leigh_oliver

We recently took over the management of a strata scheme that has had a somewhat turbulent history. One of the biggest areas of concern for owners, was the financials. What was discovered is a good example of why financial transparency, proper internal controls and engaged owners are so important in strata management. It started with an owner asking questions 🔍 A Council of Owners member requested a detailed Income & Expenditure Statement and took the time to carefully scrutinise the...

One of the most common misconceptions I encounter when a strata company changes managers is this: "Now that we've appointed a new strata manager, they'll sort out everything the previous manager did." The reality is quite different. A new strata manager is appointed to manage the Strata Company from the commencement of their appointment, not to unravel years of historical issues created under a previous management arrangement. Understanding this distinction can save a great deal of...

One of the most important decisions a strata company makes often receives the least attention: where its money is held. Many strata management businesses operate pooled trust accounts, where the funds of dozens, hundreds or even thousands of strata companies are held within the same trust account. While each scheme has its own ledger recording its balance, the cash itself sits in one large account controlled by the strata manager. The alternative is for each strata company to have its own...