Michigan State University Extension
Tourism Educational Materials - 33420030
06/06/02

Starting A Bed & Breakfast/Farm Vacation Business



Archived Document: This Extension bulletin is no longer
available from the publishing State and may contain
outdated information.

Source: Minnesota
Authors: Olson, Wanda; Alexander, Harold; Koth, Barbara;
Parliament, C.
ID: CD-FO-3255
Year: 1987

Development of this publication was a cooperative effort by
Community and Natural Resource Development, Home Economics,
and Agriculture.

What Is a Bed and Breakfast?

Bed and breakfast businesses provide lodging, breakfast,
and hospitality. These businesses are found on farms and in
rural communities as well as in larger cities. All are part
of a private residence, offer short term overnight stays,
include breakfast(s) in the room charge, and are known for
the personal services offered. Farm vacation homes usually
provide additional meals and activities for guests. Bed and
breakfast and farm vacation homes are alternatives to other
commercial forms of lodging; many have become attractions
in themselves. This booklet is designed to help you decide
if a bed and breakfast or farm vacation home is a realistic
business option for you.

Hospitality

Some assessment of personal qualities and entrepreneurial
skills is necessary to see if these businesses are a good
match for you and your family. The common factor across the
bed and breakfast industry is hospitality: it is the key
ingredient to any successful guest business. You must enjoy
meeting people and welcoming them into your home on a
regular basis.

The feeling of welcome goes beyond a handshake, and there
is much you can do to increase it. Do some play acting.
Enter your home as if you were a stranger, and have family
members greet you. Go to your guest room and stay in it for
a night. What do you need that is there, that is not there?

The hosts should be personable. It is customary to spend
time visiting with the guests upon arrival and at
breakfast. Be prepared to describe points of interest and
activities in the community, the background of your
business and its location, and information about you and
your family.

Family Implications

Before starting your business, carefully assess the impact
it may have on your family - both on living arrangements
and on specific needs of family members. If you answer yes
to the following questions, then this family-based business
may be for you. It can provide supplemental income and
introduce you to a new way of life.

Do you enjoy meeting all types of people?

Would you be comfortable with strangers in your home?

Would you be able to provide enough areas for use by
family members and the security of family belongings?
(This is easier to do in some houses because of the
arrangement of entrances, hallways, and sleeping rooms.
Remodeling or even rearranging furnishings can help to
separate family and business areas.)

Do you have the time to plan and promote this business and
still give time to your family?

Will you be able to spend substantial time with the
guests?

Will you be able to define the business responsibilities
for each family member?

Management Policies

When you share your home with guests, you have the right to
determine allowable activities and limits. To avoid
misunderstandings, it is a good idea to state these
policies in your brochure and post them in the rooms.

Make decisions about the following items:

Smoking restrictions

Use of alcoholic beverages

Whether children are welcome

Breakfast hours

Guest areas vs. family space

How and when bill will be paid

Use of credit cards

Whether pets are allowed

Use of the telephone, television, and radio

Arrival and departure times

Most guest make arrangements in advance, unless you are in
a community where hotel/motel accommodations are in short
supply. It is up to you to establish reservation
procedures, deposit policies, and cancellation and refund
rules. Reservation forms should clearly state these
policies. Deposits, if any, can range from one night's
lodging to a set dollar fee. Cancellation policies
generally specify a time frame, and it is common to refund
the deposit only if a room can be rebooked, minus a small
service fee. Alternatively, you might offer to hold the
deposit toward an overnight stay at another time.

If you would like to learn more about management practices,
stay as a guest at other bed and breakfasts. This exchange
of ideas will give you a better idea of nay standard
management policies in the bed and breakfast industry.

YOUR HOUSE, FURNISHINGS, AND FOOD

The bed and breakfast or farm vacation home facility can be
anything from contemporary to historic. It does not need to
be a mansion. It does not always have to be old or of
historical importance. It should however always be
comfortable, clean, distinctive, and pleasant. Your home
should be unique and reflect your family, the people who
live there. One of your selling points is "ambiance" - the
look or feel of your home.

Analyze why you think guests - paying guests - would find
your home a place where they want to stay. Look at your
house and its furnishings and consider what may be needed
to bring them up to code, make them more attractive, and
contribute to the smooth functioning of your business.

You should determine the "look" that you want to have in
your home and in the guest rooms. Analyze the furniture and
accessories you have, along with the style of your home and
its interior architecture. Be creative; your home should
reflect your tastes and interests. Personal items placed in
your home and even in the guest rooms are appropriate.

