How to take over the management of a hotel

If you plan to take over the management of a hotel, here’s a handy list of things to do, both before and after the big day to make the process as smooth as possible.

If you’re assuming ownership of a franchise hotel, you’ll no doubt need to refer to a thick manual of checklists. But if you plan to take over management of an independent hotel or bed and breakfast, here’s a general list of important steps.

If you’re registered in that province, then open a bank account and arrange for a funds transfer. Arrange for credit card accounts and sales tax, order cheques, get applicable permits, and set up utilities and garbage collection.

• Get to know your new staff

Meet with staff about changes in operations. Having employee orientation packets will help. Be sure to have any required forms ready to distribute.

• Take inventory

Count the usual items – furniture, fixtures and equipment, kitchen and dining items, linens and the like. Don’t forget hotel stationery and forms, and locate equipment warranties and manuals.

• Check out contracts and leases

Does the hotel have advertising contracts for billboards, radio and TV ads, or anything else? What about a cable TV contract?

• Verify that you have proper insurance coverage

Make sure you have building/contents coverage, customer liability and any specialized insurance specific to the hotel industry. Don’t forget unemployment and worker’s compensation.

• Settle any accounting issues

Go over accounting policies with the general manager. Prepare an interim accounting kit.

• Give marketing a boost

Write a news release for pertinent media. Review upcoming group bookings and upcoming local events like festivals, concerts or games.

• Handle closing details

Consider a closing date for the takeover, hire a lawyer to handle necessary paperwork, and do a final review of the purchase agreement.

• Check on the money

Have the funds arrived in your bank account? Pick up cash, verify new credit card and travel and entertainment accounts, and get special readings for gas and electricity.

• Take care of any personnel issues

Meet with staff regarding your policies on uniforms, name tags, overtime, scheduling, hiring, pay and anything else.

• Review contracts

Do you still want cable TV? Billboards? Now’s the time to make any changes.

• Insurance

Have the proper forms on hand. Conduct staff training regarding emergencies and schedule an insurance safety inspection.

• Wrap up accounting details

Arrange for payroll and accounting training and familiarize your general manager about budgeting and purchasing policies. Explain cash management and reporting procedures.

• Don’t forget maintenance

Are room keys ready, with a master key at hand? Make sure maintenance knows about preventive policies. Don’t forget a pest inspection certificate, if you need one.

• Start marketing!

Issue a news release to make sure management knows your marketing philosophy and specific plan. Discuss room and rate management.

These tips should help you transition your new hotel and staff seamlessly so you can be on your way to making the hospitality industry an even better place.