Martin lives in an apartment and is on the Strata committee for that property. If you too are on a Strata committee, you might recognise a few of the problems Martin is facing.
Hi Councillors, have you ever wondered what your role actually is? I did, when I found myself on two strata committees managing a combined yearly budget of $950,000 and strata company assets worth $85 M. It became pretty clear, as committee members we are responsible for running a serious business - with a bucket load of money involved.
I was familiar with running a private company and had heard in various strata training sessions how strata companies are similar to private companies so I set about unpacking strata to see how the similarities played out.
I began with an overview and identified five high level elements of a strata company that I believe are important to understand.
I then set about identifying how to best manage these elements, but first I needed to better understand how a strata company works. The diagrams below reflect my interpretation. They are discussed in more detail in the Strata Portal.
Well run strata companies have a vision for their strata company, have long-term goals that ensure the value of their assets increase, make smart decisions about how to spend strata funds whilst keeping strata levies stable and predictable.