The bedroom needs a bed with a good quality mattress and
pillows, clothes and skirt/pant hangers, and a towel rack
if the bathroom is shared. Include a comfortable chair(s)
with light for reading, a mirror, and a nearby outlet for
personal appliances. The room should smell and look fresh
and clean. Extras such as a full length mirror, fresh
flowers or plants, recent magazines, a small selection of
books, fresh fruit, and a bedside container of ice water
will be appreciated.

When selecting furniture, especially new pieces, consider
strong construction and upholstery fabrics that are wear
and soil resistant as well as compatible with what is
already in the room. If you expect many guests, investigate
"contract" grade furniture, which is of more sturdy
construction for commercial use.

Sharing bath facilities is permissible. For some families
or family members, an additional sink or half bath would
make this arrangement more agreeable. Shared bathrooms must
be spotless and without personal clutter. Guests are given
time preference.

Food is a special part of bed and breakfast and farm
vacation homes. It should be memorable - what you serve,
how you serve it, and here it is eaten. Food should be
plentiful, but you do not need to offer a large number of
selections. Offer an assortment of beverages: coffee
(regular and caffeine free), tea, juices, and milk. You may
wish to have alternative foods on hand for persons on
special diets.

If you like to cook breakfast, serve your specialties:
muffins, pancakes, or omelets with sausages or bacon. If
you hate to cook or have only a limited food license, buy
the best specialties from your local bakery and complement
with fresh fruits and cheeses. Breakfast may be served all
at once (more difficult if all share one bath) or at
different times to accommodate guests.

Codes and Regulations

In Minnesota all bed and breakfast and farm vacation homes
must be licensed and meet state codes and regulations. In
addition, municipalities may have special restrictions.
Compliance with health, fire, and building codes and
regulations is needed to help ensure the health and safety
of the guests. The cost of compliance is a major
consideration in determining the economic feasibility of
your business. Zoning, building, and fire codes are minimum
requirements.

Zoning

Zoning approval is granted by a local jurisdiction and is
the first step in establishing the business. If you live in
a township, check both with township and county officials.
Some units have special ordinances regulating only bed and
breakfast operations. If there is no special ordinance,
seek approval under the general zoning ordinance.

If the home occupation is listed in the zoning ordinance as
a principal use, approval must be granted as a "matter of
right" if the business complies with specific standards in
the ordinance.

If the home occupation is listed as a conditional use, it
can be approved only after a lengthy administrative
procedure, including a public hearing. This action
increases the cost of approval and allow considerable
discretion by the governmental unit. Special restrictions
may be imposed on the business.

Some units use a hybrid approach, which might be called a
limited principal use. Approval is granted quickly by a
zoning official with limited discretion. A hearing may or
may not be required.

Concerns addressed by these ordinances include size of
proposed business and implications of expansion, parking,
signs, lighting, entrance and exterior, appearance, maximum
number of employees, maximum length of guest stay, and
limitations on meals served.

Food and Lodging License

This section includes a general discussion of facilities
with additional details in the Appendix. The Minnesota
Health Department licenses food, beverage, and lodging
establishments. Many of the county or city health
departments have contracts with the Minnesota Department of
Health to regulate the establishments. Inspections are made
ready. A local or state fire marshal will inspect and note
efficiencies. Bed and breakfast and farm vacation homes are
licensed as a hotel/motel and as a restaurant. The lodging
and food service annual fees will be between $90 and $125
depending on the size of the business.

If any remodeling or site work is to be done, check with
the appropriate building and zoning officials for a permit
or an application for inspection. Changes in plumbing or
electrical service may require the entire system to be
brought up to code. If the plumbing and electrical work is
in the area used by the business or is needed for the
business, the work must be completed by licensed
contractors.

BEFORE APPLYING FOR LICENSING, obtain zoning approval and
evaluate the specific requirements of the Department of
Health and the applicable fire and building codes. You may
request the health inspector to conduct a preliminary site
investigation to be followed by a final inspection and
license application. You will need an approved water supply
and sewage disposal system. The specifications for private
systems are listed by the Minnesota Department of Health in
"Sanitary Specification in Well Water Supplies," and by the
Minnesota Pollution Control Agency in "Septic Systems."
The greatest concern is that the water supply meets the
purity standards for coliform bacteria and nitrates. An
existing septic tank and drain field must be adequately
sized to handle the additional use.

Only a limited food license is needed if the food service
is limited to beverages and purchased rolls and pastries.
If the food service for a prepared meal is limited to 10 or
fewer guests, household kitchen equipment is allow with the
restaurant license. Otherwise, restaurant regulations
apply.

