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HOW TO START A HOMESTAY BUSINESS IN HIMACHAL PRADESH?

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If you live in the beautiful state of Himachal Pradesh, own a house with spare rooms that haven’t been visited much lately then you are reading the right blog. Through this blog we will tell you how you can use those spare rooms to make money? We will tell you how to start a homestay business in Himachal Pradesh. But before that if you are not aware of the concept of homestay then read : What is Homestay | All About Homestay Business

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The state of Himachal Pradesh is situated in the northern side of India. This state owns major hill stations like Shimla, Manali, Kullu, Dharamshala and Dalhousie. The number of  tourists visiting these hill stations, when combined, is in Lakhs. Tourism in Himachal Pradesh itself contributes nearly 7% to the state’s economy. This means that the department of tourism is worth exploring. One such way to make a good earning in the field of tourism is becoming the owner of a homestay.

HOMESTAYS AS A BLOOMING ACCOMMODATION TYPE 

There was a time when accommodation referred to hotels by default and the concept of homestay was not so popular. But recently people are inclining more towards the homestay. Those travellers who want to spend their holidays in peace and amid nature prefer these stays. Home-like feeling, delicious and hygienic food, easy affordability and opportunity to observe the culture of the city are some of the  reasons why homestays have gained popularity. We have a whole blog about the popularity of homestays which you can read here : 6 WAYS TO MAKE MONEY WITH HOMESTAYS | LUCRATIVE STARTUPS

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HOW TO START A HOMESTAY BUSINESS IN HIMACHAL PRADESH?

The investment cost in a homestay is very less as compared to building any other new accommodation. Money spent for renovation of the spare rooms is all that is to be done in the name of investment. With the touch of minimalistic modification you can give your homestay a cozy and rustic feel. You can read about various ideas that you can use to set up your homestay : 8 THINGS TO KEEP IN MIND WHILE DESIGNING A HOMESTAY

To start a homestay there are a few general steps that you have to follow. These steps can be called as a general outline of the procedure of how to start a homestay business in Himachal Pradesh or in any state.

Step 1 –  Renovation

The very first thing that you need to do is think of a theme on which you are going to design your homestay. Set a budget and stick to it. Select a minimalistic yet elegant design for your rooms. Don’t make it clumsy.

Step 2 – Registration

Get registered with the department of tourism of your state. Get all the required licenses and permits to confirm the frictionless functioning of your homestay. This involves clearance from the local authority and GST registration as well.

Step 3 – Basic facilities

Amenities like clean bedsheets, hygienic rooms and bathrooms, internet access, parking and others should be there to make the stay of the travellers more comfortable.

Step 4 – Fee and Feedback

The charges of the homestay should not be too high or too low. Calculate the investment and profit accordingly. As the visitors for the feedback and make modifications likewise. 

Step 5 – Promotions

Tie up with good homestay sites. Ask them to feature your homestay. This will increase your income as well as popularity. 

To know more about the basics of homestay business, read : HOW TO START A HOMESTAY BUSINESS?

How To Run A Homestay Business?
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ROLE OF THE STATE GOVERNMENT

The state government of Himachal Pradesh is perhaps one of many Indian state  governments which have given a major boost to the Homestay concept. Several exemptions in the procedural registration of such units, including  luxury tax, change of land use fee, sales tax and commercial charges on electricity, etc. have already been given by the state government. Toward the rural tourism promotion the authorities have made various liberal approaches. 

Providing subsidies to the owners, keeping the rate to interest low for those who are taking loan for the construction of homestay and providing relaxation in GST registration are some of the steps the state government has taken to promote the homestay industry in Himachal Pradesh. The homestay scheme is launched on the pattern of the union tourism ministry’s ‘Incredible India Bed and Breakfast Scheme’. 

Want to make your homestay business official in Himachal Pradesh? You need to register it. This makes sure you’re following all the rules and regulations. Our guide on how to register a homestay in Himachal Pradesh breaks down the process for you. We’ll help you understand what permits and licenses you need, and how to meet safety and cleanliness standards. With our step-by-step instructions, registering your homestay will be a breeze, allowing you to start welcoming guests with confidence in Himachal Pradesh.

