Hotel and resort developers offer a variety of services for the small hotel owner including feasibility studies, design, construction and management services. A hotel development company can not only help you get your hotel business going, but they can also manage the day-to-day affairs of your hotel or resort, ensuring the smooth flow of your business.
Because hotel developers play a crucial role in the success of your business, you'll want to choose the right one. When looking for a hotel development company, consider the following points.
1. Ask to see a portfolio of their clients, especially if you will be building. Make sure they have experience designing and building similar projects.
2. Many hotel developers will offer you financing. If the rate is right, it is not a bad idea to get financing through the developer, since this will increase the company's interest in the success of your enterprise.
3. Decide whether you will want your developer to also act as the management company for your hotel. If so, don't wait to the get the facts about the management services and style of the company. If possible, talk to some of the company's current clients to see if the management company's services are satisfactory and financially successful.
Decide what services you want from a hotel developerHotel developers can provide a variety of services, from initial feasibility studies to day-to-day management services like maintaining vendor contracts and hiring employees. If you consider yourself just an investor, you'll want a development company that can do it all. If you want to manage the business yourself, you still may want to keep a management company on hand to handle certain aspects of the business.
Choose hotel developers that will keep your profits upResort development can be a big venture in terms of capital. Make sure your resort developer can conduct accurate feasibility studies and create a management strategy that will maintain the value of your hotel and keep it profitable.
Cornell University School of Hotel Administration offers hospitality valuation software that lets you predict revenues and expenses and keep track of the value of your enterprise. Ledo International is a leading provider of feasibility studies and business plans for the hospitality industry. The National Association of Condo Hotel Owners also offers feasibility analysis.
Make sure your hotel developer knows how to market your businessHotel and resort developers, when acting as management companies, are also responsible for the marketing of your business. Hotel development companies should be up on the latest tactics to increase your visibility and bring in new clientele.
Look for management companies that advertise in publications such as Hotel Marketing or Hotels, and ask to see samples of their work and evidence of their marketing plans' effectiveness. Ask if they make use of online marketing tools such as Dunhill Vacation News.
- Be sure to get a construction timeline in writing as part of your contract, and make sure that hotel builders stick to the timeline.