Your management company is a key asset in running your business and ensuring that it is profitable. If you own a commercial property on Long Island, follow these three business practices to help save money and put dollars back on your bottom line:
1. Obtain Control of Energy Costs
It’s safe to say that energy costs aren’t going down any time soon. The cost of energy is on the rise at a steady pace. And, oil companies aren’t incentivized to decrease your costs – they’re in business to make profits. The issue is that fees can be inflated; there can be hidden charges; and, there can be mistakes on invoices.
There is some good news in all of this – managing agents and building superintendents do not have to fall prey to ruthless oil company tactics and common administrative errors. The key to coming out on top is to go through your bills and records with a fine toothed comb on a regular basis.
Our Long Island property management company has in-house CPAs that will assist you. We will carefully analyze your accounts, from top to bottom, and make sure your money is being spent wisely.
Quick Tip: Property owners who manage suppliers and monitor their bills save more money. Start reducing your energy costs by reading your oil Petrometer before and after each delivery. This method will help you to see the amount of oil that you’re receiving.
2. Analyze ‘All’ Commercial Leases
Another way to save money is to carefully analyze all of your commercial leases. Analyzing your leases can also help you discover new avenues of income. As a matter of fact, Metropolitan Pacific Properties did this for a restaurateur in New York City.
Before we came on board, the restaurateur’s building was in poor shape financially. The property management company they hired previously put them deeper in the hole. So, our experienced managing agent carefully reviewed the client’s Owner’s lease agreement.
We discovered the lease was written to include the use of two floors of the restaurant, but not the rooftop terrace area. We also discovered that the building Owner was benefiting financially from the rooftop.
As a result of hiring our team, we were able to help the client identify ways they were losing money and we helped them generate additional income.
3. Limit Equipment Spending & Building Supplies For Superintendents
Many building Superintendents have one thing in common, they tend to overspend. Whether it’s on light bulbs, trash bags, paper supplies, and etc., these day-to-day necessities can burn a hole in your wallet. As one of the top Long Island property management companies, we have full access to an extensive vendor list. We also have special industry pricing information to make certain our clients are being provided the best prices for their property.
Quick Tip: To save money, enforce a spending limit for building Superintendents. Often times, a building Superintendent is given permission to spend up to $1000 without approval from the Board. The Superintendents allowance should be monitored regularly by your property manager to prevent wasting money.
As you can see, analyzing building supplies is only one aspect to saving money. We can also help you save money on insurance and even help reduce energy costs. When you hire a professional property management company on Long Island, it can give you peace of mind and keep your money where it belongs, in your wallet.
If you’re a Long Island commercial property owner who is seeking an experienced property management company or looking for ways to save more money, give us a call now at: (212) 944-9100 or visit: http://metpacproperties.com/request_for_quote.asp.