What does a managing agent do?
As managing agents, we act on behalf of the management company and are responsible for the maintenance and insurance of the communal areas within a residential development.
Communal areas include but are not limited to car parks, shared gardens, communal stairs, building fabric and play parks.
We also provide company secretarial duties for the management company, including maintaining the shareholder register, and filing annual returns and financial statements. We work closely with the directors of the management company to ensure we provide a tailored service for your development.
Management Companies explained
When purchasing a property, a homeowner also becomes a shareholder in the Management Company; a limited company registered at Companies House to look after the common areas of the development.
As shareholders, they own an equal stake in the common areas and have voting rights as to the maintenance and finances of the shared areas.
Shareholders are financially responsible for the maintenance/insurance costs of the development.
Annual General Meetings will be held which provide a time for shareholders to discuss maintenance requirements and how their annual budget should be allocated.
Limited Companies must have directors appointed from amongst the eligible shareholders who take on additional responsibility and can make decisions on behalf of all shareholders. A management company will appoint a managing agent to work on their behalf.
Lease/Deeds
A contract in the form of a lease or deed will be in place for each development which provides clarity and sets out any burdens and requirements particular to commonly owned areas. This may include specific maintenance requirements. The management company and managing agent must work within the scope set out in the lease.
Memorandum and Articles of Association
The Memorandum and Articles of Association are legal documentation providing details of the Management Company and how it should conduct itself. It also sets out the roles and responsibilities of the directors and shareholders.