Specific food service requirements include the use of
either an automatic dishwasher in which the plate
temperature reaches 160 degrees F during a fill cycle or
hand washing in a three compartment sink using an approved
chemical sanitizer and air drying.

Safe food handling practices must be observed and all food
used must be obtained from an approved source. No home
canned or frozen food can be used in food preparation.
Fresh home grown fruits and vegetables can be used if
pesticides, if used, are applied according to directions
listed in Minnesota Extension Service guides to pesticides.
There will not be an excessive residue remaining on the
crop if the current pesticide label directions are
followed, and the pre-harvest interval (the length of time
between application and harvesting) is observed. There are
stringent EPA and FDA regulations regarding pesticide
residue levels.

If "homemade jams or jellies" are to be served they must be
prepared according to the Minnesota Department of
Agriculture regulations. The requirements for approved
facilities, methods of processing, and labels are listed in
the Minnesota Extension Service guide. The family kitchen
is not an "approved facility."

Lodging regulations specify minimum bathroom facilities and
a minimum size for sleeping rooms of 70 square feet of
usable floor space or 60 square feet for each person if the
room is to be used by more than one person.

Fire code requirements differ depending upon the size of
the business. The requirements specify the number and type
of exits from the sleeping rooms and the required smoke
detectors, fire alarms, and fire extinguishers. The fire
codes identify other types of unsafe conditions. These
include interior surface finishes that would allow a quick
flame spread, improper storage of flammable materials, and
an attached garage without a fire wall.

Insurance and Taxes

General liability insurance is needed. Your current
homeowner's insurance policy will not cover the risks
associated with paying guests. Common coverage would
include house and contents, medical (per person and per
occurrence), and liability. Several policies for bed and
breakfast businesses have been written for $1,000,000
liability. Assess and manage your risk by working with your
insurance agent to determine an appropriate liability limit
for your specific situation. Purchase insurance from a
company that has experience with the special needs of this
particular type of hospitality business. Some insurance
companies are offering special coverage for home ventures
including the guest business.

Rates charged for all guest accommodations and meals are
subject to Minnesota sales tax. Before beginning business
and making taxable sales, apply for a Minnesota sales and
use tax permit. Request form M.B.A. "Application for
Minnesota Tax Identification Number" from the Minnesota
Department of Revenue.

A free kit containing federal tax forms and publications
needed by businesses is available from the Internal Revenue
Service. This kit contains a basic reference bulletin, "Tax
Guide for Small Businesses," that discusses federal tax
laws and deadlines as they apply to business operations.

The Business Plan

A comprehensive business plan should be developed before
beginning a bed and breakfast or farm vacation operation.
The major purpose of a business plan is to analyze the
business in an objective and critical fashion to determine
if it is a sound investment. A business plan also forms the
basis of a financial proposal if you seek financial
assistance from bankers, investors, friends, or extended
family members. If you decide to invest in your bed and
breakfast or farm vacation operation, the finished business
plan will assist you in managing the business.

Starting any business involves risk. Money invested in a
business may not earn a return or may even be lost.
Consider how much you could earn by investing your money in
something other than the proposed business, and how much
you could earn working for someone else. Your calculations
will vary depending on whether you expect your bed and
breakfast business to be a supplemental income source of
$1000 to $3000 per year or the major source of family
income. You determine your expectations.

If you start a bed and breakfast, you should be willing to
earn an amount less than your desired income for a minimum
of one to three years. On average, small businesses do not
earn a profit in the first two years. One of the main
reasons small businesses fail is because they do not
project and obtain enough working capital for the first two
years of operation.

One way to improve the chances of your business success is
to develop a business plan which carefully estimates income
and expenses. There are three major elements of a business
plan: an organizational overview, a financial plan, and a
marketing plan. The overview includes a description of the
business - location and services, information on the
background and skills of the individuals operating the
business, short and long term goals and the form of the
business.(sole proprietorship, partnership, or
corporation). An attorney and a tax advisor can help you
decide which form of business is best for you.

Financial Section

The financial section of the plan is used to determine if
the business will earn you a return on your investment of
time and money. A cash flow projection will indicate to
you how much cash is needed and when it is needed. Cash
flow projections are constructed by first estimating
monthly expenses and monthly income.

To estimate your income, you need to determine the prices
you plan to charge as well as your season(s) of occupancy.
The first step in setting rental rates is to estimate your
costs carefully to insure the price you charge covers your
costs at the occupancy projected. This calculation is
critical to your financial success.

