Starting A Travel Agency
How to Put Up a Travel Agency in the Philippines
The travel industry is booming in both the domestic and international markets. Now is the time to get into this exciting business. One of the best ways to do so is to start a travel and tours agency.
Here are the steps to begin a tours and travel agency:
1. Find the ideal location. The best location will depend on the market you are targeting. If you wish to cater to domestic travelers, look for areas with high foot traffic of working people. Those who want to target the international market should position in areas where there are plenty of tourists. Those with limited capital would do best to avoid malls because of the high rental and deposit needed. You will need only an area of 15 to 30 square meters to start. For certain accreditation requirements, you need to have a place located in a commercial area.
2. Register your business. A travel agency has no special requirements. You just go to the DTI (Department of Trade and Industry) if you want to be a sole proprietor or to the SEC (Securities and Exchange Commission) in order to register a partnership or corporation. Get barangay clearance and proceed to the local municipality to obtain a business permit. Proceed to register with the Bureau of Internal Revenue and get a Certificate of Registration (COR) and the authority to print receipts. Afterwards, get accreditation with the Department of Tourism. Among the requirements for accreditation is proof of 500,000 pesos working capital.
3. Set up and equip your office. You will need a computer with a reliable Internet connection for reservations. The other things needed are phone lines (at least two), fax machine, printer, tables, chairs, filing cabinets and office supplies.
4. Tie-up with an IATA travel agency. Since several millions are required to be an IATA travel agency, it is advisable to just tie up with an IATA travel agency to be able to issue tickets. It would be best to have tie-ups with at least three IATA travel agencies to get the best ticket price.
5. Establish working ties with the airlines and shipping lines. The biggest investment needed will be the cash bond to the airlines and shipping lines. This will run into several hundred thousand pesos depending on the company.
6.Train on the computerized reservation system. You and your assigned personnel must have extensive training on a computerized reservation system for airline reservation. Among the most popular of these systems are Amadeus and Abacus.
A travel agency is considered one of the sunshine industries that are expected to propel our country’s growth. It has the best potential to be both fun and profitable.
BusinessCoach, Inc., a leading business seminar provider, conducts seminars on how to start a travel and tour agency business. Contact (02) 727-5628, (02) 727-8860, (0915) 205-0133 or visit www.businesscoachphil.com for details.
Click here to view details of the seminar: How to Start a Travel and Tour Business »
*Originally published by the Manila Bulletin. Written by Ruben Anlacan, Jr. (President, BusinessCoach, Inc.) All rights reserved. May not be reproduced or copied without express written permission of the copyright holders.