What are the steps to follow when appointed as Managing Agent for a new Scheme?

Published On - August 19, 2019

Fitzanne News, Property Management Advice and Tips, Scheme Executive and Trustee Advice and Tips

What are the steps to follow when appointed as Managing Agent for a new Scheme?

  1. Doing the happy dance!
  2. Letter of appointment to mandate new Managing Agent to liaise with current Managing Agent regarding all matters of take over.
  3. First info required:
    • Members address list and contact detail.
    • Current schedule of levies and other charges.
    • Closing balances on all accounts.
  1. Sending of welcoming letter to all members informing appointment of new Managing Agent and detail as to where and how levies and relevant charges should be paid.
  2. On receipt of all other financial records and correspondence, to check:
    • If minute book is up to date with all minutes, including the most recent Annual General Meeting.
    • Financial records including all invoices for current period and at least 6 (six) years’ records prior to take over.
    • Informing all contractors and service providers on change of address.
    • To make sure correct balances of current account and reserve accounts are transferred.
    • Re-instate debit orders (insurance premium inter alia).
    • Check last payment to Community Schemes Ombud Service (CSOS).
    • Determine which members have been handed over for collection of arrears and/or those in the process of being transferred / informing attorneys of appointment.
    • Check on outstanding insurance claims.
    • Follow up on arrear creditors and the reason why.
    • Contracts of employment / check on deductions such as loans, rental agreements, policies, court orders and/or funeral benefits.
    • Current guarantees on completed maintenance projects.
    • Contracts of appointed service providers.
    • Opening of new current and investment accounts as per instruction from the Scheme Executives (Trustees / Directors).
    • Financial year-end, latest Audited Financial Report.
  1. Involve Scheme Executives, if necessary, to assist in obtaining missing documentation.
  2. Signing of new Management Agreement.
  3. Informing Scheme Executives on progress.
  4. Deliver service to such an extent that Scheme Executives will never doubt their decision to change Managing Agents!