Zambia's tourism and business arrivals are surging every year with 2017 recording over 1,000,000 arrivals. Hotels are very few and expensive. This is an opportunity.
The project is to construct a Backpackers and restaurant within the vicinity of town that could be affordable to most people who can not afford hotel accommodation.
The land is already secured and on title. The land is 6 acres and near a small dam providing a nice scenery.
The idea is to construct 200 single rooms with 40 bathrooms/toilets, an entertainment center, bar, restaurant and a 2 swimming pools.
The land has already been surveyed and plans already drawn. The construction could be completed within 10-12 months once the funds are made available.
Currently Lusaka doesn't have any Backpacker with more than 40 rooms. The ones that are there are just houses that have been converted. Ours will be the first Back Packer not just in Lusaka but Zambia as a whole.
Since we are setting up in an area where there are many universities and colleges, we will attract a lot of clients at all times of the year.
We hope to keep our competitive advantage by expanding into other towns in Zambia and become the household name in Back Packing.
An average hotel room in Zambia cost between $100-$800 per night depending on the standard. The motels and lodges cost between $60-$300. We wish to start ours from as low as $20-$50 per night. This will attract many travelers who do not want to spend so much on accommodation during their visit to Lusaka and Zambia in general.
The existing lodges and motels are always fully booked making people wanting to spend time either at their families or friends homes. Most of those investing in this sector are building lodges and motels and not Back Packers.
Professional Fees, Services (grading roads, main electricity, sewerage etc.), Project Management, Commission for Estate Agents Office Costs (for 18 months), Wages (for 18 months) and Construction of the infrastructure.
We are looking for an equity partner who will invest between $1,200,000 to 1,600,000 for 45% ownership of the business.
The investor can be either hands on or a silent investor.
The investment can be made in two installments $800,000 each, the first been for the structural works and the second for furnishings and operational costs for the first 18 months.