How much can you earn?

Travel agencies are paid on a commission only basis so when you sell a holiday the tour operator gives you a certain percentage of the fee. The amount of commission that you are given varies greatly, you can anything form 10% to 18%. The only way tour operators will give you a high percentage is if you are a member of a trade association and how well known you are. Therefore, it is crucial that you provide an excellent and unique level of customer service to both the tour operators and the customers.

Another important thing to remember is that when people book a holiday with you they only pay a deposit and then the rest of the holiday is not paid in full until 8 weeks before the holiday. Therefore, the tour operators do not pay you until the holiday amount is paid in full so you must manage your money extremely well.

Altogether, you can not expect a huge amount of income as soon as you start up a travel agency, you have to build up a good reputation through excellent customer service. Once this reputation is established then you can start to build on it and make money.

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