Hotel city ledger explained: billing companies after the guest has left

The guest left, the bill did not

A consultant stays four nights and their company pays by bank transfer at the end of the month. When the guest checks out, the folio cannot be closed as paid and cannot stay open in-house either. It moves to the city ledger: the list of accounts the hotel is owed money by, after departure.

What goes to the city ledger

• ●Corporate accounts with direct billing agreements.
• ●Travel agencies and tour operators paying on invoice.
• ●Group masters settled after the event.
• ●Anything approved by management to be paid later.

What should not go there: a walk-in guest who "will pay tomorrow". The city ledger is for accounts with a contract and a credit limit, not a parking lot for problems.

Three rules that keep it healthy

1. Credit limit per account. Decide it before the first stay, not after the third unpaid invoice.
2. Invoice at transfer. The moment the folio moves to the ledger, the invoice should be issued, numbered and sent.
3. Age it every week. Receivables are easier to collect at 30 days than at 90.

Ageing report

Anything in the 60 and 90+ columns needs a call this week. Anything at 90+ for a second month needs a decision: legal action, a payment plan or a write-off approved by the owner.

Why the PMS must do it, not the accountant

When the ledger lives in the accounting software only, the front desk cannot see that a company is over its limit when it books again. The city ledger belongs where the booking happens.

In FrontDesk

FrontDesk moves a folio to the city ledger at checkout, issues a numbered invoice and keeps a balance per company account. The folio and invoicing guide shows the flow end to end.