You then can compare your expected rates with other lodging
establishments. there is great variation in the Minnesota
bed and breakfast industry. 1987 overnight rates ranged
from $20 to $80 for double occupancy. One informal rule of
thumb used by some bed and breakfast operators is to price
at 40 to 65 percent of the high-quality room rates in the
region. Guest businesses may charge more depending on
amenities provided.

With respect to expenses you will need to estimate the
start up capital required for investment in home
improvements, furniture, linens, and safety equipment.
Legal and accounting assistance may also be needed before
the business starts earning income. Next you need to
estimate the operating expenses that do not vary with the
number of guests such as insurance, license fees, and debt
repayment. A more difficult task is to estimate the costs
that vary with the occupancy rates: utility costs for hot
water, lighting, heating, and air conditioning; food;
cleaning and office supplies; repairs and maintenance;
advertising; employment-related wages and taxes; and a
replacement reserve for worn out equipment and furniture.

Your final cash flow projections will determine the amount
of financing required for your bed and breakfast. The
initial source of financing for a small business venture is
you. you should expect to invest from 35 to 50 percent of
the total financial needs. The balance may come in the form
of a commercial bank loan, providing you have adequate
collateral to pledge for the loan. Care should be taken
when committing person assets to finance the business. You
may be risking the loss of your home, car, and land.

A successful business owner needs financial management
skills. Even if an accountant or bookkeeper is hired, the
manager/owner should be able to track progress and
translate financial data in order to make decisions that
will maintain a healthy business.

If you have never been in business, there are several
sources of assistance to help you get started. The State
of Minnesota is the publisher of an excellent reference
book, A Guide to Starting a Business in Minnesota. A copy
of this free guide can be obtained from the Minnesota Small
Business Office. You might also contact the Small Business
Administration to obtain free brochures on developing a
business plan, recordkeeping, analyzing records, pricing,
and budgeting.

Marketing Section

In the marketing section of the business plan, outline the
current market situation. Describe the bed and breakfast
experience you are selling in terms of the benefits it
offers to your guests, such as a rural getaway or farm
experience. Define the features that are available -
proximity to outdoor recreation, a scenic setting,
historical interest, accessibility for business travelers,
or location in a town with limited overnight
accommodations. Who and what is your competition in the
hospitality industry? What are your strengths and
weaknesses?

Use this information to "position" your product and set
your bed and breakfast home apart from competitors.
Determine if you are offering convenient location, better
service, top quality accommodations, or low price. You
can't sell all four and stay in business. Your image is
based on this positioning.

A key to marketing is to select a segment of the market -
the target market - and then to direct marketing efforts to
that group. A target market is a group of high-potential
customers who share similar characteristics such as age,
income, lifestyle, and geographic location. These
characteristics frequently define customer expectations.
For example, upper middle income customers may be willing
to pay a higher price in return for more service.

Other examples of target markets are business travelers
visiting nearby companies, cross-country skiers who use
local trail systems, or urban families interested in rural
experience. The size of the target market should justify
your marketing efforts. You do no have to be located in a
traditional tourist area to capture the bed and breakfast
trade if you can tap into existing travel generated by
commercial activity or major travel routes.

Promoting Your Bed and Breakfast

You can not afford to waste any of your valuable dollars in
today's competitive tourism marketplace. In other family-
based lodging businesses like resorts, it is common to
spend a minimum of four to six percent of gross sales for
marketing. A higher percent is typical during the first
years of operation when you're trying to create awareness.
Therefore, it is important that you know who your prospects
are, what will motivate them to buy, and how to promote
purchase of your product.

From the market assessment in the business plan, you can
develop realistic marketing objectives that state what you
want to accomplish. Be specific, include a time frame, and
make sure the outcome is measurable. An example of a well
thought out marketing objective would be: increase average
weekly occupancy to 50 percent during the fall season
(Labor Day to November 15) through promotion directed at
retired couples in the Twin Cities.

The first marketing strategy that comes to mind is
advertising - paid nonpersonal communication with potential
customers. Bed and breakfast operators often advertise
together under a banner headline to create awareness of
B&B's as a lodging option. Good advertising should stress
a benefit, be honest and believable, inform, and enhance
the image of the advertiser. There are also ways to
piggyback formal advertising with a combination of
inexpensive promotion and free publicity to keep your
business in the public eye.

Printed Materials

You will need a professional - looking brochure to send to
guests in response to inquiries, to distribute at visitor
information locations, and to use in any direct mail
campaigns. If the design and text are well done, an
inexpensive one-color brochure with line drawings can be
effective. A standard piece that describes your facility,
services, and local attractions, with a single page rate
insert sheet, will avoid reprinting charges each time you
raise prices. A logo helps create a consistent image you
can use on stationery, business cards, and reservation
forms.

