How to evaluate loss-making hotels

To evaluate loss-making hotels, we must first determine their profit indicators, then find out the reasons for the losses, and finally take measures to improve them.

To evaluate loss-making hotels, we must first determine their profit indicators, including income, expenditure and net profit, then specify a loss evaluation table, find out the reasons for the loss, and finally take corresponding measures to improve it.

The hotel is a centralized investment, and may make ends meet in the initial stage of opening, with negative net cash flow, but after entering normal operation, the income will be greater than the expenditure and the net cash flow will be positive.

Hotel losses include operating losses and financial losses. The operating loss is negative gross profit (excluding labor, energy consumption and material consumption, etc.). ), and the financial loss is negative net profit (excluding debt service, depreciation and amortization, etc.). ).