While the individual unit owners in a strata can elect to manage the collective property on their own, hiring a strata management company to oversee the owners corporation usually makes the most sense. Here are five advantages of using a strata manager.
1. Strata Managers Are Knowledgeable
Strata managers are licensed professionals who possess the education and/or training to effectively and legally manage strata schemes. Government entities and financial institutions have complex laws that affect how a strata operates. A strata manager is well-versed in the legislative rules that govern a strata. Their expertise will ensure your strata is compliant with the law as well as any bylaws unique to your strata scheme.
2. Strata Managers Offer You Protection Against Business Risks
Strata management companies, like may professional services providers, typically carry professional indemnity insurance. This is a type of insurance that professionals who provide advice or oversee legal issues carry. Most professionals operate in good faith; however, even the most scrupulous professional is not immune to making a mistake.
Unfortunately, inadvertent negligence can cause unintended damage. When you choose a strata manager who is protected with professional indemnity insurance, you can rest easy knowing you are protected as well.
3. Strata Managers Take Care of All Administrative Duties
Compliance with strata law isn't the only administrative task an owners' corporation must contend with. Strata managers handle the day-to-day tasks that go into running a business. The strata manager serves as the centralised point of contact for the strata.
All calls, correspondence, and inquiries are directed to the strata manager. This way, important issues aren't overlooked. For example, if unit owners speak to whichever member of the owners' corporation they are closest to, their concerns may be easily forgotten. With a primary communication contact, the owners can be confident problems are being addressed as they arise.
It is also the strata manager's duty to plan council meetings. These are regular meetings in which the strata manager meets with the strata council members to go over any concerns, policy and bylaw changes, and quarterly and annual as well as emergency budget planning. The strata manager typically conducts the meetings as well. These meetings keep everyone on the same page.
4. Strata Managers Take Care of Financial Records
Managing a strata naturally means managing the money as well. A strata manager will issue administrative levies to the lot owners for their appointed share of the amenities. A strata manager will also issue sinking fund levies, which are generally funds that are set aside for future large expenses, such as a new heating and cooling system.
A strata may also have a contingency or emergency fund they issue special levies from. For example, a strata may suffer storm damage that requires additional emergency repair funding. A strata manager will collect, record and disperse these fees. A strata manager will also serve as a debt collector to anyone who is negligent in paying their financial responsibilities to the owners' corporation.
5. Strata Managers Oversee Building Maintenance
Stratas are above all investment vehicles, and as such, they must be well-maintained to hold value and retain and attract unit owners. This means there is almost always maintenance work to be done.
A strata manager selects contractors and tradespeople to repair, maintain, and clean the strata and negotiates their fee. A strata manager is also responsible for providing contractors access to the building and grounds.
They also keep track of maintenance requests and issue work orders to their staff, overseeing to ensure tasks are completed. A good strata manager will also provide after-hours availability in the event of evening, weekend and holiday emergencies.
For more information, contact a strata management service.Share
9 November 2020
Have you always dreamed of running your own business? Have you recently opened a business? Are you looking for ideas that will help you be successful? Then, you have come to the right place. This blog is devoted to helping people make their business dreams come true. Whether you run a restaurant, a factory, a dog walking business or anything else, there are a lot of commonalities. You have to identify your target customers, do development research, launch a marketing campaign, potentially hire employees and deal with countless other details. These posts are designed to help you through that process. I wish you the best of luck in your business efforts, and I hope my posts help along the way.