A bookstore or library can help you find the numerous
guidebooks that list bed and breakfasts on a nationwide or
regional basis. The Minnesota Office of Tourism annually
publishes a directory of licensed bed and breakfasts and
historic inns. There are also many regions and community
tourism guides where you can place a listing for a fee.

Publicity and Public Relations

Be sure your bed and breakfast gets referrals locally when
travelers stop in town. You want your home to be the first
place people think of for overnight lodging. Gain that
support early: keep the neighbors informed about your plans
and have a community-wide open house when you open your
doors for business. Take advantage of every opportunity to
host meetings or to speak about your operation to groups.
It is impossible to overemphasize the importance of
becoming an active member of the Chamber of Commerce and
local tourism promotion groups.

You can't buy the kind of publicity you get from a feature
story in a magazine or newspaper. Travel writers don't just
wander into town; invite them and develop ongoing contacts
that will encourage them to visit. Travel publications look
for the new and the noteworthy, an unusual "hook," and
human interest stories that appeal to their specific reader
profile. Tourism businesses in a region also organize "fam"
tours from time to time to familiarize travel writers with
area attractions and hospitality services.

Travel Promotions

Incentives such as a weekday discount, lower rates for
extended stays, coupons, or promotional drawings can
introduce guests to your facility. Another growth area in
tourism is packaging, where a variety of services such as
lodging, food, entertainment, and transportation are
available for one inclusive price. For instance, work with
a local restaurant and theater to offer a price break for
a complete overnight package.

Reservation Service Organizations (RSO's)

Reservation service organizations maintain national or
regional listings of B&B's and take bookings. Typically
there is an annual fee and a 15 to 25 percent surcharge on
each reservation. The advantage of affiliation with RSOs is
that they can make direct contact with potential guests and
screen them for you according to your preferences (smoking,
use of alcohol). RSO's may also have aggressive publicity
campaigns, and some hosts are willing to pay for these
conveniences.

Referrals

But always - THE BEST PUBLICITY IS WORD-OF-MOUTH REFERRALS
FROM SATISFIED GUESTS. Use an evaluation form to determine
how you have met the expectations of your guests.

Results

Finally, decide how to monitor results. Always code
advertisements so that it is possible to track their
effectiveness in receiving inquiries and making bookings.
Continually check with guests to find out how they learned
about your home. Study the results, update objectives, and
investigate why sales have increased or declined.

References

Davies, Mary and P. Hardy, J. Bell and S. Brown. So...You
Want to Be An Innkeeper. 1985. 101 Productions. San
Francisco.

Mathews, Beverly. Start Your Own Bed and Breakfast
Business. 1985. Pocket Books, New York

State of Minnesota

Procedure for Obtaining a License to Operate a Food,
Beverage and a Lodging Establishment. Minnesota Department
of Health.

Requirements for Food and Beverage Establishments,"
Minnesota Statute Chapter 4625 Department of Health.

Requirements for Lodging Establishments, "Minnesota Statute
Chapter 4625 Department of Health.

Sanitary Specifications for Well Water Supplies, Minnesota
Department of Health.

"Septic Systems." Minnesota Rules Chapter 7080, Minnesota
Pollution Control Agency.

Minnesota State Fire Code, an auxiliary code in the
National Fire Protection Association 101 Life Safety Code.
Minnesota State Fire Marshal.

Minnesota Building Code, State Building Code Division.

University of Minnesota, Minnesota Extension Service

"Establishing the Ambiance in a Bed and Breakfast or Farm
Vacation Home," HE-FO-3219.

"Commercial Vegetable Weed, Insect and Disease Control
Guides," AG-FO-1879-1885

"Commercial Apple Pest Control," AG-FO-0844

"Weed Control - Commercially Grown Strawberries" AG-FS-1131

"Blueberry Production In Minnesota," AG-FO-2241

"Commercial Raspberry Pest and Weed Control Guide," AG-
GS-1135

"Commercial Strawberry Pest Control Guide." AG-FS-1134

"Manufacture of Jams and Jellies for Retail Sale," Extend-U
(through County Extension agents)

"Analyzing Interior Spaces in Your Home for a Home-based
Business." HE-FO-3367.

"Low-Cost Improvements of Home, Resort, and Business
Furnishings," HE-FO-3366.

"Tourism Brochures to Boost Business," CD-FO-3273.

