Strata management charges when collecting levy arrears are under fire, not just from the press but also peak bodies for financial counselling. Debt collection is tricky for strata managers. Management can be accused of being too lax and of being too aggressive.
Cost of living pressure is making it hard for many property owners and while compassion is required, strata expenses need to be paid and unlike businesses, strata schemes don’t usually operate with surpluses and overdrafts.
This week a government law reform roundtable I attended identified SMS reminders before levies are due as more effective than letters of demand, by which time interest and other costs are being incurred.
Check out the SMS functions on www.mailchimp.com which is the distribution platform we use for this newsletter.
Michael Teys advises strata management businesses on improving profitability through professionalisation and streamlined operating systems.
He has more than 30 years’ experience as a strata lawyer and academic and has owned 11 strata management agencies throughout Australia. He has a Master of Philosophy (Built Environment) and Bachelor of Laws. He lectures and writes widely about strata management issues in Australia and internationally.
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