1) Prepare and recommend an operating budget to the Owner. Establish a segregated banking account for receipt of all income and payment of all property related bills. Establish a separate security deposit account for the property.
2) Collect all rent and assessments – i.e. bill, receive, record, and deposit all revenue, as well as follow up on delinquent payments. Review all leases to ensure proper billing of rent, CAMS, parking, utilities and other services that may be provided to tenant. Complete all CAM reconciliation at the end of each fiscal year and bill/credit tenants appropriately.
3) Implement late assessments for overdue accounts. Dirigo’s property management software can automatically assess a late fee after any date specified by the Lease Agreement – i.e. 15 days, 30 days, etc.
4) Purchase supplies and materials for the property.
5) Review, process, and pay expenses.
6) Affect Cost Control Management, which entails price shopping, bulk purchasing, and volume discounts. Specific areas to include: snow plowing, grounds keeping, painting, insurance, etc.
7) Invoice tenants for purchased services and/or charge backs.
8) Recommend appropriate Replacement and Contingency Reserves and assist the Owner in all aspects of reporting and administration.
9) Prepare Monthly Financial Statements (25th of each month).
a) Dirigo utilizes either cash or the accrual method of accounting.
b) A monthly Statement of Income and Expense will be prepared for the Owner’s review.
c) Other monthly reports include:
- Balance sheet
- Receivables report
- General ledger
- Other reports as requested
d) Dirigo will work with the Owner to ensure that the format/presentation of the financial report meets with his/her approval.
10) Keep and maintain the books and provide accounting services, following Generally Accepted Accounting Principles. All Dirigo staff are appropriately bonded.