Opening a travel agency is a dream that can come true… but before getting started, the first question we often ask ourselves is: what budget should you plan? No need to go in blindly! I’ll walk you through the main expense items so you know exactly what to expect.
In this guide, I break down the essential costs: from administrative costs to premises, including marketing and staff. At the end, you will have a clear vision of what you need to plan to bring your project to life.
Administrative costs: the basis for getting started
Even before welcoming your first client, you will have to take care of the administrative procedures. Here are the main categories of expenses to plan for:
- Creation of the company : Incorporation costs vary depending on the legal status chosen (EURL, SARL, SAS, etc.). On average, it costs between 200 and 500 € for administrative procedures and registration.
- Insurance : Professional insurance is mandatory for a travel agency. Plan approximately 300 to 800 € per year, depending on the coverage chosen.
- Financial guarantee : This is a key step since it guarantees customers that they will not lose their money in the event of a failure. The amount depends on your forecast turnover, but the guarantee can quickly reach €20,000 to €50,000.
💡 Tip: Some banks or specialized insurers offer competitively priced guarantees for small agencies, so compete!
The premises: a strategic investment
If you open a storefront agency, the premises are a heavy investment. Here’s what to consider:
- Rent : Prices vary greatly depending on location (for example, in the city center or on the outskirts). On average, commercial premises are rented for between 500 and 2,000 € per month.
- Layout : To create a welcoming and professional space, you must plan between 1,000 and 5,000 € for decoration, furniture and equipment.
- Charges (water, electricity, internet) : Counts approximately 150 to 300 € per month fixed costs to be added to the rent.
👉 If your budget is limited, consider an online agency can reduce this expense to zero !
Work tools and software: essential to function well
Today, no agency can do without high-performance technological tools. Here are the main expenses to include in your budget:
- Travel management software (CRM) : Tools specific to travel agencies cost around 50 to 200 € per month, depending on the features.
- Website : Whatever your business, an online presence is IN-DISPEN-SA-BLE. Site development can cost between €1,000 for a basic site and €10,000 or more for a tailor-made platform.
- Computer hardware : Between purchasing computers, printers and other equipment, plan on approximately €2,000 to get off to a good start.
💡 Practical advice: Opt for a “software as a service” (SaaS) solution that offers flexible and scalable subscriptions.
Staff: how much does it cost to hire?
Even if you start out working alone, it is likely that you will need support along the way, whether to manage clients, organize travel or promote the agency. Costs include:
- Wages : An entry-level travel advisor costs on average €1,800 gross per month, to which must be added employer contributions (approximately 40% of gross salary).
- Training : The sector is evolving rapidly, and training can cost between 200 and 2,000 € per employee.
✍️ Also consider outsourcing certain tasks, such as marketing or accounting, to limit fixed costs.
Make your agency known: the marketing budget
Opening a travel agency requires a good visibility strategy. Otherwise, your future clients will never know you exist!
- Advertising campaigns : Between Google Ads and Facebook Ads, plan on at least €300 to €1,000 per month, depending on your geographic area and target audience.
- Print & Flyers : If you want to distribute flyers or install a physical sign, the cost can vary between €500 and €2,000.
- Social networks & SEO : Managing your social accounts and optimizing for search engines can cost you between €200 and €500 per month if you outsource.
👉 Don’t forget to take advantage of local partnerships and events to effectively promote your agency without spending too much!
FAQ about opening a travel agency
Does an online agency cost less to open?
Yes, definitely! By eliminating the cost of premises, you save a large part of the initial investments. But you have to compensate with a solid marketing budget to make yourself known.
How long before becoming profitable?
It all depends on the initial investment and sales, but in general, it takes between 1 and 3 years to reach a break-even point.
Do I need a degree to open a travel agency?
No, there is no requirement for a degree. However, having a good knowledge of the sector and the regulations is a real plus. Don’t hesitate to take a training course to prepare yourself.
Is there any assistance to finance my project?
Yes! In France, you can apply for assistance such as honorary loans, local subsidies or even financial support via Bpifrance.
And you, ready to get started?
Opening a travel agency is an exciting adventure, but it requires good financial preparation. By carefully planning each cost, you will maximize your chances of success while minimizing the unexpected.
If you are still hesitant about certain points, remember that I am here to help you. Ask me all your questions in the comments or contact me directly. And above all, keep me informed when your project progresses!