Management Contracts
Is a Hotel or Motel Management Company Right for you?
Ask yourself the following Honestly: Do I fully understand and do I have the time and expertise required to run a hospitality property?
Here’s a short list of some of the things to consider:
Request More Information on how to choose a Hotel/Motel Management Company
Contact us by filling out the form to the right and we will help you find the best solutions for your individual property needs.
Based on more than 25 years experience in negotiating, renegotiating, litigating, arbitrating and advising on more than 1,000 hotel management agreements.
THE MANAGEMENT AGREEMENT IS the single most important contract entered into by the hotel owner.
Careful negotiation of this legally binding document is critical, assit sets the rules that define the long? term relationship between the owner and operator and is referenced routinely throughout the life of the contract.
Management Companies
Operate hotels for owners that do not have the expertise and/or the desire to self-manage. These companies collect management fees predominately based on revenues earned and/or profits generated. Similar to franchising activities, the key drivers of revenue based management fees are RevPAR and unit growth and similar to ownership activities, profit based fees are driven by improved hotel margins and RevPAR growth.
Ask yourself the following Honestly: Do I fully understand and do I have the time and expertise required to run a hospitality property?
Here’s a short list of some of the things to consider:
- Hiring and Training Motivated Staff and Management
- Handling Payroll, Scheduling and HR
- Working with Vendors to ensure the best rates yet keeping with industry standards
- Branding a hotel or motel property for name recognition (required knowledge, even if affiliated with a national brand)
- Strategic Marketing of hotel and/or motel properties
- Understanding the terms and usages of industry data, i.e. RevPar, ADR, Occupancy
- Applying Standards in Operations Management
- Applying Risk Management Principles to aid in asset preservation
Request More Information on how to choose a Hotel/Motel Management Company
Contact us by filling out the form to the right and we will help you find the best solutions for your individual property needs.
Based on more than 25 years experience in negotiating, renegotiating, litigating, arbitrating and advising on more than 1,000 hotel management agreements.
THE MANAGEMENT AGREEMENT IS the single most important contract entered into by the hotel owner.
Careful negotiation of this legally binding document is critical, assit sets the rules that define the long? term relationship between the owner and operator and is referenced routinely throughout the life of the contract.
Management Companies
Operate hotels for owners that do not have the expertise and/or the desire to self-manage. These companies collect management fees predominately based on revenues earned and/or profits generated. Similar to franchising activities, the key drivers of revenue based management fees are RevPAR and unit growth and similar to ownership activities, profit based fees are driven by improved hotel margins and RevPAR growth.