[AMA] I Started a Body Corporate/Strata Business - Ask Me Anything

Associatedjustinh93 @ resibodycorporate.com.au on 11/12/2019 - 19:11
Last edited 11/12/2019 - 19:42

Hello Ozbargainers,

Thought we might offer something a bit different to the usual traffic infringement posts.

Having owned townhouses, we were extremely frustrated with the lack of care and service from our body corporate managers.

We did some research and decided to change our careers and start our own body corporate/strata management business.

We know that everyone loves their body corporate manager as much as they like high yield investments. This AMA will hopefully give you some answers to those questions your own manager has not.

There are many misconceptions in this industry, with most owners not fully understanding their rights or the fact that they can always change and find a better manager.

The include:

  • You need all owners on board to change managers
  • Long contracts can’t be broken

Our website is here. Would love any feedback on it as we only finished it last week. This is our Linkedin's - Alex and Justin - Feel free to connect!

Happy to answer any body corporate or business questions.

Cheers,

Justin

Introduce Yourself

Related Stores

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closed Comments

  • knobbs on 11/12/2019 - 19:18
    +3

    Yeah I really really 'love' our current super competent and responsive body corporate. What are you putting in place to show customers/clients you provide a better service than all the others and keeping it that way?

    • Associatedjustinh93 @ resibodycorporate.com.au on 11/12/2019 - 19:35
      +1

      We have pretty good google reviews, but more importantly we have no lock in contracts so if we aren't holding up our end of the bargain and doing what we say we are going to do it will be really easy to take your business elsewhere. Luckily no-one has left us yet.

      My other ventures include Gameolgoy and Pokéd, and are in highly competitive spaces where service is key. We think that there is a real service gap in the body corporate space as there hasn't really been much competition. Most managers choose to focus on enforcing their long contracts rather than providing a really good service.

      • outlander on 11/12/2019 - 23:21

        Oh you're that guy. Wow, right on brother. You are one non-stop hippity hop pop shop dude. Always got another iron in the fire, don't cha.

        How many long do you think it will be until you make the ultimate jump, and create a business that creates other businesses?

        • Associatedjustinh93 @ resibodycorporate.com.au on 12/12/2019 - 07:55
          +1

          Hey Outlander,

          Haha just trying to make a difference and it's always fun learning new things.

          I think that is the ultimate dream, where the business gets to the point where it can start creating its own businesses. We are still quite small at the moment so haven't got that ability yet.

          Let me know if I interpreted the question right, cause I realised it could also mean doing business coaching or something along those lines which I'm not that interested in. I reckon that advice should come free and I love catching up with people to chat about their ideas.

          • outlander on 12/12/2019 - 11:02

            @justinh93: Yeah you got it right. I'm joking but I also admire your ability to be constantly pushing the envelope and exploring new avenues.
            Its a very valuable character trait.

            • Associatedjustinh93 @ resibodycorporate.com.au on 12/12/2019 - 11:36

              @outlander: Haha thanks mate! Appreciate the kind words.

  • Skramit on 11/12/2019 - 19:23
    +2

    What makes your business different to other strata management companies because I’ve only dealt with two myself, and both were dismal.

    • Associatedjustinh93 @ resibodycorporate.com.au on 11/12/2019 - 19:40

      We have no lock in contracts, so if you aren't happy with the service you are able to leave hassle free.

      We are also quite small at the moment so you will be always dealing with someone who actually has skin in the game, you won't have to deal with a revolving door of managers. We are also working on a number of efficiencies to ensure that the service is always there.

      I think there are many little things a manager can do to make the lives of their clients easier.

      For example
      * Having meetings at your property rather than in an office that is nowhere near your property.
      * Ensuring the upkeep and look of the property as it will affect the value of the property

      Being owners ourselves we are basically just treating our customers the way we would like to be treated.

    • AssociatedAlexResi @ resibodycorporate.com.au on 11/12/2019 - 20:11

      Hi Skramit, we'd love to get your thoughts on what you'd look for in a strata manager. What were your pain points when dealing with the two managers?

