Updates after 10 days

My first customers (who bought an apple juice), Eric and Robyn, are back! They stayed for 3 nights in my twin room!

I think for the first 10 days, although business is slow, things have been moving on. Maybe it is because it is the peak season and so at least I will have customers everyday. However, I still do not have any reviews on the online platforms and it is tough as when people book through the different platforms, they actually read the reviews. When there are no reviews, there are not many bookings!

This leads to my customers being mostly referrals. I just got a referral from Takehito Matsumura. Thanks Take!

In the past 10 days, I have met very interesting people and a few of them are doing their round-the-world trip:

Matt and Leah (British couple) are the first guests to stay in my twin room! They are such sweet guests! Always so polite and considerate. Even when Leah wanted to exchange books in my little books exchange corner, she will bring to the counter to show me which book she want to exchange her book with! Before they left, they gave me their umbrellas for the hostel! So sweet!!!!

Laurent is a referral from Hauke (Timo's friend who is my first guest). A Belgium guy who is doing a 16 months round the world trip. He takes amazing photographs and very interesting videos! If you guys are interested, you can go to his website at http://voirlemonde.eu/. However, his website is in french, so you guys can go to http://www.translate.google.com/ and key in this website. The whole page will transform to the language of your choice! So amazing right? Laurent introduced me to this as well.

Bernard, an Australian man who take 3-6 months off every 2 years to travel. What he does is he accumulates his annual leave and take it at one go every 2 years!

Infas, a Sri Lankan guy who studied and worked in London. He stayed for 5 nights and I think he is one of my longest staying guest! We became such good friends that he will go with me to Mustafa Centre in the afternoon to have lunch and to buy things for the hostel! Thanks dude!

That is all about my guests for the past 10 days..............again again again.

Hostel is up!

I know I have not updated in a long time. So much have happened! I tried to paint but after 2 weeks and there do not seem like there is much movement, I decided to get professional painters, which is a smart choice! If not, I think I will still be trying to finish painting my hostel at this time.

Finally, on the 18 Nov 2009, Drop Inn Singapore was opened for business! Dani helped me so much! From running around Singapore to get the furniture and plants, to helping me to decorate my place and installing my printers. This is the final product...

Written by Jasmine and drawn by Elaine.

It is NOT DR. P Inn. It is DROP INN!

Welcome to my cosy place!

We sell drinks in order to quench your thirst whenever you need to.

We have a blackboard for you to showcase your artistic talent.

Our Cosy corner to rest, relax and interact with the others!

 

From the cosy corner, the guests can see me hard at work.

Jasmine, Kelv, Me and Elaine trying out the chilling area to see whether it's chilled enough.

Our very own mini pantry area!

Twin Room. And, I painted the green wall!

Washer and dryer available, subjected to a nominal fees!

The stairs going up to the main sleeping area!

Room names are major MRT stops in Singapore.

14-bedder dorm. Clean and cosy!

The top and bottom of our bunk beds are not connected so even if someone who walks up the ladder, it won't disturb the person sleeping at the bottom.

Isn't this an artistic photo?

Get ready for our 6-bedder dorm!

Spacious area within the dorm

Nice piece of green wall which I painted a couple of coats!

Clean toilet for your comfort

Heading over to our one and only double room!

As the name suggest, this room is exquisite.

Own little window and lockers for your comfort.

It even comes with your own little slacking corner,

while you enjoy the beautiful scenery out of the window.

My first customer was a couple who happened to walk by that very night! They came in, I showed them around the place, and they bought a bottle of apple juice!

The next few days were spent trying to get into hostelworld.com and hostelbookers. I realised that it takes a few days after you apply before you can get on hostelworld.com although it was put on the website that they will reply you within 24 hours! However, to give them credit, whenever I call, the people are always very patient and friendly. They are also very helpful and help whenever they could!

My very first guest (as in for stay and not just to buy drink) is  Jasmine's bf's friend, Hauke from Germany!

Of course, I have to take a picture with my first guest right?

Alright guys.....that's all for today!!!!!

Photos are up!!!!

Sorry for the lack of posts. Have been pretty busy getting myself released from PwC and to work on my hostel. Been going to the hostel every 2 days to check on the progress, and here they are!!!!

Before

I shall upload the during renovation pictures in the next few days!!!

New happenings!

A couple of milestone type of things have happened!!!!

I have finally tendered my resignation!
Last day in PwC will be 4 Nov 09!!! Unfortunately not that I have tendered, I totally don't feel like working anymore, especially when I am booked on assignments all the way till 4 Nov 09.

To a certain extent, I really think that I should be responsible and continue to work hard while I am still in the firm, however, I just cannot seem to concentrate. Urghhh!!!!!! I feel bad for my team, that is why I keep hinting to my TIC to try to get someone else to do those jobs since they will definitely be more efficient than me, with my loss of concentration at work, but he just didnt seem to get it! What can I do?

I have signed the lease to my new place!
Now, I can officially say that, I have leased the place and the address is 253 Lavender Street! Contractors should be going in next week and I will be painting the walls probably 2 weeks later!

The whole setting up a company is really exciting, and it seems like having a baby, I am pretty sure I have said that before! However, I will be lying if I say that I am not scared at all. My lifestyle will be completely changed when the hostel is set up:

1. No more clubbing and drinking at night
2. Waking up at 6:30am everyday to prepare breakfast for my guests
3. No more traveling!!!!!!!!!!!!!!!!