A GUIDE ON HOW TO START A HOMESTAY BUSINESS IN HIMACHAL PRADESH

  • Any resident of Himachal Pradesh can opt to register for the homestay scheme. 
  • A minimum of one spare room and a maximum of three rooms is needed.
  • For approval/ registration of the homestay the applicant can apply in the prescribed proforma to the District Tourism Development Officer. The officer should be of the Department of Tourism, Himachal Pradesh under whose jurisdiction the area falls
  • An affidavit of the owner of the given property is also required.
  • A district tourism development officer will then ensure certain things. Which includes the location, facilities, surrounding environment, hygiene, cleanliness, security, architectural designs and safety of the visitors, before registering the homestay units.
  • Then the officer will submit a report to higher authorities and you will be registered.
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CONCLUSION

With the help of homestay one can make the best use of the spare rooms in one’s house. When welcoming the guests try to be friendly and make them feel comfortable. Homestays are cozy places where people relax and feel like home. Keep this in mind while designing your homestay. 

If you’re interested in starting a homestay business in the hills, there are a few things you should consider. Firstly, you must have a good understanding of the local area and be able to provide guests with information and recommendations about the best places to visit. Additionally, you should be able to provide guests with comfortable and clean accommodation, as well as good food.

To learn more about how to start a homestay business in the hills, check out our article on the topic. It covers important information such as how to legally register your business, how to market your homestay, and how to provide excellent customer service. Additionally, it also covers the importance of providing amenities and facilities that are suitable for hill area. Click here to read the full article and start planning your hillside homestay business today.

If you’re new to homestay hosting and want to know more about it, be sure to check out our article on the topic. In it, we provide a comprehensive guide on everything you need to know to start hosting guests in your home, including legal requirements, how to prepare your home, and how to provide excellent customer service. Click here to read the full article and start your journey as a homestay host today.

Also Read : HOW TO START A HOMESTAY BUSINESS IN UTTARAKHAND

I hope this guide has inspired you to start designing your ideal homestay. Whether you’re planning a small space or a larger layout, the possibilities are endless with the right approach and a touch of creativity.

If you have questions, ideas, or need more guidance, I’d love to hear from you!
Drop a comment below to share your thoughts or ask for advice—I’m here to help.

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Together, we can create beautiful and welcoming spaces for guests worldwide. Let’s connect!

Also Read : A Guide to Homestay Design: Plans, Ideas and designs

Join Us for Updates!

Stay connected for the latest homestay updates, design, ideas and tips.

Shivangi Srivastava

Shivangi Srivastava is an aesthete, a bibliophile, to be more specific and an engineer, living in Lucknow, Uttar Pradesh. She has been a co-author of more than 5 anthologies. Her constellation of words driven by her inquisitive nature, are her pride possessions. Aiming to be an author, presently she is polishing her writing skills and learning something new everyday as a freelance content writer.

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12 Comments

  1. In Himachal pradesh for Home Stay what lical authorities licence / permission required. Is it only NOC to start business? Eating house licence require for selling food or only Fssai registration is mandatory. These aspects are not covered. Will appriciate same can be uploaded will help all.

  2. How much capital is needed to start a homestay from scratch? I mean, for example, rent of 4 room house and other things. I need an estimate, not an exact amount. your guess??

  3. I have an 6 rooms with toilet and kitchen and double bed and fan also can i open home stay on NH

  4. Hello guys,

    Currently I have opened a homestay but I do wanna register it as a hostel as there are few rooms which can accommodate 4 per room due to bunk beds. How

    1. Hello,

      Congrats on launching your homestay! To register it as a hostel, you’ll need to adhere to specific regulations depending on your location. Start by contacting your local tourism authority or municipal office for guidance on the legal requirements and necessary permits. They can provide you with the necessary information regarding zoning, safety standards, and any other regulations that need to be met for operating a hostel. Ensure that your property complies with the safety guidelines and has the necessary amenities and facilities expected of a hostel. It’s always recommended to consult with a legal advisor to ensure you’re following all the necessary steps correctly.

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How to Start a Homestay Business: Beginner Guide