Some people have asked for more explanation of the September 12 post titled "Perspective", which detailed that Mt. Si Cottages is a $12 million corporation. Here is some more perspective.
- This corporation's largest financial asset is our property. This has a value of more than $12 million.
- We have annual revenues of nearly $120,000 (from assessments).
- We have annual expenses of nearly $89,000. (It takes a lot of money to run a $12 million corporation, even when we spend every penny carefully.)
- We currently save nearly $31,000 into our reserve fund each year (i.e. "savings account"). This money is set aside for major repairs & scheduled projects that will cost us a lot of money in future years. (A healthy reserve fund is important. It helps ensure that we wont get charged special assessments down the road. And it is critical for resale values -- because Lenders expect healthy reserves before they'll lend someone money to buy your house.) ** The Board is currently studying our reserve fund closely, to ensure that we adequately fund it. **
- Our corporation has 44 owners. (These are the 44 homeowners).
- The owners elect a Board of Directors, responsible for overseeing the management of the business.
- Every owner shares in the success or failure of this business.
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