Q. How much money can you possibly save our building?
A. Every building is unique. One building did save over a million dollars. A Folson business audit could lead to significant savings for your building as well. As soon as the board enters into an agreement with us, we can give you an approximate estimate of savings. Some fixed costs could potentially be reduced by at least 25% and some variable costs could be reduced even further.
Q. Our fixed costs account for over 80% of our budget. How could you possibly help us in this situation?
A. We have found that most "fixed" costs are not as fixed as people think. We have never encountered a building where we were unable to help cut some fixed costs, which can often be reduced by over 25%. How impressive would it be to be able to send a letter out to your neighbors that there will be no maintenance increase?!
Q. My maintenance has been increasing every year. How do I introduce your team to my board?
A. Simply tell the board members that you found a service that will help them cut a long list of the building’s costs in a very short period of time, with no risk or out-of-pocket up-front fees. Then, offer to schedule an introduction.
Q. I’m an owner in a co-op and not a board member. How do I hire your team?
A. Most likely, your board would have to approve hiring us, but you should suggest our services to your board and introduce us to them. Contact one or several of your building’s board members, and tell them that you know of a service that would help them cut a long list of the building’s costs in a very short period of time, and increasing cash flow to help avoid maintenance/ common charge increases. Then, offer to schedule an introduction.
Q. We already have a managing agent who does everything that you do. Why would we need your services?
A. We perform a separate function apart from the managing agent. The managing agent specializes in the day-to-day operations of the building(s) that he/she is working on and often doesn’t have time for a lot of ad-hoc requests. We specialize in financial and business analysis. We review, suggest, and implement 2 or so projects per month, possibly implementing over 20 projects in a year. This same procedure would take the board and managing agent years to accomplish, resulting in lost savings for your building.
Q. Our board is working on a very big project right now and we don’t have time to hire you. Can I follow up with you at a later date?
A. Hiring us may provide enough savings to pay for your big project! Big projects are always taking up a lot of the board’s time. Hiring us as soon as possible allows you and your board to continue to work on your project, while we work on our analysis, suggestions, and implementations for your building, simultaneously. It shouldn’t take more than 10 minutes per monthly meeting to vote for our suggestions and less than 15 minutes between meetings reading a suggestion list (which can be dicussed over the phone or via email) including potential questions and answers.
Q. Why would we want to share our savings with you?
A. If we don't find savings, we do not get paid. We do not sell you a product, we work on an incentive basis. We cost you nothing out-of-pocket, we only share your savings after you realize them, and only for a short time. You continue to save after we have moved on!
Q. How long will it take for our building to realize savings?
A. Some savings are realized immediately, but most are evident during the next billing cycle. It generally depends on whether the billing cycle is monthly, quarterly, or yearly.
Q. Our board already has a full agenda, so we don’t have extra time to spend working with you. How much extra time would we need to dedicate to your services?
A. Working with us should take less than 10 minutes in the monthly board meetings and less than 15 minutes via email or phone including questions and answers between meetings.
Q. How much does it cost to hire you?
A. There are no up-front costs. We take a percentage of your savings for a limited time.
Q. How do you get paid?
A. We share a percentage of your actual savings for a limited amount of time.
Q. How do we get started?
A. Once your building agrees to work with us, we begin an immediate, comprehensive review of your building.
Q. We hired The Folson Group, but now we changed our mind – do we owe any fees for cancelling your services?
A. If we have not begun to work with you yet, you owe us nothing.
Q. What if you can’t find any savings for us?
A. Then it doesn’t cost you anything, and we’ll even be happy to put it in writing if you would like to show your owners that they are in good financial shape!
Q. We have $2.5 million in reserves, a great board and managing agent that run our building very efficiently. Why would we need The Folson Group?
A. It’s always possible that you may not need our services, but there is no risk in having us take a look and see if we can uncover even more money and savings for you. If we don’t see initial savings that are obvious to us, we will let you know right away. We don’t want to waste your time, or ours.
Q. What makes your team experts? What experience do you have?
A. We believe your building should be run like a business. We have an average of 20 years of experience as Wall Street business analysts and direct experience as successful co-op board members. We are applying our analyst business experience of identifying companies that are inefficiently priced in comparison to their business operations and applying that in ways for the building’s operations to improve efficiencies.
Q. I recommended your services to my board but they are not interested. I want to hire you because our maintenance is increasing every year. What do I do?
A. We suggest that if you are interested in improving what in many cases represents your largest investment (your co-op or condo) that you remain persistent, or nominate yourself for the board!
Q. Is there a type or size of building that you have seen get the most benefits out of your services?
A. Our ideal building is a 100+ unit co-op or condo that was converted in the 1980s or 90s. The reason for that is that we want to be able to make a substantial difference. The longer that systems and practices have been in place in your building, the more savings and efficiencies we are likely to find.