Homely is a short term rental business in Kelowna, British Columbia. Unlike others, Homely provides a home like touch with all utilities, food service, and many more amenities. Homely targets both domestic and international travellers. Our mission is to provide high quality home experiences for our guests, incorporating local Okanagan culture, and to differentiate ourselves from our competitors. Our ideal guests are couples, families, and small groups aged 25-60. We believe these travellers seek privacy, fully furnished amenities, and to live like a local. According to our analysis, there is a high demand for tourism in Kelowna in the summer, and we expect customers may stay 2 – 7 nights.
Business Model and Operations
Homely operates on a hybrid hospitality model, generating revenue through room rentals, in house food service, and extra service packages offered through local partnerships. We utilize dynamic pricing for seasonality and demand, with bookings managed through Airbnb, Vrbo, and Booking.com.
Financial Projections
Our financial analysis shows Homely will have strong cash flow.
- Total startup costs are estimated at $110,350, including an $82,500 property down payment, renovations, and licensing.
- Year 1 (6 month operations): Launching in June, we project $600,960 in Gross Revenue with a Net Profit (after tax) of $311,130.
- Year 2: As operations stabilize, we project Gross Revenue to grow to $1.32 million with a Net Profit of $697,365.
- By the end of Year 3, we project a cash position of $793,225 and a stable Gross Revenue of $1.41 million.
With a property value of $1.65 million and a minimal cost structure, Homely is positioned to capture the high demand for summer tourism in Kelowna and sustain profitability in the long term.