An investment analysis model for small hospitality operations

Presents an educational model that has been developed to evaluate investments in small hospitality operations. Developed in the context of small businesses in Turkey, the model presents a systematic approach to evaluating the feasibility of small bed and breakfast hotel investments. Evaluates investment alternatives using discounted cash flow techniques as the user enters inputs with respect to the variables influencing the net cash flows. Observes changes in the value of the investment as any of the input variables are changed or as new scenarios are developed. Believes that such an approach is expected to increase understanding of investment analysis and contribute to education and decision process of small investors who usually lack the means for formal feasibility studies.