"Tourism Advertising: Some Basics," CD-FO-3311.

"Evaluating Tourism Advertising with Cost-Comparison
Methods,"
CD-FO-3372.

"Courtesy Is Contagious." CD-FO-3271

"Developing a Bed and Breakfast Business Plan," CD-BU-3462.

Minnesota Extension Service (1988). "Private Pesticide
Applicator's Training Manual," available from Minnesota
County Extension agents/agriculture.

Two video tapes:

"Bed and Breakfast Operation," CD-VH-3167.

"To B&B or Not To B&B," CD-VH-3295.

The County Extension agent has a wealth of information on
space planning, selection and care of furniture and
equipment, and remodeling the home.

Resources

If you have questions or wish to request a copy of any
regulations or specifications, check with your local
officials or call or write:

Minnesota Department of Health
717 S. E. Delaware Street
Minneapolis, MN 55440
License Applications (612) 623-5341
Plumbing (612) 623-5328

Minnesota Department of Revenue
Sales and Use Tax Division
P.O. Box 64452
St. Paul, MN 55164
(612) 296-6181

U.S.Internal Revenue Service
Taxpayer Assistance Unit
Rm. 380 Federal Building
St. Paul, MN 55101

or

Rm. 149 Old Federal Building
210 Third Ave. S.
Minneapolis, MN 55401
(612) 291-1422
1-800-424-1040

Minnesota Pollution Control Agency
520 Lafayette Rd.
St. Paul, MN 55155
(612) 296-7252

Minnesota Small Business Office
900 American Center Building
150 East Kellogg Blvd.
St. Paul, MN 55101
(612) 296-3871
1-800-652-9747

Small Business Administration
100 N. 6th St.
Minneapolis, MN 55403
(612) 349-3550

Minnesota State Building Code Division
Metro Square Bldg.
St. Paul, MN 55101
(612) 296-4639

Minnesota State Fire Marshal
289 E. 5th Street
St. Paul, MN 55101
(612) 296-7641

Minnesota State Office of Tourism
250 Skyway Level
375 Jackson Street
St. Paul, MN 55101
(612) 297-2901
1-800-652-9747

Bed and Breakfast Networks
Minnesota Historic Bed and Breakfast Association
649 W. Third Street
Hastings, MN 55033
(612) 437-3297

American Bed & Breakfast Association
P.0. Box 23294
Washington. DC 20026
(703) 237-9777

The National Bed & Breakfast Association
Phylis Featherstone, President
148 East Rocks Road, P.0. Box 332
Norwalk, CT 06852
(203) 847-6196

The Bed & Breakfast Society
Kenn Knopp, Coordinator
330 West Main Street
Fredericksburg, TX 78624
(512) 997-4712

Appendix

Food Service and Lodging Regulations, Fire Safety
Standards.

The items in bold face in the following sections relate
directly to the regulations for bed and breakfast or farm
vacation homes when 10 or fewer guests are served.

Food Service Regulations

Dishwashing

Use either an automatic dishwasher in which the plate
temperature reaches 160 degrees F during a fill cycle or
hand wash in a 3 compartment sink using an approved
chemical sanitizer and air drying.

Kitchen Aid (KDSC21A, KDSM21A, KDSS21A) and Thermador/Waste
King (THD4800, THD3800, WKD3700) are models in which the
temperature is reached or exceeded. In most dishwashers
with a "sani" option or sanitizing cycle the water
temperature reached is not higher than 150 degrees F.
Water heating dishwashers typically are designed to heat
the incoming water to 140 degrees F or 150 degrees F.

There may be a more rapid loss of metal trim and a more
rapid rate of etching of glassware when consumer dishware
is continually exposed to high water temperatures. Chlorine
bleach is one of the approved sanitizers for hand dish
washing. When used with plastic dishware it can cause
deterioration of the surface of the dishware and also leave
a disagreeable odor.

Refrigeration

Household (domestic) equipment is permitted. The
refrigerator should be large enough and have a cooling
capacity for the amount of food and type of menu served.
Serving lunches and dinners to ten guests requires more
capacity than breakfast for two or three guests. The
temperature of perishable food must be held at 40 degrees
F or lower.

Ranges & Microwave Ovens

Household (domestic) equipment is permitted. Commercial
ranges with their greater heat output have clearance space
and ventilation requirements that are different from those
for household (domestic) ranges.

Microwave ovens with the higher wattage (600-700 watt
output) and larger cavity size (one cubic foot or greater)
are the most suitable. Ovens with higher wattage output
heat faster than those with lower wattage output. The
larger cavity size should accommodate frequently used
serving dishes.

