Reasons for business failure

Hard as it is to believe, not all attempts to set up business as a gite complex in France are a success. Unfortunately I don't know the figures for success and failure, but I have come across most of the reasons why the business might fail. I have deliberately written this in quite a 'negative' way, but that is only because it is better if you arrive well prepared for whatever challenges may lie ahead of you.

Property is in the wrong place

Sorry to say it, but the whole of France is not a tourist site, and some parts that are, are simply inaccessible. Despite low cost flights and improved roads, france is still a big country.

So if you are buying a property because it is beautiful and cheap, that is fine. But if it is somewhere no-one has heard of then it will be hard to attract holidaymakers to your property. It is possible to simply be in the wrong place.

There's nothing you can do later, except try and hold out for a buyer, so try to get this right before buying. Only buy in established or definite up-and-coming regions, unless you have a very good reason to believe that you can make a go of it somewhere else, or you are rich enough to take a gamble.

Insufficient finance

The most common problem. I talk about money elsewhere, but just a reminder - renovations are expensive, living costs are comparable to the UK, bills still need to be paid and children clothed.

You will not be able support a family on the income from one gite, unless it is a chateau. It can take years for gites to become established, and then prices might fall because Cyprus is cheaper this year, or whatever.

Continued HERE