Financials & Budgeting
Financials: As part of the Management Plan for all properties managed by Summit, our accounting team can produce numerous accounting reports. Summit will work with owners and investors to meet all accounting requirements and provide reports that they want to see. Monthly reports that are available include:
- Balance Sheet
- Income Statement
- Detailed General Ledger
- Cash Flow Report
- Accounts Payables
- Accounts Receivables
- Delinquency Report
- Check Register
- Fully Reconciled Bank Statements
- Trial Balance
Accounting Software: Summit utilizes a state-of-the-art software that integrates the accounting functions with residential management to oversee the income and expenses for each property. The software provides a seamless system for tracking the property’s financial success, including everything from tenant service billables to the replacement of the roof. Along with all the monthly financial statements, Summit will provide the following:
- Year-end financial statements to your income tax preparer
- Producing 1099s for all vendors
- Working with the owner’s accounting firm for an Audit
- Processing payables on the 5th and 20th of each month
- Handling all bill paying
- Collecting and depositing rent checks
- Producing Monthly Financial Statements
Budgeting: The executives at Summit hold yearly and monthly budget meetings to discuss and review current budgets, forecast future costs, and identify upcoming financial issues before they become a problem.
- Yearly Budget Process: Every year Summit establishes an operating budget for each property it manages. Beginning with projected rental income for each individual unit, Summit executives and managers work line-by-line, account-by-account, to plan costs and expenditures according to the long and short-term goals of the property. Each site manager is responsible for partaking in the budget process and is held accountable for the financial well-being of their property. In order to build a realistic budget for every property, the process is comprehensive and detailed.
- Monthly Financial Statements: Once the budget for the year is established, our accounting software provides comparative monthly financials for each property. These are reviewed at the Monthly Manager Meetings, and the budgeted numbers are compared with the actuals. By reviewing the budget monthly, spending is kept in check and the bottom line is always paramount. Owners will be provided with their property’s monthly financial statements in order to track its progress and understand how their property is doing.