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Condominium Association Management Transition: A Plan for Success!

Planning is a must for almost any new or existing condominium association that is transitioning management companies. Once a notice is given to a management company, planning has stopped being a choice. Management companies vary inside their cooperative nature with transitioning services, electronic files, and management relations to an alternative company. Professional standards would dictate a professional exchange of leadership should happen between the management companies; however, the fact is very different from the perfect professional standard. Often, management companies go ahead and take loss in litigant personally. They don't realize that in every business relationships, needs and priorities of clients change. A brand new fresh perspective is exactly what an association might need to move forward. An alteration is a time for reflection for your exiting management company about what alterations in the management concepts must take place in order to help keep existing business. Change is definitely an inevitable section of business model and may participate the management process. - Atlanta Condominium Management Transitions when planned well often means the main difference from the success and failure. The new company should help the Board create a project plan and timeline. The project plan is the most important aspect of a highly planned transition. The project plan will include the next data sets: Board Vision and Goals- It's amazing how this simple planning concept is left out of transitions. With no knowledge of the association vision and goals, the management company cannot perform that vision. The vision and goals are the first customer survey a management company must ask. Ideally, this will occur even before an offer is offered. If both parties don't ask this question on proposal, how do you realize that you have found the correct partner to accomplish the association's vision and goals? Making the wrong choice this is actually the hallmark of the failure inside the making. Communication Outline- The communication outline should give key times and notice releases to customers, vendors, owners, and other key players to ensure that the transition is on target. Initial notices ought to be ready for release ahead of the Association notifies the present management company of termination. After the existing management company releases the association, only termination services will most likely be practiced for the association. Financial Plan- Transitions will take funding for notices, mailings, set-up charges with the new company, and continued operations. Before requesting funding from the exiting company, the communication plan is established first to make sure that future payment and bills are received in a timely manner. It's not uncommon for that new management company to pre-fund the mailings and notices for that association until the association money is received from the exiting company. Often, the exiting company will require 30 days to produce funds.

The Board has every right to request the immediate release of reserve funds as the existing management company closes out operations. Reserves needs to be sent immediate to the Board for deposit with the new company. A predetermined amount ought to be utilized to fund the brand new operating account using the new management company. This may be sure that the funding is available to prevent interruption of services. Remember, the exiting company is not there to make your transition smooth. A smooth transition can be the association together with the brand new management company. - Atlanta Condominium Management Budget Review- Budgets are ready in a variety of formats and methodologies. A whole report on the income and expenses should be made with all the Board. The transition won't be successful in the event the budget doesn't fulfill the goals with the Board and the Association. Vendor Service Changes- Time for transition is the best time for you to evaluate whether cheaper vendors are available with the new company. It is common how the new management company might have better pricing from vendors desperate to attract the association's business. We've discovered that we normally can shave a minimum of $5,000 to $10,000 from the vendor costs during this time. Social Interactive Meeting: Probably the most stressful times for owners is during any major change in association management and operations. Our everyday life have become multi-faceted where often change isn't a welcome factor. The poor economic conditions with the recession, family obligations, increased work commitments, and overall pace of our own lives do not want more chaotic changes. The bottom line is to alter the negative concept of plunge to a confident concept; thus, here is the perfect time to get a social to integrate the Community, the Board, as well as the Management inside a friendly and non-stressful environment. Missing this chance can be a major negative in ensuring an even transition. Although more categories may be included with the above mentioned data sets, the truth is that without basic planning and knowning that incorporates the important thing structures of project management, the transition won't be successful for all the parties. - Atlanta Condominium Management