TABLE OF CONTENT
Table of content iv
1.0 Introduction 1
1.1 Background of the study 1
1.2 Statement of the study 3
1.3 Objective of the study 4
1.4 Significance of the study 6
1.5 Research methodology 6
1.6 Research hypothesis 9
1.7 Plan of the study 10
2.0 Literature review 12
2.1 Market feasibility and fundamentals 13
2.2 financial planning and control 15
2.3 Control ratio and variance analysis 17
2.4 Budgeting and budgetary control 19
2.5 Management of working capital 21
2.6 Control of cost and costing 23
2.7 Capital structure in the hotel operation 25
2.8 Management reporting 26
3.0 Brief history of circular hotel limited Ilorin 29
3.1 Design of the study 29
3.2 Source of data 30
3.3 Source of data 31
3.4 Limitation of the study 33
4.0 Data presentation and source analysis 36
4.1 Data presentation 36
4.2 Data analysis 40
4.3 Findings of the study 47
5.0 Summary, conclusion and recommendation 50
5.1 Summary 50
5.2 Conclusion 52
5.3 Recommendation 53
1.1 BACKGROUND OF THE STUDY
Although we know that setting up hospitality industry in a prominent position in the Nigeria industrial league table with regard to the number of employees and annual turnover, in its present state, it is fairly of displeased original dating from the introduction of the regular mail coaches in the eighty century and developing, further during the colonial Era, with the advent of railway and their motor car which gave ordinary men the means of traveling easily than ever before.
Whenever a person leaves this home for more than a few days, he has to seek hospitality from his kind elsewhere, it may be that he requires a meal because he is too far away to go home and eat. He may be staying away over night which will require a room and a bed. If a man goes to work in the morning and does not return until late in the night, unless he takes his won food and makes his own tend he will have his meal in a staff canteen of work or to the services he obtained, he will expected at home such as a smile and a welcome. “The view aim of a hospitality industry is pressing that of providing temporary substitute for home”
There had certainly been hotels since biblical times and no doubt before, and all the eastern regions at least enjoy providing travelers, an obligation which has continued up to date. This was even supported by the legal requirement of the United Kingdom (UK). Hotel proprietors acts of 1958 history in several king garages and some terms come and go in popularity from time to time. The two main roots appear to be Latin and German.
Hospital is a Latin word which means a place for quest while her Bergen is German work which means to hide shelter.
1.2 STATEMENT OF THE PROBLEM
Hotel and catering establishment play a major role in the tourism industry in Nigeria just a the volume of sales of the various individual, catering establishment depends to some extents on the level of efficient management of the financial resources and their level of prices if hotel are to continue in making substantial contribution to the earning of foreign exchange, it must be consigns of the core of financial planning and control of certain aid, hotel establishment and carryout in depth analysis of the main features of their operation decide what problem for accounting and financial control purposes.
The inherent problems existing with respect to financial management in the hospitality industry could be viewed with respect to the following:
i. Implore cost control system.
ii. Lack of people budgetary system.
iii. Inflexibility in the cost structure and nature of products.
iv. Little attention had been paid to the core of financial planning.
v. Complex sales instability and cycle of operations
vi. Inefficient sourcing of finance and improper advance planning and control on how they should be utilized their stock .
the limitation listed above and others stated in the objective of the motivating force behind the study.
1.3 OBJECTIVE OF THE STUDY
The main objective of the study is to device a means of improving on the management of scares financial resources with particular reference for planning and control in circular hotel Ilorin.
The study also sets out to determine the following objectives.
1. The extent to which budgeting and budgetary would aid the proper control its financial resources.
2. How the resources of financial form appropriate sources and at the right cost would maximize the owned of the catering and hotel operation.
3. To determine the appropriate credit control policy which help in the maximization of bad debt.
4. To determine the extent to which management not liquid financial resources would obstinate the possibility of shortage of excessive holding of cash.
5. To disclose how costing and budgetary control is used as tool for control in the hotel operations. Route.
6. To determine the extent to which the administer of the stock or investors in the hotel operation would help in reducing wastage, pilferage and reduction in excessive investment in perishable stock.