Optimistic business owners hope for the best and plan for the worst. Meet a small business owner who’s successfully navigated operational disruptions due to a wildfire.
Tiki Time Tours is a small family-owned business headed by Jason Lloyd and his wife, Carolina. Their two businesses offer tiki bar boat rentals, water sport rentals, and tiki bus tours of local wineries and breweries.
Now heading into his fifth season, Jason sat down with SBBC to share what he’s learned about preparing for and surviving business disruptions after his brush with a wildfire in Kelowna in 2023.
The McDougall Creek Wildfire
Jason said he started his business out of necessity. He moved to the Okanagan with his family after being evacuated from Fort McMurray due to a wildfire. Once in Kelowna, Jason and his wife started Tiki Time Tours.
In the summer of 2023, Jason said everything in his business was on track. It was a great summer, even if it was a bit hot.
Then, on Friday, August 15, the McDougall Creek Wildfire began just 10 kilometres north of West Kelowna. That day, Jason and his wife went to work and brought their emergency kit and necessary documents. “We knew, we had a feeling that this wouldn’t stay small. So we were prepared,” said Jason.
“Right around midday, we could start to see that fire cresting the hill,” said Jason. “I’ll never forget when we saw that first flame jump over and then just spread that whole side of the mountain.”
The wildfire rapidly expanded, and officials declared a local state of emergency. Jason and his family were evacuated that day and stayed at a hotel. The following day, the Province told the public not to come to the Okanagan – an announcement that put a pin in the balloon of their season.
“When that wildfire happened, that just came to a screeching halt. There was no more revenue coming in,” said Jason.
Business challenges
In 2023, Tiki Time Tours was banking on its revenue projections through to the end of the season in October. As a seasonal operator, most of their expenses are upfront costs at the start of the season. It takes a while to earn revenue.
Jason had been counting on revenue throughout the entire season to help the business reach the next year and make improvements.
“In the tourism industry, we’re open to so many variable factors that affect our bottom line…we’re all competing for that last little bit of revenue that folks have after they pay their bills,” said Jason.
“You’re always walking that line of risk and reward…there’s always the unknown as a business owner that you think you’re prepared for,” he said.
Preparing your Business for the Unexpected
“I think we’re all busy with our day-to-day stuff in business,” said Jason. “But we need to make a plan.”
Jason’s mind is primed to look for solutions to potential problems during a business disruption. From considering what happens to the appliances once the power is restored to securing windows prior to evacuation – he has learned through experience what works for his business.
Jason recommends that businesses:
- Prepare physical checklists and emergency plans.
- Prepare emergency kits.
- Train and drill employees on emergency procedures.
Tourism Trends
So far, 2024 is not off to a strong start for Tiki Time Tours. “We’ve seen cancellations that we’ve ever seen before,” said Jason. “We are down considerably from this time last year.”
Jason stays attuned to what’s happening in the broader world. There’s a lot to consider, from new legislation on short-term rentals and fluctuating interest rates to weather and climate concerns.
For example, bookings made months ago have recently been cancelled. Jason suspects this new trend may be due to a reduction in available short-term rental housing in BC.
Many of his clients are large groups. Whether they’re here for a bachelorette party or a family reunion, these clients want to stay together. They don’t want to be split up into many hotel rooms. Now, as groups are looking for a place to stay, they’re finding limited availability, leading them to change their plans entirely.
Innovation in the Tourism Industry
“As a tour operator, the biggest challenge is that you have a small window to meet your revenue targets,” said Jason. Because the window to make revenue is so small, Jason must closely monitor his budget, projections, and costs like staffing.
To succeed, Jason keenly understands the environment in which his business operates, and he continues to add new products and services to his business operations.
Last year, Tiki Time Tours acquired a new company called Lakefront Sports, which offers equipment rentals from boats and jet skis to paddleboards, kayaks, and mountain bike tours.
“You can’t keep doing the status quo, especially being a tour operator…you have to innovate as well,” said Jason. “You have to constantly innovate and tweak things that need to be tweaked.”
The season ahead
What will this summer look like for Tiki Time Tours? “Hopefully, no wildfires,” said Jason. With a recent announcement that interest rates are decreasing, he’s optimistic that people will have a little bit extra in their banks and take a road trip to the Okanagan.
“It’s a beautiful place. We’re open for business…we just want to have a positive, great, full season,” said Jason.
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