      • Skramit on 12/12/2019 - 11:05

        I dunno. To be honest it was probably just the simple things.

        a) Communication. Respond to emails quickly and answer the friggen phone! Even a "we got it, we'll look into it" email response is appreciated instead of silence for 3 weeks.
        b) Deliver value for the fees. I felt like body corps I've dealt with were taking their cut and delivering absolutely zero in value back to the owners. Whether it's just staying in contact more often, acting like you're actually managing the properties with regular updates/news/whatever. Show that you care by re-negotiating the gardener rates, or other utilities down once in a while.
        c) Don't just appear at the annual owners meeting and then be a ghost for another 12 months.

        • Associatedjustinh93 @ resibodycorporate.com.au on 12/12/2019 - 13:17

          These are exactly the problems which we want to fix. It's crazy that such simple things are not done. It wouldn't be acceptable in almost every other industry to treat your clients in this manner.

          Have you found a good manager now?

          • Skramit on 12/12/2019 - 13:32

            @justinh93: Ended up buying my own house and now I can avoid Strata management :)

            • Associatedjustinh93 @ resibodycorporate.com.au on 12/12/2019 - 13:34

              @Skramit: Haha yes, that's definitely the best way to do it! Congrats :)

  • Sheila Dealer on 11/12/2019 - 19:38

    Our daughter has just moved into her first home…. a town house. The laundry washing machine taps need new washers but she can’t find where to turn the water off. There is a meter in her yard with a tap(cock) but no handle. Who’s responsibility is it to get this working if it enables her to turn off the water…hers,strata or maybe Sydney Water?

    • AssociatedAlexResi @ resibodycorporate.com.au on 11/12/2019 - 20:06

      Hi Sheila, this would be the owner's responsibility and there are some great videos online on how to turn off the water. If the water meter is faulty then you should contact the builder or Sydney Water.

    • Associatedjustinh93 @ resibodycorporate.com.au on 12/12/2019 - 11:44

      Hi Sheila,

      If each property has its own individual meter you could also look at getting a wrench to turn off the water.

  • pegaxs on 11/12/2019 - 19:40
    +1

    Are you fun to talk to at parties?

    • Associatedjustinh93 @ resibodycorporate.com.au on 11/12/2019 - 19:45
      +2

      I try to be

  • dasher86 on 11/12/2019 - 19:41
    +1

    You say you have an all inclusive fee yet you charge disbursements.
    Emails in, emails out, postage etc…

    • Associatedjustinh93 @ resibodycorporate.com.au on 11/12/2019 - 19:46

      Hey Dasher!

      Thanks for looking through the website. The tick is supposed to indicate that we don't charge those fees, but thank you for pointing that out.

      We will have to have a think about how we convey that we don't actually charge those fees

    • arkie0 on 11/12/2019 - 19:48

      Yeah, nah they just need to engage a proper UX dev as not to confuse the people who aren't as internet literate.

      • Associatedjustinh93 @ resibodycorporate.com.au on 11/12/2019 - 19:53

        Yeah… we are still on a pretty tight budget atm.

  • [Deactivated] on 11/12/2019 - 20:42

    What did you eat today?

    • Associatedjustinh93 @ resibodycorporate.com.au on 11/12/2019 - 20:45

      Had a poké bowl for lunch, you?

      • [Deactivated] on 11/12/2019 - 20:47
        +1

        Its not my ama

        • Associatedjustinh93 @ resibodycorporate.com.au on 12/12/2019 - 07:48

          That is very true

  • theHMASfriendship on 12/12/2019 - 07:05

    What is your favourite member of the former hit pop music group, One Direction?

    • Associatedjustinh93 @ resibodycorporate.com.au on 12/12/2019 - 07:32
      +1

      I don't really know that much about them, apart from harry cause his got 3 nipples. So I guess I will have to lock in Harry.

  • distemper on 12/12/2019 - 07:39

    Are windows in an apartment strata complex an issue for strata or for the owners? For example if the rubber wheels of the window which allows the windows to open and shut horizontally have worn out then who would be responsible for getting them replaced?

