Barrows Hotel Enterprises begins offering commercial offers
DUBAI, United Arab Emirates, November 19, 2021 (GLOBE NEWSWIRE) – Barrows, the hotel advisory and investment services provider for hotels in the Middle East and Africa, is starting to offer asset-based commercial financing to struggling hotels.
Many hotels are having start-up issues due to the global pandemic, which has left many hotels with a low cash position combined with high debt. To strengthen the industry from within, alternative sources of finance are needed.
Barrows Hotel Enterprises has been involved in hotel investment and hotel development for over 10 years. The company advises numerous hotel brands in the Middle East and the African continent with management advice and how to improve their position in the market.
“Strengthening the financial situation is one of the most important things. With our in-depth knowledge of the hospitality industry, we are able to make a real difference and provide a healthy future for a hospitality business. If the hotel has a healthy and profitable operation, it is much better able to meet its financial obligations to investors, owners and suppliers, ”said President Erwin Jager of Barrows Hotel Enterprises.
Debtors who pay late have a major impact on a hotel’s cash flow. If too much money is tied up in bills, it can cause problems. With factoring, it is possible to improve the income stream and invest again in the future. Now the influence of the global pandemic is great, but after every crisis there are better times. Even then, the need for direct access to cash will remain high. This is what makes factoring so interesting. If a hotel can get cash flow faster, it is better able to pay suppliers and investors. Alternative sources of funding are therefore much more attractive.
“Making cash available almost immediately is one of the reasons hotel entrepreneurs are further exploring factoring options. As a non-bank financier, we can also change much faster thanks to our function as an investor and management advisor. We are already involved. in various transition processes, which means we can facilitate a hotel business much faster, ”says Erwin Jager.
Due to its position as a hotel management consulting firm, Barrows is also able to enter an acquisition process much faster. We know the ins and outs of the industry and the hotel in question. If the position is weak and the entrepreneur does not qualify for an alternative source of funding, Barrows is able to quickly change strategy and decide to buy the hotel and merge it with another hotel brand.
Business expansion did not come out of nowhere. Barrows has spent months preparing the company for a PSPC merger and is seeing tremendous growth in revenue and profitability as it grows in business. The next 24 months will be dominated by growth and innovation within the hospitality industry. Barrows not only profiles itself as a hotel investor and consulting firm, but also invests heavily in hotel improvements such as PIP and HIP. This includes a healthy cash position which we are happy to facilitate within our “non-bank network,” according to Barrows chairman Erwin Jager.
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