Solar Power?

The use of energy have been getting a lot of exposure lately and renewable energy is something that we will want to incorporate in our business to do our part for the environment. However, it's always a cost-benefit kind of issue. How much does it costs to build solar panels and how much energy are we able to save?

Definitely, we will like to have solar panels so that we will only be using renewable energy for the operations of the energy but the first quotation that I have gotten from 1 company is $60K! Such a huge amount of money for a small startup does not seem feasible, and I did not manage to find any grants to subsidise this initial capital outlay. The grants offered are mainly for new technology and research rather than for capital outlay.

Next option is probably doing whatever we can within our means, and that will be to use solar heaters. Not sure how much it will cost and whether it is possible to fix the heaters within the shophouse...

Webhosting is another issue that is high up on the priority list as we want to make sure our website is up before we officially starts operations. Being a complete IT idiot, I always thought it's as simple as just buying a domain and start to create your own website. Webhosting is a time that I see for the first time in my life last week! IT is so complicated! Luckily I got a friend who is willing to help for a nominal sum of money to create a website! I just have to draw the layout and tell him what I want...

I love my friendssss!!!!

Bank account is opened!

Thing are moving along really quickly! Bank account is finally opened today.....next task is now to sign the lease agreement!

Incorporation of the company!

The incorporation of the company is finally completed! Just paid the $300 for the incorporation and it's about one of the only few times that I am actually happy paying for something!

The setting up of the hostel seems on track with the following pending:
1. transfer of funds
2. transfer of shareholdings
3. signing of lease agreement
4. sourcing for furniture
5. registration for website
6. setting up of website

These are the more important issues that are still pending but it is great! Things are moving, and it's a huge joy!

Now, I need to get free labour for painting the hostel...

Investor!!!

I found half the money I need for the hostel! Working on the others now....trying to arrange a meeting with another guy who may be interested on Friday! Hopefully everything turn out well!

Got 2 contractors to view the place I've found and asked them to give me a quotation. Hopefully prices will be cheap cheap and cheap!

A Potential Place in Lavender!

Thanks to Mr S, I got this amazing place in Lavender! All the fire safety licensing had been approved, and license for a hostel has already gotten! However, after I built my partitions, I will need to get the fire safety officers to come for another approval!

I was losing hope after I almost signed a brothel!

Anyway, I am now hunting for investors which after finding a place, is the next most important issue to make this whole thing work. I talked to Mr G for a short drink and he told me that my initial proposal is not very attractive to investors as according to my computation, the hostel business will make a net profit which is basically kept within the company and not distributed to the shareholders when they are taking the risk. I agreed after thinking about it and decides to change my proposal such that the shareholders get more returns back due to their risk.

In addition, he also told me that when the business picks up in the second and third year, it may be cheaper to borrow from banks than to use the retained earnings as no use diluting the shares of the shareholders and I agree to a certain extent, but need to do more computation before I come out with a decision.

 Finally, the hostel business seems like it's heading somewhere and I just hope that I can get investors. I need quite a bit more but meeting a couple of friends this weekend to discuss.

Keeping my fingers crossed!

Unsuitable location

Jonas and I went to meet the landlord again for the 3rd meeting this morning and realised that the whole thing was a scam! After asking him about his background and what he does for a living, we realised that he runs a series of sleazy bars around the area, and he even suggested that he can refer his customers to me! Why will I want sleazy people to come to my hostel? It is a backpackers hostel, and not a brothels!

He seemed proud that the Vietnamese girls will always go to his bars whenever they are in Singapore before heading somewhere. After I started asking all the questions about whether it will be sleazy and I am not interested in running a sleazy joint, he tried to redeem himself by saying that he was only talking about his other businesses and this place will be a mere 'meeting place' for the Vietnamese girls. I was like 'whatever'. It is definitely going to be a brothel.

Luckily I have not signed anything or sent any email correspondences, otherwise I am more than screwed! How am I going to answer to my investors? That I did not do my due diligence in checking more about the place that I am renting? It is definitely going to be bad and I can almost forget about setting up a backpacking hostel again!

Setting up of a hostel

Just viewed a place in Jalan Besar 1 week ago.

Things seemed perfect initially:
1. Area is able to partitioned into the ideal number of dormitory beds and private rooms
2. Landlord will take up the cafe and we will have a partnership but at least I do not have to take care of the details
3. Landlord has a few bars around the area and it will be easy to organise pub crawls
4. Landlord will take care of all the licensing required so it will be even more hassle-free
5. Air-con, electricity and sewage are in place and only require servicing

I have been asking around for about 1 month and it is really difficult to find a suitable location. Property market is striving in Singapore now, and prices are getting higher. Sometimes I really wonder when I will actually find a suitable place?

It is especially difficult when you are working alone. You basically have to solve all the problems yourself and there will not be anyone to share your workload. Especially when I am working as an auditor currently and it is not exactly the slackest job around!  Luckily I found a friend who does not mind listening to all my problems and giving me his opinions even though he has a full time job and a part time job at this moment!

Singapore's newest Backpackers Hostel is coming...

Stay tuned in late 2009 when Singapore's newest and most vibrant Backpackers Hostel opens.... The Drop Inn...









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