Why is it important to deliver financials on time?
One of the biggest challenges HOAs in Colorado (and across the nation) face is getting monthly financial reports completed and done on time and accurately. Consequently, one of the biggest complaints we hear during our sales process with prospective clients is delayed delivery of the monthly financials. Sometimes Boards are months behind in receiving them. And when they do, there are errors and inaccuracies. With this kind of delay, it makes it almost impossible for Boards to make decisions for the community and have a good handle on the financial status for the HOA.
What delays lead to:
Delayed or non-delivery of financials can have a huge impact on the HOA. Without an accurate report of their Association’s financial status Boards cannot make big decisions without running the risk that they might not have all the pertinent information. Most HOA Boards are made up of volunteers who are not experts or financial forecasters – without the right tools they will not be able to do the job well. Accurate and on time financial reporting, along with the support system in place to produce those reports, are important tools that all management companies should provide their Boards. When Boards do not have all the tools they need, mistakes and incorrect assumptions can easily be made.
Furthermore, non or delayed delivery leads to a breakdown of trust between the HOA Board, the Management Company, and the Property Manager. By not having a critical piece of the puzzle, all parties involved will not be able to function in their role. This will ultimately undermine the Board and the Management company as homeowners do not know how or why decisions are being made or delayed. In turn, this can lead to frustrated and angry homeowners who will feel like they do not know what is going on. This can happen in even the best run communities. By having on time and accurate financial reporting, transparency and trust are built.
CAP Management’s Financial Delivery Guarantee
CAP Management has a goal to be one of the top HOA management companies when it comes to financial reporting and we feel that we have a team in place that can meet that goal. Here at CAP Management, we deliver financials on the 6th business day of the month for our Boards to review. This allows Boards to have a stable look every month at where the HOA stands financially. It also allows for any corrections to be made in a timely manner and with the Boards’ input and approval.
By having a stable lens into the financial status of their Association’s financial status, HOA Boards can make decisions that benefit the community in both the short and long term. Property values will also increase as more people purchase homes in a stable and well-funded community. In sum, having on time delivery benefits everyone, from the management company to prospective home buyers. CAP Management’s goal of being an industry leader in Colorado, serving the Denver, Aurora, Lakewood, and other surrounding areas in terms of financials delivery, is one that we strive to meet every day. If you are interested in management services and want to experience a meaningful difference when it comes to your HOA’s financial reporting, please get in touch, we would love to hear from you!