Randolph, N.J. —Steven Belmonte returned to his entrepreneurial roots in 2002 when he resigned from Cendant Corp. as President and CEO of Ramada and EVP of the Hotel Division. He had a desire to create a company from ground zero as he did in the early 1980s when he co-founded The Equity Hotel Corp., which quickly grew to be one of the Top 10 management and owning companies of its time under his direction.
After years in the industry, he felt he had a good handle on a service niche that literally did not exist. As an experienced hotel owner, manager and franchisor, he could lend his knowledge to hotel owners across America who are facing termination fees (liquidated damages) or seeking help selecting and negotiating a fair franchise agreement.
“Sure there were plenty of law firms out there, but more often that’s really not what owners’ need – unless of course they want nothing but a lawsuit,” Belmonte said. “My experience has been that many lawyers really don’t understand hotel franchising, and even fewer understand the climate and culture that exists at each of the numerous franchise companies.”
He explained that an attorney could be very expensive, charging by the hour, and oftentimes, taking months to complete a task. If an attorney does not understand or know the ins and outs of the franchise industry, Belmonte said he or she would need to learn – oftentimes at the hotelier’s expense.
“Now don’t get me wrong,” he said. “Attorneys are an integral part of the honorable and needed legal profession. But, if a hotelier wants to quickly and inexpensively negotiate a resolution to a specific issue, an experienced, knowledgeable hotel executive may be the best way to go.
“Attorneys only deal with attorneys, and we all know where that usually leads,” he added. “But when business people enter the picture, business people who truly understand the industry, the agreements, and the reality of what can and can not be done, oftentimes a good, viable solution is reached. That’s what Hospitality Solutions LLC has been doing for the past eight years – and we recently just settled our 500th case.”
Hospitality Solutions LLC provides new franchise agreement negotiations, franchise termination and liquidated damage claim negotiations, mediation, expert witness, litigation support, motivational speaking, market studies, feasibility studies, on-site analysis, ownership and development assistance to the hospitality and service industries. Since Belmonte founded the company in 2001, he has remained focused on helping hotel franchisees secure a solid, equitable franchise contract – or, similarly, an equitable franchise termination.
In fact, 99% of all Hospitality Solutions’ clients realize a significant reduction in termination fees.
“When I started Hospitality Solutions, it was the only company of its kind,” Belmonte said. “Now there are others out there that copy my model, including some attorneys. Unfortunately, some of these newcomers just don’t have the hotel industry background, relationships or wherewithal to be nearly as effective.”
