Tourism is a significant sector in Tanzania's economy, contributing to both employment and foreign exchange earnings. However, sustainable business models are essential for long-term viability and environmental conservation. The study employs a mixed-methods approach, combining both qualitative interviews with key informants and quantitative surveys of tourism businesses. Data was collected from 150 randomly selected establishments across Tanzania's major tourist destinations. A notable finding is the increasing adoption of community-based tourism models, which involve local communities in revenue-sharing and resource management practices, accounting for 42% of surveyed establishments. The research underscores the importance of integrating sustainable business practices into tourism operations to ensure economic stability and environmental protection. Tourism managers should prioritise community-based initiatives and implement robust sustainability policies. This will not only enhance profitability but also contribute positively to local development. Sustainable Business Models, Tourism, Tanzania, Community-Based Initiatives