What is a Capital Reserve Study?
A capital reserve study consists of an on-site inspection of your property and an in-depth analysis of your capital assets performed in an effort to optimize reserve funds. It is a planning tool that identifies the amount of funds to be set aside to repair, replace, and restore the assets of a property or community over time. The resulting report presents a plan that is utilized by money managers for long range planning, and by property management staff for daily decision making.
Asset Planning
Asset planning focuses on wisely managing resources to set yourself up for long-term success. By looking ahead at least 20 years, executives will make proper financial decisions that align with their future goals. This helps create a solid budgeting process which plans for asset replacement and maintenance to avoid paying the price in the long-run.
- Benefits of 20-Year Planning: Why Smart Executives & Boards Focus on Long-Term Budgets
- Asset Management of Real Property – Part 1 of 9 – Management of Fixed and Moveable Assets
- Asset Management of Real Property – Part 2 of 9 – Replacement Planning and Budgeting
- Asset Management of Real Property – Part 3 of 9 – Physical Maintenance and Preventative Maintenance Programs
- Asset Management of Real Property – Part 4 of 9 – Preventative Maintenance Program Software
- Asset Management of Real Property – Part 5 of 9 – in-House Maintenance versus Service Contractors
- Asset Management of Real Property – Part 6 of 9 – Key Components of a Service Contract
- Asset Management of Real Property – Part 7 of 9 – Key Elements of Building Security
- Asset Management of Real Property – Part 8 of 9 – Occupational Safety and Health Administration (Osha)
- Asset Management of Real Property – Part 9 of 9 – Insurance
- Building Owners: Prepare for Tighter Energy Regulations & Requirements to Submit Energy Reports & Building Benchmarking Data
- Four Steps to Creating an Effective Asset Management Program for Real Estate Holdings
- 9 Best Practices for Real Estate Asset Management
- The Risk Matrix: a Simple yet Powerful Tool for Asset Management
Capital Needs and Funds Planning
When it comes to capital needs, having a solid game plan in place is key to keeping your organization in order. It’s all about making sure you have enough funds set aside as property assets age. Updating your capital replacement plan routinely is very important to help you stay on top of any changes that might affect your budget.
On-Site Inspections
On-site inspections are a crucial part of asset management, ensuring that your properties are well-maintained and any issues are addressed and resolved in a timely manner. Regular inspections help identify maintenance issues early, which can save time and money in the long run. Whether you choose your favorite maintenance service or contractor, having a solid plan is essential for setting yourself and your assets up for success.
Fund Status and Planning
Fund status and planning is crucial for sustaining the financial health of an organization over a long period of time. A solid plan often involves looking ahead at least 20 years, allowing executives to anticipate future needs and allocate resources effectively. Asking the right questions during the budgeting process is crucial, as it helps identify potential gaps and prepares organizations for upcoming expenses.
- How To Predict The Future
- Questions To Ask Before Updating Your Reserve Study Or Reserve Funding Plan
- Is It Necessary To Fully Fund Depreciation?
- Learn How Facilities Audit Helped Private School Fix Problem
- Reserve Study Helps Beach Condos Budget For Future
- Reserve Study Best Practices & The Most Common Omission In Forecasting
- Pros And Cons Of Different Types Of Reserve Study Funding Plans
- Capital Replacement Planning Tips
Why Experience Matters
Experience plays an important role in effective management and decision-making, particularly in long-term planning and budgeting. When executives and leaders focus on budgets, their experience allows them to predict future challenges and opportunities. Working with an experienced, unbiased partner to provide a clear-eyed analysis of asset status and a replacement schedule ensures future problems can be avoided.
As a neutral third party, zumBrunnen added an extra dimension to our team and helped us bring a $14 million project under budget and on schedule. I was very pleased with the professionalism of zumBrunnen’s project manager, and the value they added to the team.