Topics: Strategic management, Management, Business plan Pages: 57 (16531 words) Published: March 6, 2013
Department of Environmental Affairs and Tourism

How to Start and Grow your Tourism Business
What is a To u r i s t ? Getting Started Now that I am up and Running... Useful Information

Department of Environmental Affairs and Tourism

This handbook is the result of a partnership between the Department of Environmental Affairs and Tourism, The Tourism Business Council of South Africa, The Tourism Enterprise Programme and ABSA.

This handbook is based on information provided by the appropriate institutions, either directly or via their websites. The researchers have assumed that all information has been supplied in good faith and is accurate. We cannot be held responsible for the accuracy or completeness of information supplied to us. Should you wish for your organisation to be included in future updates of this handbook, please email:

© Department of Environmental Affairs and Tourism


Message from Minister Marthinus van Schalwyk
Small, medium and micro enterprises (SMMEs) are engines of development. They contribute to job creation and wealth creation. Therefore, it is critical that tourism SMMEs are supported to sustain themselves and grow. To this end, the Department of Environmental Affairs and Tourism, through its Tourism Branch, has developed a package of instruments aimed at assisting tourism entrepreneurs to develop sustainable and profitable businesses. This package of support includes: • Funding of the Tourism Enterprise Programme (TEP) aimed at assisting tourism SMMEs to establish business linkages with larger firms A package of tourism SMME training modules, comprising training on marketing, financial management, general business management and tourism awareness This handbook, which provides information on public and private sector SMME funding and support instruments

This handbook is particularly important given that it provides a one-stop point of access to information, specifically for tourism entrepreneurs, on business assistance that is available to them. This is the third edition of the handbook. It is the product of a partnership between my department, The Tourism Business Council of South Africa and ABSA. For the first time, this handbook will also be available in other official languages, namely Zulu, Tswana and Afrikaans. We will continue to update the handbook on an annual basis, and to translate it into more languages. I have no doubt that you will find this handbook a useful tool in your business endeavours, and sincerely wish you every success in establishing a growing and profitable tourism business. Warm tourism regards

Marthinus van Schalkwyk Minister: Environmental Affairs and Tourism



How to use this Handbook What is a Tourist?
2.1 2.2 2.3 Definition of a Tourist The Tourism Sector The Tourism Channel and how it works

4 5
5 5 6



Getting Started
3.1 3.2 3.3 I have a Great Idea! Putting the Idea on Paper Where do I get Money to Start my Business?

7 8 14


Now that I am up and Running …
4.1 4.2 4.3 4.4 On-going Business Support Marketing your Business Training Expansions

24 25 29 30


Useful Information
5.1 5.2 5.3 5.4 5.5 5.6 5.7


Trade Associations and Tourism Organisations/Bodies 31 Provincial Support and Contact Details 33 Contact Directory 36 Examples and Case Studies Acronyms and Abbreviations Quiz – Have I got what it takes to be an Entrepreneur? What Structure of Business should I choose? 38 43 44 47


How to use this Handbook
Dear Reader
Welcome to the wonderful world of tourism. We hope that you find this publication useful. This book will provide you with useful information to help you in your efforts to set up a tourism-related business. It covers topics ranging from writing business plans to sourcing funding and even provides important contact details. Please remember that this is an overview and we strongly...
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