STABILIZATION PROTOCOL

Stabilization Protocol

A structured approach to securing, stabilizing, and restoring operational control of distressed hospitality assets.

Distressed assets require immediate, coordinated action. Our stabilization protocol is designed to establish control, preserve asset value, and create operational visibility from the outset of an engagement.

Each phase is executed in alignment with the scope of appointment, stakeholder requirements, and jurisdictional considerations.

PHASE-BASED SYSTEM

Four Phases. One Continuous Process.

01

Immediate Control

0–72 Hours

Establish operational control, secure the asset, and prevent further deterioration.

Key Actions
  • Confirm authority and scope of engagement
  • Secure bank accounts, cash handling, and financial access
  • Stabilize on-site operations and staff communication
  • Review vendor relationships and critical service continuity
  • Conduct initial property and risk assessment
Outcome

Asset is secured, operations are contained, and immediate risks are identified.

02

Operational Stabilization

Days 3–14

Restore structure, implement controls, and create visibility into performance.

Key Actions
  • Implement expense controls and cash management procedures
  • Evaluate staffing structure and operational gaps
  • Review contracts, vendors, and service agreements
  • Establish daily and weekly reporting cadence
  • Address deferred maintenance and property condition issues
Outcome

Operations are stabilized, financial leakage is reduced, and reporting structure is in place.

03

Financial Visibility

Weeks 2–4

Develop a clear, defensible understanding of asset performance and position.

Key Actions
  • Reconstruct or validate financial records
  • Analyze revenue, expenses, and cash flow trends
  • Identify cost-saving opportunities and inefficiencies
  • Align reporting with stakeholder and court expectations
  • Prepare supporting documentation for review
Outcome

Stakeholders have clear visibility into financial condition and operational performance.

04

Strategic Direction

30+ Days

Transition from stabilization to forward-looking decision support.

Key Actions
  • Evaluate asset viability and operational trajectory
  • Support disposition, restructuring, or repositioning strategies
  • Coordinate with lenders, legal counsel, and stakeholders
  • Continue reporting and compliance alignment
Outcome

Asset is positioned for next-phase decisions with supporting data and operational stability.

OPERATING PRINCIPLES

Execution Discipline

The stabilization process is guided by consistent principles to ensure accountability and clarity across all engagements.

Timeline and actions may vary based on asset condition, court directives, and jurisdictional requirements.

  • 01Defined authority and scope from the outset
  • 02Immediate focus on cash control and operational continuity
  • 03Transparent and consistent reporting
  • 04Coordination with legal, financial, and court stakeholders
  • 05Documentation of all material actions and decisions