Hotel Audit Checklist For Internal Audit

An internal hotel audit checklist can be an effective tool in helping ensure that your hotel complies with standard operating procedures, helping prevent errors and other problems which could have adverse impacts on business operations.

Audits should include cross-verifying cash books and guest registers against hotel bills as well as verifying food expenditure and salaries as per management policies on an ongoing basis.

1. Audit of the financial statements
Financial statements audit is a crucial element of hotel audit checklist for internal audit. It ensures all sales are recorded correctly and that taxes are charged accurately, while also verifying expenses have been recorded accurately.

Another essential aspect of the hotel audit checklist is auditing semi-fixed assets, which includes furniture, cutlery and crockery as well as linen. It is crucial that these assets are verified regularly to ensure they remain accounted for accurately and are not being wasted away or discarded.

Audits should also take place daily to audit daily sales reports and cash books, while payments received for credit cards must also be verified to ensure payments adhere to agreements.

2. Audit of the labour records
Audit of Labor Records involves verifying the accuracy of wages paid to hotel staff members, to ensure they receive their correct pay rates; and prevent misuse or misappropriation of cash payments.

Auditors should verify that the hotel maintains accurate records regarding how many rooms were occupied and for how long. They should compare this with guest register and guest bills which contain all monetary transactions of the hotel.

Quality is of utmost importance in the hospitality industry, and hotels use quality audits and inspections as a key measure of their performance to increase customer satisfaction and ensure better service, higher ratings, and more positive reviews. Housekeeping inspection apps help facilitate this process by quickly compiling data efficiently.

3. Audit of the semi-fixed assets
Quality assurance (QA) standards are key for business success in any hotel setting. Conducting regular inspections with an audit checklist are an ideal way to make sure all facilities and amenities meet these high expectations.

Hotels must ensure their bedrooms are kept clean and functional while staff are properly trained on hospitality services to deliver a positive guest experience that leads to increased profits and brand loyalty.

Examining profit centers is also key, to reducing misappropriation risk of assets and money. A proper audit procedure will also guarantee that information recorded in ledgers is accurate.

4. Audit of the minibar
Hotels generate income by charging room rent, laundry fees, mini bars, restaurants, swimming pool membership fees and service tax on food and beverages purchased. An auditor must verify sales, consumption and inventory levels across these departments in order to assess whether any revenue-generating schemes exist or are needed.

Cross-verifying cash books with guest registers is important. He should also verify the rates charged for business center services such as faxing, photocopying, and secretarial duties. Finally, he should confirm the sale of scrap/empties (empty cans/bottles etc) is being done at fair market value.

He should also check that cancellation policies have been entered accurately into GDS in a timely and accurate fashion to avoid cancellation charges due to misinformed policies. A hotel audit checklist template can assist in this regard.

5. Audit of the foreign exchange conversions
Foreign exchange conversion auditing is an integral component of hotel audits, as it ensures sales revenue is properly accounted for and valued, while verifying whether accounting methods used by hotels meet industry standards. Furthermore, this type of inspection may help prevent issues like overselling rooms or not adhering to cancellation policies agreed upon between hotels and guests.

Audits performed by auditors should cross-verify cash books against guest bills to verify sales are properly accounted for, check tax charges in guest bills and commission paid to travel managers and the commission paid out to travel managers – these audits can save the company substantial sums of money.