Financial Transparency plays a significant role in creating Trust & Bonding between the Members of the Housing Society.

It is just not a figure which arrived through a particular Accounting process. Still, those are the figures that should give confidence to Members that the amount collected by Managing Committee has utilized the funds appropriately in alignment with Bye Laws Provision. Members also should get clarity through the Statement of Accounts what Reserves have been created by the Society for future Major Maintenance Work.

And it should be readable to the Common person & he should get required clarity through Statements. But as I observed in more than 25 years, in most cases, Managing Committee gives the least importance to this area of working. They allow the work to the person who charges a lesser amount in fees to his Society, and work quality goes for a toss. And here actual Foundation goes to stake & from the first year itself Statements are not giving Constructive Picture as I said above & track gets disturbed year by year.

And when the actual time arises to utilize the Funds for various Major Maintenance & Reconditioning Expenses, they face the problem of Shortage of Funds & here starts the blame game within the Members that we don’t have required funds with us.

But if in initial First or Second Year, if Society hires an Experienced Consultant for Guidance & sets up  Strong Financial Foundation. The systems should be built with the intention of the first 10 yrs with required funds & its Contribution Structure & if it aligns with Bye-Laws & long-term Vision. This would have a very Positive & Constructive impact on the Society Working. This impact creates a Good, positive & mature thought process for Society.

As far as the current Phase of the Construction Industry goes, Developers are providing amenities more than requirements. It is a selling point for them, but Maintenance of these amenities is a big task in front of the committee from the First Year itself. We observe so many Societies where amenities have been stopped or locked by the committee for heavy Maintenance & operation cost.

Considering the above points importance of Maintenance Structure from day one & its robust Accounting System & transparent way of presenting to the Members create a Valuable impact on Society’s Working & positive Culture building in the Society.

So Office Bearers plays a vital role in creating a Strong Financial Foundation for Society.

As far as Society is concerned, 90 percent of Members are followers of Managing Committee decisions. So managing Committee needs to face only 10 percent members who really take keen interest & dealing positively or negatively both way in the affairs of the Society.