A Resident Management Company (RMC) is a private limited company that helps to maintain and protect the value of a development.
It is usually created when a developer builds a development and wishes to hand over management control to the property owners. Older developments are likely to have a long-running resident management company in place.
The RMC is made up of property owners who are shareholders or members of the company. Resident Directors (also known as RMC Directors) are appointed to make decisions on behalf of all owners on how best to look after the development.
The company is not-for-profit, although it must fulfil several annual obligations to function, including filing company accounts and recording persons with significant control at Companies House.
The RMC is also responsible for upholding the terms of each lease or transfer, which includes making sure the building is properly maintained and always insured, and that the annual budget is well managed.
If you are interested in setting up an RMC, or becoming an RMC Director, our experts are here to help. Please visit the RMC Director Training page for more information.