Southside D12

Third Party Payments
There are no additional fees for processing third party
payments.
Spend v Budget
The Accounts Team can provide details of spend against
budget through the year and review the sinking fund
against a PPM schedule as appropriate, at least annually.
End of Year Accounts
The accounts are reviewed by a third party, a qualified
chartered accountant, to facilitate challenge. We believe
this to be a sensible level of review and good governance.
The timing of the closing of these accounts depends
entirely upon the year end of SMC. These accounts would
be sent to SMC for approval.
Contingency Plans
We include a contingency value of 2.5% on items excluded
under the reserve fund management fee etc. For example,
funds attributed to the Fire Alarm, Smoke Vents, Cleaning
etc will all have 2.5% charged. This 2.5% will then be held
as contingency.
When preparing the Service Charge Accounts, this money
(if not required) is then credited back to the Leaseholders.
Service Charge Collection Effectiveness
Braemar Estates have recently undertaken our January
billing in respect of clients’ Ground Rent. We were able to
recover 90% of over £2m within 42 days of the due date
and passed 10% to solicitors to recover.
Sinking Funds
Braemar Estates banks with RBS. Sinking funds can either
be held in separate physical bank accounts or held in a
separate ‘virtual’ account in our RBS Client Monies banking
system. This is common practice. Each bank account we
operate is reconciled every day.
Sinking Funds are held in ring-fenced interest bearing
accounts for all sites. Any sims that are to be expended
from the Sinking Fund have to have at least two SMC
directors’ approval.