- April 13, 2019
- Posted by: Scott Setterlund
- Category: associations, Business plans, communities, Community, Economics, Finance & accounting, Franchising, Funding trends, HOA, Innovation
If you are looking to outsource your HOA’s financial accounting, to reduce liability, to improve compliance and to redirect your Board’s focus on the positive aspects of your community, MGM Association Management is ideal for today’s Internet savvy association. MGM has transformed associations to become more independent without having to sign up for costly management services.
MGM has successfully integrated an independent financial tool for HOAs with the dual purpose to mitigate a Board’s financial liability and to alleviate any potential risks for Board mismanagement. Many HOAs now realize their exposure to self-interest and mismanagement of funds puts all homeowners at risk for litigation and the potential for higher dues. This is because Board members volunteer their time and are often elected to the Board for personal reasons. This combination produces a conflict of interest, and results in an attractive place for false reporting, under-reporting or no reporting.
MGM Association Management is a third-party administrator designed as an adjunct to replace anyone who directly handles their HOA’s financial records at a cost much less than hiring an accountant.
In the past, a homeowner volunteered their time to act as the membership’s financial accountant. The cost of hiring an independent accountant is prohibitive to many HOAs who are financially stretched, and has forced many HOAs to perform this service internally.
If your association is already enjoying the benefits of outsourcing your HOA’s financial accounting by using a local CPA or bookkeeper, you will find MGM offers competitive rates. Furthermore, MGM understands HOA accounting nuances such as collecting homeowner dues, the importance of paying vendors on a timely basis, budgeting and forecasting for potential maintenance issues, the value of reserve funding all with up-to-date and in real-time online accessibility.
MGM offers a suite of HOA-specific financial tools including compliance services, automated collection procedures and delinquency controls, to interactive web modules allowing homeowners to interact and communicate in real time with their Board. The program is designed to increase the efficiency and productivity of your financial reporting, giving your community the competitive edge it needs to thrive and grow.
MGM provides a fully integrated accounts receivable, accounts payable and general ledger modules. All data is processed and managed in real-time. Integrated G/L budgeting, allows for automated budget generation. Unlimited customized reports and parameters, in addition to, access to over 440 pre-configured report templates, all populated with real-time data. These are tasks that a volunteer Board member would have to do (or not do!), saving them an enormous amount of time and eliminating a biased individual from falsifying reports. MGM reduces your association’s risk from litigation and mitigates unplanned assessments.
MGM’s intent is to keep HOAs independent, and solvent, without having a management company involved. Their financial software is ideal for smaller HOAs looking for better financial accountability and transparency while at the same time keeping their dues low.
Look into MGM and how they have transformed associations to become more independent, have improved their financial reporting and have reduced an HOA’s exposure to liability. You can reach MGM at (208) 846-9189 go to www.gomgm.com.