    • crashloaded on 12/12/2019 - 10:11

      I imagine BC will only be responsible in the case that the window adjoins a common or outside area and not part of your lot or another lot.

    • AssociatedAlexResi @ resibodycorporate.com.au on 12/12/2019 - 12:10

      It depends on the location of the window, which part of the window is getting repaired/replaced and the Plan of Subdivision which would be specific to each strata complex.

      In Victoria, owners corporations are responsible for managing, repairing and maintaining common property. As the name suggests, common property refers to property that is jointly owned and may include driveways, windows, roofs, gardens, swimming pools or lifts. To find out exactly what your owners corporation is responsible for repairing and maintaining, refer to the Plan of Subdivision which was attached to your contract of sale or your manager should be able to provide you with a copy of it.

      Items like fly screens, latches and rubber wheels are typically replaced by the owner but if you were to replace the entire window then the owners corporation would be responsible for 50% or the full replacement cost depending on whether there is an internal or median line boundary on the Plan of Subdivision.

    • Associatedjustinh93 @ resibodycorporate.com.au on 12/12/2019 - 14:47

      It does sometimes vary from state to state. Where are you based?

  • Pumpkin_rrr on 12/12/2019 - 12:08

    Hi Justin,
    Thanks for the post. So you are new member to OzB….?

    Here are my questions, appreciate your response.

    1) When did you start this company?
    2) How much is the set-up cost?
    3) What sort of Licence do you have?
    4) What type of education is required?

    That's all for now. Thank you.

    • Associatedjustinh93 @ resibodycorporate.com.au on 12/12/2019 - 13:14

      Hey Pumpkin,

      Wouldn't say I am new, but I do love OzB.

      1) We started around 6 months ago
      2) Set up costs were website and some registrations. It was more time than anything else
      3) You need to be registered by the Business Licensing Authority and have the relevant insurances
      4) A cert IV in strata management is ideal however not essential.

      What do you do at the moment? Are you looking to start your own business?

  • hawkeye on 12/12/2019 - 14:42
    +1

    We used to be managed by a bunch of clueless greedy woman in Barad Brisbane 8 years ago. The set fee was $xxxx.00 + if you called them office girl $60 hr building $120 hr management $450 hr etc.
    The gardener rang them up for the key to use the toilet once cost us $60 marked under building services.

    These dumb asses that we paid so much for their invaluable knowledge charged us and let the insulation company cut through fire walls when the kevin Rudd insulation scheme was around. They organised this I'm just wondering if the place ever burns down will they go to jail?

    Rang QBCC they said if the companies gone broke nothing they can do.

    • Associatedjustinh93 @ resibodycorporate.com.au on 12/12/2019 - 14:46

      Yeah… its pretty crazy what some of the companies charge for. There are so many horror stories.

      Unfortunately many companies go "broke" to get out of their liabilities, or maybe its well deserved cause of their greed.

      It sounds like you no longer live in a strata building anymore?

      • hawkeye on 12/12/2019 - 15:14
        +1

        It was the insulation company that went broke the strata monkey's are still around AFIK We sacked them and have been self managed over 8 years now.

        • Associatedjustinh93 @ resibodycorporate.com.au on 12/12/2019 - 15:18

          Ahhk, yeah I think most of them went under as soon as the incentive stopped.

          Self managing is good especially if there aren’t that many lots. Have you found self managing pretty easy? We’ve been thinking about developing some tools to help people self manage.

  • chaz88 on 17/12/2019 - 16:16

    How easy is it to change? We have a unit in Springvale and the manager is useless.

    • AssociatedAlexResi @ resibodycorporate.com.au on 20/12/2019 - 17:22

      Great question Chaz, and I'm sorry to hear that you're not having much success with your current manager.

      We actually make it really easy to change managers - once we provide you with a management proposal that you are happy with, we help you get enough support from the other owners and then we do all the work organising a meeting where owners will formally vote on changing.

      If your unit is in Springvale, Victoria I'd love to chat to you about your property a bit more. How many units are there?

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