Property management 
“Management by Objectives works—if you know the objectives.
 Ninety percent of the time you don't.

—Peter Drucker

When the board of directors hires a property management company (PMC) to manage the corporation’s affairs, it signs a contract with the PMC describing the company’s responsibilities, duties and fees. The PMC supplies bookkeeping and accounting services, stores the corporation's records and provides a manager for the property.

There are over 200 property management companies in the GTA. There are a few very large property management companies. A few of them are divisions of larger corporations including property development companies.

There are medium-size management firms, a lot of small companies and a large number of tiny mom and pop shops. Finally, there are one-man bands, companies that consist of only one person.

Full service management companies
Most management companies offer the basic normal building management and back room services while a few management companies have subsidiaries that also provide superintendent, cleaning, security and maintenance services.

I am convinced that is it best for the board to hire service companies that are completely independent from the management company. That way, the service providers will not have divided loyalties and the board will be able to sign contracts with whichever contractors they believe will provide the best quality services to the condo for the cost the board is willing to pay.

There are good reasons to be concerned if a management company has affiliated companies perform work for your condominium.

No standards
Condominium property management is not yet a regulated profession in Ontario, although that will be changing soon. Anyone can register a business name, buy a cell phone, have some business cards printed, rent a mailbox and create an instant property management company. Prior experience is not required. Why not? It’s far, far cheaper than buying a hot dog stand and a lot less work.

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