Fernweh Inn & Hostel
Fernweh Inn & Hostel
Owner: Kelsey Schwager
Story written by: Kat Rico
Photography by: Lifestorm Creative Media
Walking up to the Fernweh Inn & Hostel, you pass through a white picket fence into a well-kept yard with a random dog toy or two scattered about. The Fernweh immediately feels like home, which is exactly what owner and founder Kelsey Schwager envisioned. “My goal is to give guests an amazing experience so they’ll continue to stay at other hostels while traveling. The Fernweh provides a safe, clean and comfortable environment, which is what every traveler deserves.”
Since Kelsey was 19, she’s spent as much time as she can traveling around the states and abroad, staying primarily in hostels. When she speaks about her experiences traveling, her passion is evident. She firmly believes hostels are a wonderful alternative for budget conscious travelers, but there are misconceptions about what hostels are in the United States. This sparked her dream of opening her own hostel. She pursued degrees in business, recreation and tourism, and earned an internship at a hostel in Gunnison, Colorado. Her three month internship turned in to three years of employment, as she learned the ins and outs of managing a hostel. “I knew I wanted to pull people together for a diverse social experience in a constantly changing environment.”
A combination of opportunity and hard work allowed her to purchase the Sheldon House, a designated historic landmark, with an ideal location in Old Town Fort Collins. In July 2014 she moved in, and with the help of friends and family, began the process of converting the old bed and breakfast to Fort Collins’ first hostel. Her biggest challenge before opening in October 2014 was city zoning regulations, but with persistence she received the approval she needed to realize her dream.
After she began accepting guests, Kelsey made her way to the Larimer SBDC. “When I went in, I wasn’t even sure I was a ‘real’ business yet. They’ve given me a lot of confidence and their excitement for me is inspiring.” Through meetings with several SBDC consultants, she received assistance with accounting, marketing and background activities guests don’t see. “Sure, my guests see me cleaning and answering emails, but that’s only about 10% of what it actually takes. All the background stuff, the other 90%, is huge.”
Currently, her hostel provides amenities such as bikes for guests, full use of the kitchen, a common 
area complete with board games, movies, books, a piano and fireplace, and even a costume closet. “Since I have been open, I’ve surprised myself and created the space to draw exactly the crowd I wanted. It is inspiring me to dream even bigger and think of new ideas.” Showing off the outdoor space behind the hostel, she talks about the future of a food garden, hammocks and a fire pit for summer relaxation.
“I’ve spent years gaining experience in the field, and working with the SBDC this year has been crucial to my success. The assistance and affirmations I’ve received there makes me think, ‘As a small business, who wouldn’t want this help?’”
In February of 2014, she hit the reset button and took another running start at business ownership by registering August Ink, selling custom screen printed t-shirts online. Her reasoning for the product shift was, “Pillow covers are fun, but everyone loves t-shirts.” The SBDC was helpful for her to have accountability and a consultant to bounce ideas off of. “The SBDC helps put my business into a framework. I understand why I should make the decisions I do for my business, and working with my consultant helps me set goals.”
For now, her business is based out of her home studio, where she handles everything from design to printing to shipping, but Andrea is excited for what the future will bring for her business. She is especially excited about the possibility of opening a retail store front to contribute to the vibrant Fort Collins business community, as well as hiring her first employees. “It’s an exciting time for women and entrepreneurs. You’ve got to make your own way, and when you do, you can do awesome things!”
In honor of those who have served our country, the Larimer SBDC has researched some powerful statistics about veterans who have come home to start businesses within our state and nationally. 
