What you Need to Know When Buying a Tourism Business

Australia has a strong tourism sector, with both international and domestic travellers contributing to the economy.

In 2023, total tourism consumption reached over $166 billion, according to Tourism Research Australia. The tourism sector in Australia is predominantly composed of small businesses, with about 95% falling into this category.

More Aussies are travelling locally, especially to regional areas. This shift has opened the door for small businesses offering unique and locally-based experiences to thrive.

Australia’s tourism industry is a significant contributor to the national economy. Buying a tourism business in Australia can be a great way to enjoy a lifestyle change, work in stunning locations, and build something rewarding. 

Buying a tourism business in Australia can be a exciting and rewarding, as long as you do your homework first.

 

Types of Tourism Businesses You Can Buy

 

Every tourism business works differently, so it’s important that you understand how each one operates before buying. Think about what the business needs day to day, who the customers are, and how the seasons affect bookings.

Common types of tourism businesses include:

• Tour operators offering guided hikes, city tours, or even winery tours, like this Drink Tasmania Premium Tours business which is a personal tour company specialising in wine, whisky, beer and cider tourism experiences. 

• Accommodation providers such as motels, B&Bs, caravan parks, and eco-lodges. Motels such as this one in Dubbo are a popular choice thanks to their proximity to public transport and popular experiences such as Taronga Western Plains Zoo.

• Transport services including shuttle buses, scenic flights and boat charters, like this fully electric ferry operation that operates out of Elizabeth Quay. 

• Travel agencies and online booking platforms, with an added bonus of being able to work from home when operating like this travel agency business for sale.

• Cultural and heritage tourism businesses like the gorgeous Schouten House in Swansea which has been established since circa 1844 and welcoming patrons in for the past 2 centuries.

 

Each type of tourism business has its own operational needs, regulations, and target markets. 

For example, if you’re looking at a tour business, you’ll likely need trained staff, reliable vehicles, and permits to access national parks or remote areas. Your customers might be thrill-seekers, backpackers, or small groups chasing unique outdoor experiences. These types of businesses often see demand rise during school holidays or dry seasons, so planning around weather and peak periods is key.

On the other hand, a boutique accommodation business has very different needs. You’ll be focused on guest comfort, maintaining the property, managing staff, and making sure bookings run smoothly through platforms like Airbnb or Booking.com. Your guests may be couples, families, or even corporate groups depending on the location.

Online travel agencies or booking platforms rely more on digital tools, online marketing, and customer service. If you prefer working behind the scenes rather than face-to-face with tourists, this could be a good fit.

No matter the type, take time to look at how the business runs, who it serves, and when demand peaks. The right fit depends on your lifestyle, your skills, and the kind of experience you want to deliver.

 

Key Things to Look For

 

When evaluating a tourism business for sale, you've got to consider the underlying factors that influence performance and long-term sustainability. Here are some key aspects to assess:

 

1. Location and accessibility

 

Is the business based in a popular tourist area or near well-known attractions? Can visitors find it easily? Think about how close it is to airports, highways, or transport hubs. A great location can bring in steady traffic.

 

2. Seasonality

 

Some tourism businesses do really well during peak seasons but slow down at other times of the year. Look at the income over a full 12-month period and check if it's heavily reliant on school holidays, summer, or ski season. You’ll want to plan for the quiet months too.

 

3. Target market

 

Find out who the main customers are. Does the business attract local travellers, international tourists, or a mix of both? Understanding the audience helps you shape your marketing and prepare for changes in travel trends.

 

4. Digital presence

 

A strong online presence is a must in tourism. Look at the business's website, social media, and online reviews. Is it easy to find on Google? Does it have good feedback on TripAdvisor or booking platforms? A well-run digital profile can bring in a lot of bookings.

 

5. Licences and permits

 

Make sure all the required licences and approvals are up to date. Depending on the business, this might include park permits, liquor licences, transport licences, or food safety certificates. Check with your local state business portal, like Business Victoria, NSW Government, or Business Queensland, to see what's needed.

 

6. Partnerships and distribution channels

 

Ask if the business has relationships with local tourism bodies, agents, or booking platforms like the Australian Tourism Data Warehouse (ATDW) or Booking.com. These networks can help attract more customers and boost bookings.

 

Understanding the Finances

 

When considering buying a tourism business in Australia, prices can vary significantly based on factors such as location, business type, and included assets. Market insights on Bsale tells us the average price for a business in the accomodation and tourism sector on Bsale is $1,660,000.

 It’s common for tourism businesses to have asking prices ranging from several hundred thousand to several million dollars.

• Premier Tourist Park In A Prime Northern NSW Location  is selling for $2,500,000.
• Premium Wine Tour Business in Victoria is selling for $150,000.
• This North Coast NSW Caravan Park In a Tourist Hotspot is asking for $1,350,000.
• An Outback Tours 4WD business is selling for $199,000.

Tourism businesses often see income rise and fall with the seasons, so you’ll want to look at the numbers over a few years.

Start by checking how revenue and profits vary between peak and off-peak periods. Look at what the business spends on fixed costs like leases, insurance, and maintenance.

Pay close attention to wages and any payments to contractors, since staffing needs can change with demand.

Review marketing expenses too—especially if the business relies on online bookings.

Lastly, ask about any forward bookings or customer deposits, as these can give you a better idea of income already locked in. These insights will help you understand how the business performs across the year and what it might take to keep it running smoothly.

You’ll also want to assess whether the business received any government support during COVID and how that may have affected its recent financial performance.

 

Buying a tourism business can offer a lifestyle change, the chance to work in beautiful locations, and the satisfaction of creating memorable experiences for travellers.

Whether you’re looking to run a guided tour business, a boutique accommodation, or a transport service, it’s important to do your due diligence.

Owning a tourism business can be a great opportunity, but it takes planning. Take time to research, ask the right questions, and understand what the business needs to thrive. 

 

Tags: listicle buying small business guide

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