As a modern, cloud-based financial management software, Sage Intacct is built for general business accounting and its functionality is broad enough to serve a wide swath of industries. This functionality includes robust modules and automations.
However, hotels require specific reporting and analytics to manage performance that are not included in Sage Intacct’s out-of-the-box functionality. Let’s review the requirements and costs to customize Sage Intacct for hotels to give a full picture of the investment and return.
Hotel Functionality Requirements
First as a quick run-down, there are certain financial and technical features required for hotel performance tracking. As this functionality is not a part of Sage Intacct, these would need to be custom built onto your version of the system. These include, but may not be limited to:
USALI Accounting System and Chart of Accounts
It’s necessary to use the Unified System of Accounts for the Lodging Industry (USALI), to organize financial information based on hospitality departments and operations for reporting purposes.
Hotel-specific KPIs, calculations, and analytics are needed to measure performance such as Rooms Sold, Occupancy, RevPAR, Per Occupied Room Cost, etc.
Hotel-specific reports like daily reports, hotel profit and loss statements, and portfolio roll-up reports, allow hoteliers to view and benchmark both performance and expenses across the portfolio.
This is a technical requirement and is the entry point of all revenue into the system. With hotel-specific software, this is accomplished through a dedicated Daily Report module and pre-built integrations.
Hotel-Specific Bank Reconciliation
Bank Reconciliation is a different process for hotels than for other businesses due to the high transaction volume for hotels.
Hotel Business Intelligence
While this can be considered optional, these analytics help hoteliers to spot trends and make adjustments to maintain the profit margin, for example on overtime labor. More on BI for hotels here.
Customization and Consultant Costs
Due to the complexity of the requirements to make Sage Intacct work for hotels, Sage requires that any hotel company purchasing their software hire a third party hospitality consultant to direct the process. Let’s take a look at those consulting and build-out costs.
A general “rule of thumb” for Sage consulting services is that for every $1.00 spent in subscription, it will cost $1.00 – $1.75 with a consulting organization to build it out.
So if you’re spending $25,000 on a Sage Intacct annual subscription, this means that your customization/implementation costs will run an additional $25,000 to $43,750 on average.
It is also worth noting that you may need to keep the consultant on a monthly retainer fee beyond the original build-out period if any modifications are needed, or if there are any software updates, to ensure that the updates are not negatively affecting your customizations.
On the software subscription pricing, it is important to note that according to Sage, your annual subscription pricing is dependent on the size of your team (per-user fees) and what is assessed to be the complexity of your operations.
Reporting and Business Intelligence Costs
In order to get the hotel specific reporting that hoteliers need while on Sage Intacct, many turn to a third-party business intelligence service integration. The costs for this separate BI integration typically start around $600+ /per hotel /month.
In summary, for Sage Intacct to provide full hotel accounting functionality, there are 3 separate costs involved:
(1) Annual software contract with Sage Intacct (based on number of users and the complexity of your organization)
(2) Customization Costs and Hospitality Consultant fees (implementation fee and monthly retainer)
(3) Third-party Business Intelligence fees (monthly/per hotel, for reporting and BI)
When you do the math, it typically does not add up to go through the hurdles to customize Sage Intacct for hotels to get the same reporting level that you would get from hotel specific software.
While on the outside it may look like Sage Intacct has the bells and whistles that your organization needs in terms of modules and automations, don’t forget about the requirements of hotel-specific financial management.
The time and cost to customize Sage Intacct for hotels typically doesn’t add up compared to the functionality you get from hotel-specific software. This is especially true when you look at a modern, true-cloud, feature-rich software like Hotel Investor Apps (HIA), with robust modules, automations, and workflows.
If you want to check HIA out under the hood, reach out for a demo and we will be happy to show you the functionality that is fast making us famous, like real-time dashboards, unlimited users with no per-user fees, a full functionality mobile app, an Open API with 250+ tight integrations, and much more. Schedule a demo today to see it for yourself.
Director of Marketing at HIA
Elisa Fritsch, Director of Marketing at HIA, contributes 15 years of diverse sales and marketing experience from corporate to start-up environments. In the hospitality sector, she managed B2B marketing for notable companies like Choice Hotels International and Kalibri Labs. As an award-winning real estate agent with ReMax Realty Centre, she further honed her skills. At HIA, Elisa focuses on inbound and content marketing, leveraging her industry knowledge to drive growth.