If one looks at the definitions, a guesthouse is traditionally a small, privately owned homestead that rents out its rooms at a daily rate. A guesthouse will also have fewer rooms than a hotel, usually anything from 4-10 rooms.

The size of the establishment As a broad rule of thumb, though, B&Bs tend to be smaller - most being under 10 rooms or so, and guest houses larger (often roughly 10-25 rooms). None of those dividing lines are exact though - and you will find 15-room B&Bs and eight-room guest houses (and indeed 'hotels').

A hotel is a company that provides short-term accommodation and can offer many facilities such as breakfast, a swimming pool, room service, 24-hour reception, and much more. A guest-house is a house that offers accommodation to travellers at a much lower price and has no employees since the owner and his family run it.

A guest house (also spelled “guesthouse”) is a type of accommodation where the traveler stays in a home hosted by a local resident. Guest houses are typically less expensive, more personalized and less formal than hotel stays. In some places, guest houses are the most common and/or only type of lodging available.