Compare the fee mechanics under a common case before comparing operators’ forecasts. HVS’s management-fee analysis supports examining alignment and using a competitive qualification process; it does not establish a universal winning fee structure. (publications.hvs.com)
For a concrete supplier example, Beco Collective advertises a 3% base fee on total revenue, plus incentives and a fixed per-key back-office charge. This is one operator’s stated structure, not a market average or a recommendation. (becocollectivehotels.com)
Use this desk comparison format:
| Question | Required submission |
|---|---|
| What is the fee calculated on? | Exact revenue and profit definitions, exclusions and thresholds |
| What sits outside the headline fee? | Central services, accounting, technology, commercial support and reimbursements |
| What staffing is assumed? | Roles, annual costs, shared allocations and seasonal coverage |
| What happens if performance disappoints? | Contractual tests, cure rights, termination costs and transition plan |
| What does the owner retain? | Cash after all fees, property obligations, financing and capital requirements |
Keep each operator’s own forecast in a separate column. Otherwise, a more optimistic revenue assumption can obscure a more expensive contract.