Thinking of buying a fishing lodge....need help!

[Old Ironmaker]

The businessman that does exactly what you want to do is challenged immensely. With the property being somewhat remote he has to have someone on site in the long offseason for security as well as peruse the cabins to ensure they aren't destroyed by varmints. His office is a 2 hour or so drive away in Rochester NY. The main problem is finding someone responsible to do it. He has gone through more than a few "caretaker/managers" in the years he has had it. It seems when someone feels they are carrying the ball 24/7 and an absentee owner is reaping the rewards, whether real or imagined, people have a tendency to slack off or skim from the top.

 

It is a daunting task and I wish you the best of luck. But I do not agree it can be done part time and be successful as well. A quick Google search shows many of these places are for sale across Canada. Many have sold and people bulldoze and build McMansions on the former camps.

[Old Ironmaker]

It's possible but unlikely. I didn't like the risk ultimately

 

I still have my plan in place should I ever reconsider, but that's not happening

 

When you look at the whole shebang, it's gnarly work and alot of risk

What business isn't Rick? I have learned that 80% of all small businesses in Ontario don't make it through year 2, 80% of those don't make it to 4 years. The biggest problem I see today with small business in Ontario is that the rules are the same if it's a Mom and Pop operation or an international conglomerate that owns it, from a Health and Safety Committee and WHIMIS training for a receptionist to use Windex to paying 17 bucks an hour soon for someone serving a bottomless cup of coffee, that's a lot of Joe to cover an hours wages in a small resort.

 

How many pages was your business plan? It should be no more than 2. Operational plan and SOP's maybe is several chapters. People get the 2 confused.

[akaShag]

I think the OP is getting a lot of good advice here.............

 

The absolute top asset of any lodge is its reputation, which will include a strong percentage of repeat clients year after year. Starting out without the reputation, and obviously without clients, let alone repeat clients, would be a very tough slog. If a person really wants to get into this business, they should buy out an existing lodge. Figure out WHERE you want to live, see who the top lodges are, and buy one of them.

 

The best way to make a small fortune out of the lodge business is to start with a large fortune.

 

Doug

[ryan]

Real estate is currently crashing hard in all of Ontario. Its only a matter of time before it hits cottage country hard as well. Both in capital cost and customer base. Also banks are tightening the free flow of money so expect way more cuts in pricing. Cottage country pricing is WAY too high right now. I would wait until the pullback gathers steam before even thinking of getting into that business. Buy now and the above statement "The best way to make a small fortune out of the lodge business is to start with a large fortune." will be so true.Go to http://www.greaterfool.ca/and read all the current posts to know what is going on. Hope this helps

[Old Ironmaker]

[quote name="akaShag" post

 

The best way to make a small fortune out of the lodge business is to start with a large fortune.

 

That is a keeper Doug. Actually better than good. May I steal it? Consider it stolen.

 

 

Real estate is currently crashing hard in all of Ontario. Its only a matter of time before it hits cottage country hard as well. Both in capital cost and customer base. Also banks are tightening the free flow of money so expect way more cuts in pricing. Cottage country pricing is WAY too high right now. I would wait until the pullback gathers steam before even thinking of getting into that business. Buy now and the above statement "The best way to make a small fortune out of the lodge business is to start with a large fortune." will be so true.Go to http://www.greaterfool.ca/and read all the current posts to know what is going on. Hope this helps

The bubble hasn't burst yet for cottages where we are Ryan, at least not yet. Same with rural properties as well as in the small towns and villages. Empty nesters from GTHNA have finally discovered the value in Haldimand. Especially since the drug problem in Dunnville has been cleaned up and a fishing Mecca virtually undiscovered by many. A place that was under 225K 2 years ago in Dunnville is going for 400K now. And these places are selling in a week at most. If a property has been on the market for 2 weeks it is over valued.

 

I do wholeheartedly agree that the bubble is just about ready to pop, it has to. It has become ridiculous.

 

The link brings us to a good blog. More fact than opinion, that I like, that is unless the numbers were pulled from thin air. Knowing house prices in T.O. were getting out of hand is one thing, seeing the numbers is mind blowing.

 

Thanks Ryan,

 

Johnny D

Edited July 16, 2017 by Old Ironmaker

[adempsey]

You need to figure out who your clientele are going to be before you should even bother asking any of those questions. There is a big difference catering to dedicated fisherman and hunters versus the MD that goes on a fishing trip once a year or the young family that wants a reasonably priced cottage vacation.

 

I highly recommend going to a few trade shows (e.g., the two big ones in Michigan) and talking to all the various lodge owners. Even better, go work as a manager or other staff at one for a summer. Getting and retaining staff is a huge struggle for many lodges in Ontario so I am sure you could find something.