This research work was carried out through the collection of some useful data collected from different sources which include the collection of data, via personal interview and the use of questionnaire given to staff as well as customers of Banuso Hotel, K. J. Hotel and Flora Hotel Ede Osun State. The secondary data was gotten from different textbooks. This work was carried out on the problem facing smallscale hotels in Ede Osun State. This research work has been divided into different chapters: Chapter one contains the following; introduction, background of the study, statement of the problem, objective of the study, definition of term. Chapter two is literature review, meaning and scope of small hotels was discussed also the smallscale business, importance of small scale business, organogram of small hotels. Chapter three comprises research methodology, method of data collection, problems encountered during data collection. Chapter four consists of presentation, analysis and interpretation of data. Chapter five includes summary, summary of findings, conclusion and recommendations.
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