The Road to Recovery
With over 150 years of combined hotel experience
our team has successfully navigated through economic crises such as the Gulf War, “9-11” and the most recent 2009 recession – AND now we are mobilized for response to the complex Covid-19 issues facing hotel ownership, lenders and management
We have been down this road before and realize that time is of the essence. We use our battle-tested methods to help your assets improve quicker to be more successful in the hospitality space. Past experiences have provided us with skills and business relationships that are second to none. We know how to advise you on what direction to take, what to do and, more importantly, on what not to do. Our Team can morph crisis into opportunity.
We are facing challenging times in the hospitality industry
With travel grinding to a standstill due to COVID-19, many managed, franchised and independent hotels have either suspended operations or reduced services due to low occupancy
PREPARE FOR WHAT’S NEXT: Properties that have an executable plan will come out on top. In order to reduce expenses and preserve liquidity, many in the industry have furloughed employees, reduced schedules and decreased the pay of management teams. In addition, some hotels are taking alternate measures such as closing F&B outlets, reducing staff, and closing entire floors. Hotels have also temporarily deferred most brand standards for owners and franchisees, including delaying renovations due in 2020 by one year, deferring required furniture, fixtures, and equipment (FF&E) funding, and suspending brand standard audits. “More than 90 percent of the hotels in the U.S. are franchised, and these owners say their business has been devastated by the coronavirus pandemic.” We believe that there is light in the tunnel and successful turnaround strategies and actions will need to be quick and targeted. Time is of the essence to get the hotels/real estate back on track and do it quickly to begin the recapture of lost profits. We can help you ramp up quickly and obtain a better share of the market than your competitors and competitive set.
Dealing with a global pandemic such as coronavirus puts all of us in uncharted territory
eO2 advisory and support services will assist in maximizing financial stability and effective business planning abilities during the Covid-19 pandemic
The talent of the Owners’ Support Team is critical for a project’s success during these unprecedented times. Each member of The eo2 Team has decades of crisis experience dealing with special situations. We don’t know how long the pandemic will last; however, we suspect that this economic downturn will be deep and equal to the last three recessions combined. eO2 can help you deal with this crisis day-to-day by assisting you in making hard decisions regarding staffing, operations and conversations with your management companies, franchisors, and lenders.
“Every business owner needs to protect their company so that when this storm passes, every employee has a ship to return home to, so we can set sail and go further than before,” says Torossian, who has lectured on crisis communications at Harvard Business School. “It’s vitally important to focus on protecting capital, assets, and resources of the business. Cash is important. And always remembering the human element of the great people who work for the company.”