Hi, i am just got good saving about 20,000usd, but first phase i would like to invest with 5000usd and i am planing to start have own business after have rental proproperty in PP. But if i will get good hotel property which is above budget with my first phase investment then also fine.
As my minds says if i will get Furnished bar but closed bar without buy it and only on rent range from 500 to 1000usd + 3 month advance and have 7 to 8 or 10 girls in bar, who can entertain and serve to customer in good way with something special offer to customer.
another plan is have hotel with 14 to 20 rooms on river side or main area where most of hotel with touriest i can get with inside restaurant and bar for guest who already living in my hotel. with range of rent 2000usd to 5000usd, and room rent range is 15usd to 60usd .. with different type and class and quality of rooms.
or should i have retaurant with bar with multi cuision food serve with many option.
Please guys help and me suggest me if you have something better then this where i can not lost my money.
Starting Business in Phnom Penh
I'm sorry to say but you have to wake up from your dream.
Your investment, even the total of 20K, is not even enough to buy a furnished bar, rates are going from 30K to 60K.
Then the rent is usually about $1500 a month, electricity, water, WiFi about $1000-$1500, salaries about $1600 - 2000, your monthly expenses will be around $6000.
Add to this (you don't mention when you want to start) that there are no tourists at the moment and nobody knows how long that situation will last.
Same goes for your hotel aspirations. How much do you think a hotel with 14-20 rooms on the Riverside will cost?
Sorry to be a bit negative, but with your idea of investment you won't get far.
Maybe an Indian restaurant, small scale, will be possible, but not at the Riverside.
Why don't you come over and talk to people who have something for sale, like real estate agents specializing in bars and hotels? That way you get a clear look what it costs to even start a business like you dream of.
Still I wish you good luck.
Joe
Cambodia expert
Expat.com team
Hi,
Thanks for your valuable reply.
As i am already having bar with fully furnished and renovated with 700 to 1000$ on rental without buying a business. And 2500 to 5000$ hotel with 15 to 20 Rooms along with a swimming pool, bar and restaurant ... and yes hotel is already running.
So now tell me is it workable if i will grab this opportunity ?
You should have a thorough investigation into the books of said businesses.
That will give you an idea if it's feasible for the money you want to invest, or not.
If you're really interested business owners will show you the books so you can see for yourself.
Again: this is a bad time for businesses based on tourists as there are no tourists and nobody knows how long that situation will last.
Good luck.
Joe
JoeKhmer wrote:Again: this is a bad time for businesses based on tourists as there are no tourists and nobody knows how long that situation will last.
Good luck.
Joe
I guess for someone with realistic expectations and a comfortable savings cushion, it could be a good time to buy a fledgling business for “cheap”, since sooner or later, the tourists will come back. But when? And will there be as many as before? It's still a risky proposition, even at a discount.
I worked in hospitality for 35 years and its a tough business. I even owned a couple of outlets at one time, an Italian restaurant and a pizza delivery shop. Broke up my first marriage in the early 90s. Typically worldwide the EBIT is around 10%, in other words you are making 10 cents on the dollar and if the customers don't walk through the door you make zilch and accumulate debt. But its also a lot of fun if making a lot of money is not your priority .......
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