Updated September 27, 2023
The hotel consultant agreement is a contract that establishes the terms and conditions of a hospitality consultation arrangement between a client and a consultant. This type of agreement also includes a retainer so the client may secure the consultant’s services and ensure commitment for the intended project. A hotel consultant provides a multitude of services aimed towards creating a successful hospitality business or improving upon the current structure and business model of an established hotel/resort. The exact services provided by the consultant should be detailed in the agreement along with the amount of compensation and payment schedule thereof. Once the agreement is signed, the consultant will be required not to share any of the client’s confidential and proprietary information during or after the consulting arrangement.
What Does a Hotel Consultant Do?
A hotel consultant is hired for one of two purposes; to provide professional advice to investors or individuals looking to enter the hospitality industry, or to evaluate and improve upon a hotel or resort already in operation. Hotel consultants are experienced in assessing a hotel’s business model and identifying the strengths and weaknesses of the overall structure. This allows them to devise a plan that will enable the hotel to benefit further from their current system, or to design new systems altogether, to increase productivity, customer satisfaction, and profitability. The hospitality industry is a competitive one, and a good hotel consultant will help them create new opportunities to gain customers and instill loyalty in returning guests, assess problem areas and implement solutions, and even help guide and train staff members to ensure quality customer service.
Primary Roles
- Acquisition and disposition due diligence
- Financial evaluation and impact
- Planning, market analysis, and feasibility
- Operations and Internal Review
- Pre-opening and post-opening technical support
- Restructuring and repositioning
- Entrance and exit strategy planning and implementation
How Much Does a Hotel Consultant Make?
Salaries within the field of the hotel (or hospitality) consulting vary greatly depending on location and years of experience. Some consultants can make $115k while others can earn a salary of less than $20k. Generally, the average pay is between $35k and $75k.