A Healthy Budget in the Time of COVID-19 Part II
You may be able to enhance value and save money on budget items you never considered. The even better news? Our professional property management company can help! In some cases, that may mean getting higher value for your money than seeing instant savings.
The right management partner will have a depth of resources and buying power to help you make the most of your association budget now for savings down the road. What are some of those areas?
Condominium Associates pointed out that vendors and benchmarking are one way to do this in last week's post. Here are other ways in which you can budget during the time of COVID-19.
Investment Knowledge
Where and how is your reserve fund invested? Is your reserve fund invested? More than 50% of board members tell us that they are not confident they are getting the best returns on their reserve fund investments.
Be sure your money is working as hard as it can for your association. Through banking relationships, associations can receive a better return on investments and reduced fees. We know how important it is for associations to have investments that are safe and yield the highest return possible. Reallocation of funds can generate thousands of dollars in profits each year.
Insurance Checks
When did you last have your insurance audited? Are you covered correctly? Having the right insurance doesn't just mean getting the lowest premium. Low premiums often come with high deductibles or risky exclusions. It may be in your best interest to pay a little more each month in the event of a disaster.
Another important point is don't set your policies to auto-renew. Every year, work with your agent or broker to assess your coverage and make sure that it is up to date and adequate and the best price you can get.
Energy
Here are some excellent questions that may help you lower your energy costs:
How much energy does your association use in common areas?
Are the lights on when no one is using a space?
Is your pool or hot tub a few degrees too warm?
Are you using the most efficient pool heater for your location and type of property?
Is the air conditioning a few degrees too cold?
Do your parking garage fans stay on when not needed?
Are there areas of your community with excessive outdoor or landscape lighting? All of these are potential places to increase value and save money for your high-rise building or HOA.
Your professional management company knows the depth of resources and buying power to work with your local utility company, audit your building or community's energy usage and find ways to help your community get the most for the dollars you spend on energy.
Contact Us
Without a doubt, the COVID-19 pandemic is affecting the economy. Working with the right professional management partner can help your association stay on the sound financial footing, getting the highest value for your association's dollars. Contact us to learn more ways we can help your association save money and budget correctly.