Tableware and Kitchenware

The utensils used in the storage, preparation, and serving
of food must be of non-toxic and corrosion-resistant
materials. All surfaces in contact with food should be
easily cleaned and sanitized. Cookware can be of stainless
steel, aluminum, iron, glass, glass-ceramic, or plastic
(not soft reused food containers). Enamelware is
unacceptable because if the surface is chipped, acid foods
in contact with the bare metal could form a poison. Wood
cutting boards or chopping blocks have to be completely
cleaned and sanitized after each use with raw meats or
poultry.

Walls, Windows, and Floors in the Food Preparation Area

These surfaces should be easy to clean. Smooth floor
coverings, sealed wood, and tile are acceptable; kitchen
carpeting is not.

General Home Cleanliness

Measures shall be taken to minimize rodents, flies, and
insects.

Pets should not be allowed in the kitchen food preparation
area.

Diapering of babies should not be allowed in the kitchen
food preparation area.

General family laundering should not be done in the kitchen
food preparation area.

Pesticides, toxic chemical cleaners, and products except
sanitizing agents should not be stored in the kitchen food
preparation area.

General Food Protection

No home canned or frozen foods an be used in food
preparation. Fresh home grown fruits and vegetables can be
used if pesticides, if used, are applied according to
directions listed in Minnesota Extension Service guides to
pesticides. There will not be an excessive residue
remaining on the crops if the current pesticide container
label directions are followed and the pre-harvest interval,
the length of time between application and harvesting, is
observed. There are stringent EPA and FDA regulations
regarding pesticide residue levels. If "homemade Jams or
Jellies" are to be served they must be prepared according
to the Minnesota Department of Agriculture regulations. The
requirements for approved facilities, methods of
processing, and labels are listed in the Minnesota
Extension Service guides. The family kitchen is not an
approved facility.

No home slaughtering of meats is permissible. Slaughter
must be in a USDA or Minnesota Department of Agriculture
inspected facility.

Fluid milk or milk products must be pasteurized. Home
pasteurized milk must meet standards for bottling milk.

Food that is perishable and potently hazardous should be
stored at temperatures 40 degrees F or below, or 150
degrees F or above.

Food supplies must be stored in a clean, dust-free
location.

Supplies once opened must be stored in hard-sided closed
containers.

Food served at a meal that has been in serving containers
and unwrapped must not be reused.

Follow good hand washing practices. Use separate towels.

Other Food Service Considerations

The food service aspects of bed and breakfast and farm
vacation home businesses may place greater work demands on
the kitchen, and additional storage and counter space may
be needed. A good arrangement will contribute to safe and
convenient working conditions. If two persons are to
prepare food at the same time (a) plan for separate work
areas no less than 36 inches wide each or one extended work
area 60 inches wide. The word areas should each be
convenient to the sink(s); and (b) avoid placing two or
more major pieces of equipment in a location so that two
persons would need to use the same working/operating space.
Corner work areas are difficult for two persons. A separate
microwave oven and range would be preferable to a microwave
range or to a range and an over-the -range microwave oven.

Lodging Regulations

Sleeping Rooms

Sleeping rooms must contain a minimum of 70 square feet of
usable floor space (closets, lavatories not included) or 60
square feet for each person if the room is used by more
than one person. There must be no less than 400 cubic feet
of air space per person. A 3 foot space is required
between beds when located side by side. Basement sleeping
rooms are not allowed unless half the space is above grade.
The sleeping room (bedroom) needs a bed with a good quality
mattress and pillows, a closet with clothes and skirt/pant
hangers, and a towel rack if the bathroom is shared. Other
amenities include a comfortable chair with light for
reading, a mirror, and an outlet for any personal
appliances.

Clean bed and bath linens must be supplied for each guest.
Wash linens separately from family laundry: hot water and
a sanitizing agent such as chlorine bleach should be used.

Bathrooms

While a minimum of one toilet and lavatory is required for
every 10 occupants and one bath tub or shower for every 20
occupants, the zoning, building, and fire code requirements
should be checked if you want to keep single family
dwelling classification. Sharing bath facilities is
permissible. For some families or family members, an
additional sink or half bath would make this business
arrangement more agreeable. Shared bathrooms must be
spotless and without personal clutter. Guests are given
time preference.

