Services

Hospitality Advisory Team

Our offerings

The Deloitte Hospitality Advisory team offers an extensive range of services underpinned by deep sector experience; we have an unrivalled understanding of market issues and the ability to tailor bespoke advice and solutions.

Our services range from expansion and market entry strategy to integrated commercial and financial due diligence on transactions and operator search and selection services; we are at the forefront of providing solutions that maximise value for your business and ensure competitive advantage in what is a fast-changing and competitive market. We deliver tangible benefits to businesses, including real insight in a timely manner, bespoke tailored solutions and unrivalled knowledge of both market and business imperatives.

Specific capabilities that we offer include:

Growth & market entry strategy
Our scope of services range from identifying the white space for our clients to grow or expand into, to a subsequent market entry strategy review following an assessment of the local market, how best to enter these markets from a physical perspective (including new-build/conversion/acquisition) and the various opportunities/risks/costs associated with each. We can also provide illustrative financial performance projections based on the market entry option.

Areas of focus:

  • Market selection and prioritisation
  • Recommendation on brand positioning and operating models 
  • Assessment and elevation of existing management capabilities 
  • Identification of investment partners 
  • Recommendation on alternative strategies and structures for each priority market

Commercial, financial and tax due diligence
Our team of specialists provide a full spectrum of services across the deal lifecycle. An in-depth report on the financial health of a company that is being sold provides comfort to both buyers and vendors with an independent view of the target company, encompassing its business and operations, the market it plays in, the competitor landscape, competitor benchmarking and the target company’s trading performance and prospects.

Output

Transaction services are core to our expertise and in 2017 the Hospitality Advisory team advised on transactions in excess of £2bn in our sector.

Areas of focus:

  • Overview of the business
  • Analysis of the market where the businesses operate
  • In-depth analysis of historical trading
  • Review of cash flows, assets and liabilities
  • Tax due diligence

Commercial reviews
An operational review of an existing asset or portfolio. We provide an objective diagnosis of a business market and financial position as well as operational considerations including identifying value enhancing opportunities and areas to decrease costs.

Areas of focus:

  • Assistance with contract negotiation (e.g. management contract, franchise contract, etc.)
  • In-depth review of contract terms and benchmarking against global trends and relevant competitors
  • Review of trading projections 
  • Review of operating structure 

Operator search & selection process
Our team has a proven track-record of running operator search & selection processes in the hospitality industry. We have assisted a number of leading real estate developers, hotel owners and hotel chains globally.

Areas of focus:

  • Macro-economic and hotel market overview
  • Overview of the competitive environment 
  • Analysis of current and historical hotel market performance
  • Assessment of the site and preparation of 5-year operating performance

Our industry insight

European Hotel Investment Survey
Annual industry survey which focuses on the UK and wider European market

Passion for leisure
A view of the UK leisure consumer – Q1 2018

Key contacts

Andreas Scriven

Andreas Scriven

Lead Partner, Hospitality & Leisure

Andreas is Head of Hospitality & Leisure. He has extensive consultancy and M&A experience across the UK, Europe, the Middle East, Africa, and the USA. His key areas of expertise include commercial due... More

Nikola Reid

Nikola Reid

Director & Head of Hospitality, UK

Nikola is a Director in the Transportation, Hospitality and Leisure advisory group and has 10 years of international experience in the industry in both hotel advisory and operational roles. In her car... More