Annual accounts and business plan: Important elements for communities of owners

The annual statement

The annual statement is a detailed report on the actual costs and income incurred by a community of owners in the past financial year.

Contents of the annual statement

• List of all costs: This includes operating costs, maintenance costs, administrative costs and other expenses.

• Income: The income usually comprises the owners' house allowance payments.

• Individual statement per owner: Each owner receives an individual statement of the contributions they have made and their share of the total costs.

Significance for owners

• Transparency: The annual statement provides clarity on the use of funds.

  Traceability: You can track and check the cost development of the residential complex.

The business plan

The business plan is a forecast for the coming financial year. It is prepared on the basis of experience and findings from the previous year.

Contents of the business plan

• Planned expenditure: This includes anticipated operating costs, maintenance reserves and administration costs.

• Advance house allowance payments: The plan determines the amount of monthly house allowance payments for the coming year.

Purpose of the business plan

• Financial planning: The business plan enables a realistic assessment of financial requirements.

• Provision for maintenance: It helps to create an appropriate reserve for future maintenance measures.

Your role as owner

• Review and approval: As part of the community of owners, you have the right and the duty to review both the annual statement of accounts and the business plan and to vote on them at the owners' meeting.

  Active participation: Your feedback and suggestions are important for the continuous improvement of management work.

Conclusion

The annual statement of accounts and the business plan are important tools for the effective and transparent management of your residential complex. They serve as a basis for well-founded decisions and contribute to the financial health of the community of owners. As your property management company, we will be happy to assist you with any questions you may have on these topics.

Please do not hesitate to contact us for further information.