Detecting weaknesses and creating solutions
Hotels are capital-intensive properties that are usually highly dependent on external financing. Due to high operational fixed costs, especially personnel expenses, the industry is prone to crisis:
- triggered through an incorrect evaluation of market conditions, increased competitive pressures or insufficient marketing activities,
- hidden through non-existing or inefficient controlling mechanisms,
- evoked and accelerated by incorrect or delayed investments not conform with market requirements.
The first priority in restructuring the business is to rebuild liquidity and to avoid insolvency.
- After detecting internal and external inefficiencies, a turnaround concept is being developed, acting as the basis for the sustainable profitability of the business.
- Through our Interim-Management services, HOTOUR guides underperforming hotel businesses from the analysis of the financial situation to the implementation phase, thereby recommending immediate actions and medium to long-term measures to protect the business.
- We develop Restructuring Analysis, concepts for debt rescheduling as well as Bank Financing and lead bank negotiations in our clients’ interest.
- We implement restructuring plans, assist during the Investor Search and manage the business through one of our interim managers until the restructuring or the sale of the hotel is completed.