What Does a Storage Management Company Do
Have you ever speculated what a storage management company does? Or better yet, what this self storage property management company should be doing? If you are asking this question while reading this article, then it is safe to tell you probably possess a storage management company or are considering purchasing self storage property management company. Essentially speaking, the array of service differs quite a little bit from company to another company, depending on who you deal with. On the other hand, there are some fundamentals that are necessary and essential irrespective of your reason for wanting or needing professional self storage management. You will discover the answers in this article on what you should anticipate from a self storage management company Here are the basics: Accounting Services: ď‚ˇ Reporting The basic of reporting includes monthly accounting reports that involve expense and income statement, a balance sheet, rent-roll, general ledger, a copy of the bank statement, and expense ledger. There are other several reports that you may need or want depending on the type of ownership and property. For example, with a property relating self storage, you may want to add some items mentioned above or a copy of the daily deposit report or the audit. ď‚ˇ Narrative Report Narrative report is the monthly narrative summary of exclusions in the expenses and income, budget, or any uncommon goings-on in your self storage property. It is advised that this narrative report must be prepared by the self storage manager in charge for your storage business.
Collections or Accounts Receivable (AR) Collections or accounts receivable refer to rent collection or other payments owed. This task is normally considered an accounting task. In self storage property management you will need a storage management company that has a system of responsibilities and a clearly defined process when it comes to collection. The process of collecting include who will do what in the collection process, what will be done and when will it be done. Payments or Accounts Payable (AP) After the storage management company have collected you payment, you will require them to shell out the bills. The process of payments is also similar to the process exercised in the process of collecting – the who, what and when. You may want to describe for the accounting employee the information on payment of your expenditures, including how much and when to pay to you, including other information like capital improvements, reserves for taxes, and insurance. Lease Processing This function is usually a group work, with a specific routing or a definite pattern to a number of employees within the self storage company, including the property manager and accounts receivable department. Every department has a detailed items and function they are looking for. On the other hand, one staff normally inputs the rent details into the computer. This particular stage of the process is very important, as a missed dollar amount or date could lead to serious consequences down the road. A process and detail that involves several layers of employees checking the input process is vital.