ZDFin, with a wealth of practical experience in property and property financial management, understands these challenges; our financial product range has been formulated, is and remains tried and tested, to address a range of financial challenges all tailor-made for your scheme.
ZDFin has a wealth of practical experience in property and financial management. Our financial products address a range of challenges and can be tailor-made to suit your scheme.
Contact
Find us:
First Floor,
Building 5 (Glenflager), Kildrummy Office Park,
Corner Witkoppen & Umhlanga Avenue,
Paulshof,
Gauteng
Open weekdays (08h00 – 16h00)
Who we are?
How we can help you?
ZDFin is a specialist finance company providing smart solutions for residential juristic entities, these commonly referred to as ‘Complexes’ but legally being ‘Schemes’, as defined.
The legal definition of Schemes incorporates Sectional Title Bodies Corporate, Home Owners’ Associations and Share Block companies.
The now ‘not-so-new’ legislation that came into effect in October 2016, has finally given some financial direction to schemes (previously left largely to the discretion of trustees and directors), especially insofar as budgeting is concerned.
The practical reality remains that schemes typically under-budget and seldom do cash flow budgets, taking arrears and debtor balances into account, not to mention the legal costs necessary to pursue. As such, schemes are still challenged in raising adequate reserves to fund large maintenance and capital projects, which may or may not form part of their now legally required 10-year Maintenance Repair and Replacement Plans which give direction to the reserve levy and associated surpluses.
Rising levels of indebtedness, exacerbated by a weak economy, are also compromising the ability of schemes. Their financial wellbeing is under threat and often funds ring-fenced as reserves – as per legislative directive – are utilized out of necessity to fund administrative shortfalls.
Ultimately, maintenance cannot be ignored and is ultimately the fiduciary duty of trustees to see to. Indeed, the Maintenance Repair and Replacement Plan approved at a General Meeting (most often the AGM) directs planned maintenance and associated works while also being a driver of financial planning and management via the scheme’s reserve fund and levy. Schemes and trustees who ignore or delay required maintenance work, are not only in breach of their fiduciary duties, but also expose themselves to the resulting erosion of value and often exponentially increased costs at a future date.
ZDFin has a wealth of practical experience in property and financial management. We understand these challenges. Our financial products address a range of challenges and can be tailor-made for your scheme.