Running a successful business takes guts, commitment and planning. Long term budgeting for building component repair and replacement projects is often left out of the equation for successful and too often results in "surprise" roofing, paint, siding, asphalt, etc. expenses that lead to the reliance on costly loans, deferred maintenance (aesthetic appeal reduced) and misdirected capital ( e.g. hurts operational & long term marketing efforts). There has to be a better strategy than sitting and waiting for these “surprise” expenses - And there is; A Capital Replacement Reserve Study.
A replacement reserve study is a valuable tool which can be utilized for many purposes. We have seen our customizable studies utilized in many different ways that benefit our Clients for their specific needs; it’s one of several important differences between the services we offer versus others in the industry. A customizable study makes it possible for us to utilize the findings in a replacement reserve study with many pages and narrow it down to create a customizable and professional looking Summary Report for various uses; lending, disclosures requirements, business/building purchases, capital improvements, fund raising, time management to name a few.
So what's a Replacement Reserve Study? Well it's a long term budgeting tool that provides a timeline of costs and repair / replacement projects over a 30 year period. The best part... It's broken down into easy to understand monthly and annual reserve amounts making it easy to follow and plan for. You don't need to be an expert where you don't need to be. We know you can follow a budget and that's all it takes.
Large scale building projects are a reality that impact the daily work environment, safety, equipment, customer satisfaction - essentially everything a business owner cares about. Most buildings will require significant large scale projects between the 20-25 year mark (roofing, asphalt and moisture intrusion issues around windows & siding) so if you’re in a building over 10 years old you are already “behind the eight ball” and can most benefit from a Replacement Reserve Study which will provide numerous funding strategies to adequately budget for these while minimizing the overall costs to the business