When the time comes to sell your hotel business, it is easy to get caught in two minds: should you sell the business yourself, or hire a hotel broker to do it for you? Every hotel sale is different. If you have some good experience in selling hotels (for example, if you have owned and sold a few before), you may be confident enough to try selling it by yourself. However, in order to get exactly what you want, you must understand the whole process involved. This is where a hotel broker can really make a difference to your sale. Let's take a closer look at the services they will provide for you during this stressful time.
Asking Price
Of course, anybody can actually set the asking price for your hotel. The critical thing here is if it's the correct price. A good broker will understand that while setting the highest price for your hotel is important to you, this will be tempered by the buyer's need to balance cash flow and income right from the start. A broker will seek to set a price which is neither too low, or too high. This will attract more buyers rather than simply setting the highest price you can, which you may be tempted to do. There is a good chance that this will result in you not getting much interest from buyers.
Assess Buyers
There have been many cases where a hotel owner has tried to sell a hotel alone, and during this process has spent time (and sometimes money) courting a prospective buyer. It then turns out that the buyer hasn't got the appropriate funds, or turns out that they do not even have the high level of desire to follow through with the sale. Hiring a broker will prevent this from happening. They have the expertise, experience and knowledge to be able to quickly determine the buyer's position, including their finances. A broker will cut to the chase, and ask questions which will enable them to cull the time wasters.
Properly Market Your Hotel
If you are of the opinion that you just have to put a few ads out to sell your hotel, you should seriously consider hiring a broker for this point alone. As part of marketing your hotel, a broker will devise a business strategy which includes targeting and analysing potential new areas to improve income for the prospective buyer. They can also create a compilation of promotional materials, enhancing the chances of selling to the right buyer by highlighting the unique amenities of your hotel. For example, if your hotel includes a pub, the broker will target people looking to buy a pub in your area, as well as those interested in hotels alone.
As the broker can target a small band of viable purchasers, they can ensure that the right people know that your business is for sale. In the cases where anonymity with regards to the purchase is important to the buyer, this is ideal.
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