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Updated: 15-11-2013

Business at Christmas in Tenerife

Business is brisk at Christmas time in Tenerife in more ways than one. From the smallest bar to the largest hotel, the cash registers beep in satisfaction as every nook and cranny of the island gets filled up with tourists. But while Tenerife business buzzes, behind the scenes there is another round of buying and selling that also reaches its most active at this time of the year. The winter is when the highest number of businesses change hands, and Christmas this year in Tenerife looks like it’s going to be busier than ever!


Christmas is the major holiday season in Tenerife when the numbers of tourists are at their highest. There are not that many places within a few hours of flying from Northern Europe’s cities that can offer sun-starved tourists the weather they need. Christmas sun is rare for most holiday destinations and Tenerife is one of the few resorts to offer it. Naturally the island fills up.


But it is not just the quantity of tourists that makes Christmas so prosperous, it is also the quality. High demand for winter sun combined with a low supply of destinations means that prices of holidays and flights to Tenerife go up. Higher prices mean that winter tourists in Tenerife tend to be more affluent than at other times of the year, spending more during their stay on the island.


Christmas is a spending season everywhere in the world. Not only do retailers enjoy the rush of purchases, but people go out more, eat out, drink more... and when they are on holiday they do it double. Tenerife businesses of all types prosper during the winter season.


Amidst all this activity, the season also triggers an influx of business investors from abroad. A cold winter in Northern Europe serves to encourage some and persuade others that they might improve their quality of life by running a business in Tenerife. The onset of the New Year encourages life-changing decisions and the number of serious business buyers on the market peaks.


It looks like this year is going to be a bumper year for business sales in Tenerife. With the recession at an end, the businesses that remain are viable, lean and hungry. Any business in Tenerife bought at this point in the economic cycle is going to have all the potential a buyer needs to grow as the economy becomes more prosperous. Yet, to the buyer’s advantage, prices of a Tenerife business for sale are yet to recover and the market is still has bargains to offer.


Being in the right place at the right time is the Holy Grail for entrepreneurs, and the Tenerife business sector has reached that golden moment. Buyers can see their prospective business thriving in a busy market, yet the cost of acquisition is at a historic low. Businesses for sale at the moment have none of the boom-time fat of inflated overheads and cash flow sapping costs. They are trimmed down and ripe for expansion and investment. And perhaps most importantly of all, we are just recovering from one of the deepest recessions, from now on, the only way is up. The best advice to any investor right now is to stop sitting on the fence and invest in the best Christmas present an entrepreneur could wish for and run your own Tenerife business in time for the busy New Year.


By Irina Saltmarsh

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