Hot water at the bath, shower, or hand washing sinks should
be no higher than 130 degree F. Mixing faucets are
available. Bed and breakfast and farm vacation home
businesses place extra demands on hot water. Laundry times
can be staggered; bathing and showering by guests is likely
to occur within a short time period. Baths (half fill
standard size) take about 30 gallons of 105 degree F water
(15 gallons of 140 degree F water if cold is set at 50 F).
Showers use about 4 gallons of 105 degree F water per
minute or 2 gallons per minute if equipped with a low flow
shower head. Check the first hour rating of your heater to
see if it is adequate. A tankless water heater could serve
baths and showers.

Other Lodging Considerations

Rooms used in conjunction with the bed and breakfast or
farm vacation home businesses shall be lighted and
ventilated as needed.

Some areas need to be lighted for safety, especially steps
and stairways. Other areas needing special lighting are the
mirror in the bathroom and work areas in the kitchen.

Additional showering and cooking increase the ventilation
load. Whenever exhaust systems are installed there must be
some provision for make-up air (fresh outdoor air). Tightly
weatherized houses with combustion heating equipment must
have a combustion air supply as well as sufficient make-up
for power exhaust fans to prevent back drafting of
combustion flue gases.

Fire Safety Standards

The minimum standards include the state fire code,
auxiliary codes plus any additional stricter standards
adopted by local governments. Additional safety provisions
may also be included in the state building code; these
would be in force in those communities where the state
building code is in effect.

The language in the codes is detailed, often with several
options given. The general requirements relate to the
number and type of exits from the sleeping rooms, together
with the required smoke detectors, fire alarms, and fire
extinguishes. The fire codes identify other types of unsafe
conditions. These include interior surface finishes that
would allow a quick flame spread, improper storage of
flammable materials, and an attached garage without a fire
wall.

The code requirements differ depending upon the size of the
operation. The statutes and codes relating to fire safety
define a unit as a single family dwelling if it has
accommodations for no more than three guests, as a lodging
house if it can accommodate more than three guests and has
five or fewer guest rooms, and as a hotel if it has six or
more guest rooms.

Sleeping rooms in a single family dwelling or lodging house
must have two means of emergency escape and rescue, one as
a door or stairway leading to unobstructed travel to the
main floor and to the outside. The second means of escape
may be an operable window with an unobstructed opening of
at least 5.7 square feet in area, at least 20 inches wide
and 24 inches in height. The doorway (except the bathroom
door) or pathway shall be no less than 28 inches wide.
Stairs used for vertical escape must be no less than 36
inches in width, with the tread depth no less than 9 inches
and the height of the risers no more than 8 inches.

All guest sleeping rooms in all dwellings must be provided
with a smoke detector.

A fire alarm system must be installed when the dwelling has
two (2) or more guest rooms. The fire alarm system must be
powered by the house electrical system.

If there is only one guest room, no alarm system is
required. If there are two guest rooms an alarm system
required is required in accordance with the Minnesota
Uniform Fire Code (wireless systems that meet U.L. 985 are
acceptable).

An approved fire alarm system must consist of smoke
detection on all levels; including basements and attics
used for storage, along with manual pull stations at all
required exits. The alarm signal must be audible in all
guest rooms. Heat detection devices may also be required in
hazardous areas as required by the fire inspector.

If the house has more than ten occupants on the second
story then there must be a complying second exit from this
story. Any floor above the second story, if occupied,
requires a minimum of a complying second exit regardless of
the number of occupants.

Issued in furtherance of cooperative extension work in
agriculture and home economics, acts of May 8 and June 30,
1914, in cooperation with the U.S. Department of
Agriculture, Patrick J. Borich, Dean and Minnesota Director
of Minnesota Extension Service, University of Minnesota,
St. Paul, Minnesota 55108. The University of Minnesota,
including the Minnesota Extension Service, is committed to
the policy that all persons shall have equal access to its
programs, facilities, and employment without regard to
race, religion, color, sex, national origin, handicap, age,
veteran status, or sexual orientation.

CREDITS

Wanda Olson, chief author, is an associate professor and
Extension specialist, Department of Design, Housing, and
Apparel, University of Minnesota.

Harold Alexander is an associate professor and Extension
specialist in the Department of Design, Housing, and
Apparel, University of Minnesota.

Barbara Koth is an assistant Extension specialist, Tourism
Development, University of Minnesota.

Claudia Parliament is an assistant professor and Extension
economist, Department of Agriculture and Applied Economics,
University of Minnesota.

The author gratefully acknowledges contributions from Jo
Undem, graduate student; Janice Thompson, research
consultant; Harold Alexander, illustrator; Margo Doten,
editor; Elroy Berdahl, State Building Code Division; Ray
Gaffre, State Fire Marshal's Office; Charles Schneider,
State Department of Health.

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