6 Reasons Your Community Should Hire a Condominium Management Company
As a member of your condominium’s board of directors, you’re tasked with maintaining and leading the community. While serving on the board can be rewarding, it’s a significant commitment that comes with a lot of responsibility. To ease the burden and minimize stress, many boards hire professional condo management companies.
Community management companies can help board members successfully fulfill their roles, complete requirements, and assist with duties. These companies administer the corporation’s business affairs and support maintenance and accounting efforts, and so much more. If your board is on the fence about hiring a condominium management company, here are six reasons why they should.
1. Save time and effort.
Some communities may have residents who are able and willing to dedicate their time and talents to self-manage the corporation; however, it’s a big undertaking and can be a full-time job. Board members are volunteers, and many have families, careers, or other interests that can prevent them from properly managing the community. While every contract is different, many management companies can lighten the board’s burden and liability, provide peace of mind, and save volunteers time and effort by assisting with:
- Overall operations and administration of the condo
- Contract and vendor management
- Project management
- Insurance administration
- Member dispute resolution
- Meeting attendance and agenda preparation
- Building and grounds maintenance
- Budget preparation
- Billing and collections
2. Professional expertise.
Unlike board members, many condominium managers hold professional industry certifications and designations through the Condominium Management Regulatory Authority of Ontario (CMRAO) and many through the Association of Condominium Managers of Ontario (ACMO) and are required to take continuing education courses. Board members can trust that the guidance they’re receiving is accurate and lawful, and they can leverage this expertise to stay abreast of the latest developments in the condo industry and potentially access resources that may not be readily available to average volunteers.
3. Valuable connections.
Managing a successful condominium isn’t a solo endeavor—it takes a team of highly skilled service providers to get the job done. Luckily, many management companies have existing connections with dependable contractors and vendors that can help the board carry out its directive. From lawyers and accountants to insurance agents and landscapers, you can rely on a management company to make connections, solicit bids, oversee the relationship, and manage contracts.
4. Consistent enforcement.
Enforcing the condo’s rules and regulations can be challenging for board members and may lead to sensitive and uncomfortable situations with fellow neighbours. Management companies can alleviate some of this stress and tension by ensuring the condo’s operations follow the requirements within the governing documents. They may also guarantee that rules and policies are consistently enforced and clearly defined and recommend solutions to resolve owner complaints and compliance issues.
5. Improved accounting.
While maintaining the financial health of a condominium corporation is a key board responsibility—it can also be a daunting task. Luckily, many management companies have highly-skilled accounting personnel on staff and employ the latest accounting software, ensuring the most accurate representation of your community’s finances while aligning with the highest security and safety standards. A management company can also handle most day-to-day financial responsibilities, develop a solid annual budget, keep records, and provide recommendations to avoid special assessments.
6. Increased community value.
It’s easy for board members to get bogged down by the burden and rigors of daily property management. With the support of a professional management company, board members can focus on fulfilling their duties and improving the quality of life in the community. Additionally, many management companies offer unique systems, services, and offerings that inherently add value to the community.
Finding the Condo Management Company That’s Right for Your Community
To learn more about selecting the best management company for your association, read our post, “How to Succeed with Your Condo Management Company,” to identify important tips and discover crucial information to make the right choice for your community.