Calabar Guest Inn
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The Calabar Guest Inn is an established business looking for money to expand and take advantage of new opportunities.
By the year 2010 , due to increased travel to Obudu Cattle Ranch (also in Calabar) and Tinapa Resort on the part of business people and families with children wanting a convenient, affordable place to mix business with pleasure the Cross River Forum estimates that two million people will visit the area each year. In late 2008, many dwelling houses were converted to “makeshift” hotels to cater for the huge number of business and vacation tourists. The acute shortage of hotel accommodation will become even more glaring this year and thereafter.
The Calabar Guest Inn wants to build on its reputation and take advantage of this growth by renovating and expanding its current three-room, two-chalet. Akpan and Ekaette Isong have been running Calabar Guest Inn since 2000 and since then have been featured three times in the "Best of Guest Inns" annual ratings which is based on guest reviews and feedback collated by the Cross River State Forum.
The Guest Inn is located on the bank of the Calabar River on one acre of land which provides sights and images of the Tinapa Resort, Calabar Marina, Calabar Residency Museum and the Calabar Slave Park along its course. The inn creates a great getaway spot and there is always a trilling adventure awaiting the eco tourist or business person visiting Calabar. Akpan Isong’s experience as a chef at the Lagos Sheraton Hotel also attracts guests who are looking for good food. Occupancy in The Calabar Guest Inn has risen at rates of 20 percent or more annually since year 2000.
In addition to improving current accommodations, the renovation will add two rooms to the main house of the inn and one chalet to the grounds outside of the house. The renovation will take place over a six month period, from January 2010 to June 2010, the slowest months for the inn. A permit from the town planning ministry and three quotations from local contractors have been procured. Renovations include refurbishing bathrooms to add overhead lamps, larger windows, and larger sinks - amenities guests can find at other local inns and extras their usual guests want and expect.
The bathroom amenities, along with air conditioners, will be added to the chalets because market data from the Cross River forum annual survey indicates that guests will pay top of market prices for these features. Chalets will be remodeled to add room for a bedroom with twin beds to accompany the master (king size) bedroom, thereby making the chalets suitable for families.
As at financial year end 2008, the total value of guest billings was N19.2million with profits being 40% of this. All renovations will enable the Isongs to raise room rates by 30 percent and sales figures are expected to increase with a corresponding rise in profits.
The business is structured as a sole proprietorship. The principals, Akpan and Ekaette Isong , seek loans totaling N20,000,000 for renovations and improvements. The Isongs ' will provide N5,000,000 for the renovation.
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