BLOOMFIELD HILLS, Mich., Oct. 11, 2004 (PRIMEZONE) -- Hospitality leader Trans Inns Management Inc. and fraud-deterrence experts Cendrowski Corporate Advisors (CCA) have formed a joint venture to provide financial consulting services to the hotel industry.
The new company, Trans Management Advisors LLC (TMA), will assess hotel operations for best practices and evaluate the integrity of financial reporting. TMA will provide recommendations to streamline operations, enhance internal financial controls and deter fraud.
"Hotel owners face financial risks due to reliance on management. The owners often don't have a reliable process to evaluate the companies managing their investments," says Daniel Vosotas, a Certified Hotel Administrator and president and chief executive officer of Trans Inns Management. "TMA provides a competitive, independent assessment for hotel owners and makes suggestions to improve investors' cash flow."
"Sound governance and operational controls create value for investors and owners because they reduce risk of inefficiency and fraud," says Harry Cendrowski, a Certified Fraud Deterrence analyst and president of Cendrowski Corporate Advisors. "Periodic reviews of operations assist investors as well as lenders in assessing the integrity of financial and operational information from management."
TMA's value-added service focuses on a hotel's operations policies and procedures, financial statement analysis, risk management and fraud assessment. Its philosophy mirrors that of Trans Inns Management: to maximize investment return for hotel owners.
"Surveys have shown that investors will pay as much as 28 percent more for shares of well-governed companies," says Cendrowski. Other research confirms that proper corporate governance can strongly influence improved operating performance and market valuation.
"Traditional due diligence, which limits organizational understanding to the financial outputs of a company, will not be enough," Cendrowski explains. "Investors want to know how those outputs came to be. Were the financial results a stroke of luck? Are they repeatable, or were the financial statements manufactured in corrupt and fraudulent schemes?"
Trans Inns Management Inc. is a Michigan-based hotel management company operating and developing hotel properties licensed by a variety of quality brands including Marriott's Courtyard and Fairfield Inns, Holiday Inn, Holiday Inn Express, Holiday Inn Select, Staybridge Suites, Hawthorn Suites, Best Western and Super 8 motels.
Cendrowski Corporate Advisors provides consulting services to private, public and non-profit organizations, including forensic accounting; internal control assessment and fraud deterrence; fraud investigation and remediation; expert witness; fraud deterrence training & education; business valuation; risk assessment; operational review; litigation support; internal audit; business continuity planning, and bankruptcy and fiduciary.