Hospitality business has the potential of spawning million dollars, but not every hotelier will succeed due to falling short in meeting financial goals.
It sounds obvious that the most basic reasons are because of bad management, poor location, dismissive customer service or unskilled marketing.
The reasons could be a multitude, but above & beyond the most important thing is not staying accountable for the financial happenings in the hotel, leading to bumpy roads.
If you truly want your Hotel Business to be successful and profitable, you need to replace the traditional way of managing your accounting and handling finances with Automation.
That’s how you can avoid the pitfalls on your path towards success!
Let’s now dive deep into the 5 reasons why hoteliers fail and how you can make sure that you don’t
Missing an Eye on ‘Business Health’
Monitoring your business health through tracking KPI Metrics matters the most to
your Hotel Business.
Missing an eye on it leads to a lack of financial awareness and eventually, the business decision making becomes difficult.
As a hotelier, you should know the pulse of rooms sold property-wise, occupancy %, ADR & RevPAR, Bank Balance, Daily Revenue & Expenses monitoring and most importantly, you should stay alert on pending Payables and Receivables.
Doing it manually is a never-ending task, as it leads to a lot of chaos; Nimble Hospitality Accounting Software simplifies the complete procedure by keeping you update on everything at one place while giving intelligent insights for better decision making.
‘Daily Sales’ Management Failure
Taking too long time in tracking daily sales, preparing audit and account mismatches by your managers & staff may lead to vulnerable accounting and cause failures.
By automating your daily sales tracking through PMS integration and consolidating accounts at one place, creates a room for more productive space.
In which, your managers and staff can concentrate more on providing your guests with a comfortable place to stay.
Nimble Property, being the most loved Hotel Accounting Software seamlessly integrates with your Hotel PMS system and automatically fetches the daily sales data, booking information, room statistics, and other details.
It enables an effortless Audit for your managers and easy approval for your accountants.
Staying Loose On ‘AP & AR’
In a hospitality business, the Accounts Payable & Receivable processing plays a predominant role.
Starting with AP, the process can be arduous if done manually. And, not paying your vendors on time may cause mistrust on untie the relationship with them.
Nimble Property automates the bill entry process through a one-time OCR Scanning configuration, by which the entire visibility and control over your AP management process improves.
Coming to the Accounts Receivable management, if you stay lose it causes hindrance in improving your property’s bottom line and productivity.
When you stay on top of your receivables, your financial positions become strengthened.
Nimble integrates with your PMS, by which all your AR data will be updated into books of accounts, while giving you customized alerts to notify on your aging AR info.
Not Performing ‘Budget & Forecasting’
Successful hoteliers plan for their capital departmental-wise expenditures beforehand by forecasting current budgets. Many fail by not doing this practice!
Based on the current year’s estimation and demand, you got to prepare accurate budgets for next year to operate your hotels efficiently.
A bad forecast is not only just of no use, but it can’t even show holes in your overall daily sales process.
Nimble Property helps you benchmark your expenses with ease, letting you forecast budgets for the forthcoming year, everything on a dashboard.
In order to make your Hotel Business big in the future, you need to assess the current budgets and forecast accurately. So, look into it cleverly!
Falling Behind the ‘Competition’
The Hospitality world is tough out there and it’s becoming intense day by day. It’s highly encouraged that you offer discounts and come with attractive concepts.
If you don’t, your competitors will do and outperform you. To stand out of the competition, you need to pay attention on your guest satisfaction surveys and STR reports.
That’s how you’ll to get to investigate and know what’s fading your brand away from others. Nimble Property lets you import STR Reports & GSS Surveys into the system, while giving you a holistic view to read guest comments, know feedback and your position in the market, against your competitors.