A Rent Roll Due Diligence has 4 great uses which most business owners are unaware of. This week we will focus on use number 2.
Preparing to Buy a Rent Roll
Preparing to buy a rent roll is different to being under contract and buying a rent roll which is use number 3 of a rent roll due diligence.
Preparing to buy a rent roll is the equivalent to waking up one day and deciding to add an extension to your home. A building extension requires inquires, design and searches to ensure the current building can take the weight of a structural addition to the existing property. Is the foundation strong enough?
A number of business owners will make a decision to purchase a rent roll, do the financial number numbers but not undertake a full investigation into their rent roll to ensure that the foundation is strong enough to add new staff, more managements, new systems.
We have witnessed rent roll transactions where the addition of new managements to a soft foundation see managements leaving the agency due to poor management. Having a strong foundation within the business is just as important as building your relationship quickly with new landlords. A loss of managements due to poor management is a loss of money and value to your business.
Business Owners are busy running their business, managing staff and/or selling real estate. Business Owners need to continue the financial flow of their business.
A Rent Roll Due Diligence is generally handed and added to property management staff workload who are already busy undertaking their normal duties.
I have completed over 1,400 reports in my career and each report has recorded discrepancies in paperwork management or completion/software input.
I apologies for being so forward…under these circumstances relying on persons of the business to complete rent roll due diligence is undertaking this important task with the same persons making the mistakes in the business.
The Opulence Consultancy rent roll due diligence has been designed to assist business owners prepare for sale, operate efficient and affluent businesses, find foundational flaws and assist in the buying process. Best practice, a deep level of understanding as to the value of a rent roll, operating and owning a real estate business and buying and selling of rent rolls are used to provide a thorough and informative report which highlights all discrepancies within the rent roll portfolio.
Opulence Consultancy is dedicated to assisting real estate industry business owners in operating and running affluent and efficient businesses.