If a hotel owner decides to bring in a management or operating
company to run its hotel business then its main concern will be to
find one that has the correct "fit" for its own hotel. A
well established track record in similar hotels, expertise in key
areas and a competitive fee structure will be important
considerations in establishing which of the many quality hotel
operators is best suited to that particular hotel.
However, the Hotel Management Agreement itself should not be
overlooked and, once the correct operator is chosen, an owner
should not simply sign up to the operator's standard document
without careful consideration of its terms. Operators are willing
to vary and negotiate their standard forms where appropriate for
the circumstances. Indeed negotiating a well-structured and
customised Hotel Management Agreement should bring benefits to both
the owner and operator of a hotel by clearly setting out roles and
responsibilities and flushing out any areas of