Finding the right hotel management company is one of the most important decisions that a hotel owner can make.
Whether you’re an owner, or you’re considering acquiring a property, management will define your hotel’s success. You’ll be better able to make the decision that best suits your needs if you can concentrate on the most important details.
Take the time to research your options
Since this choice is imperative to your hotel’s success, you’ll need to look through your options. Get to know multiple management companies and compare contract terms by negotiating the best deal possible. Don’t make any impulse decisions! Ask yourself if they can provide the necessary services while considering the location and the other hotels under their management.
What is their experience with the hotel type and brand you have? Do you have a good history in general? What is their reputation? It’s crucial to understand how the hotel management company’s development and performance have changed since its inception. Not just through just successes, but also failures. In fact, there are 5 main components you should take note of:
- Their track record. Know if they have any notable awards.
- Their expertise and their match with your hotel brand.
- Fees and contract structure.
- Services. Know what is covered and what isn’t.
- Their Values.
After researching their company, research and understand your property
A developer building a full-service hotel in an urban market might not be the best match for a management company operating select-service markets in the Midwest. In order to be able to accurately compare your options, you need to have a vision for your property.
This also extends to the corporate identity of the company. While you want the best deal for your asset, you should make sure that they’re a good fit. If they’re not responding in a timely fashion or aren’t aligning with your input, then it may not be the best option for you. If you are a more hands-on owner, then you’ll want to avoid a company that wants full reign over hiring personnel.
Look at their case studies
Even if the management company is in a perfect location, operates similar properties, and has a seemingly fitting corporate identity, don’t forget to look at their case studies and references. These will clarify your expectations. Speaking to references provides insight that management may not showcase.
There are so many factors to consider as you decide who will manage your property. Ultimately, this is a decision that can not be taken lightly. With the right amount of research done, you can make a decision that will ignite the growth of your property for years to come.