George Mokhov “Travel agency: where to start, how to succeed” by the publishing house “Peter”.
In the same manual you will find detailed tips on choosing a tour operator, organizing workflow, taxation, recommendations for promotion, working with a client base and many valuable links to specialized Internet resources for practitioners of the tourism industry.