What is a Resident Management Company (RMC)?
A Resident Management Company, or RMC, is a company set up to manage a leasehold building on behalf of the people who live in it. If you are a director of one, you are one of the volunteers who keep the building running.
What an RMC does
An RMC is responsible for the management of the building — arranging buildings insurance, collecting and spending service charges, maintaining common parts, meeting safety obligations and keeping proper records. It is usually named in the leases, and leaseholders are often members of it.
Who runs it
Its directors, who are typically leaseholders acting as volunteers rather than professionals. Many take the role because somebody had to, and manage the building alongside a day job.
The RMC and leasehold sales
Because the RMC manages the building, it is the RMC that answers the LPE1 and provides the management pack when a flat is sold. That responsibility falls to the directors, which is why keeping the building's records in order matters so much.
How an RMC differs from an RTM company
An RMC is usually established when the building is created and named in the leases. A Right to Manage (RTM) company is formed later by leaseholders exercising a statutory right to take over management from a landlord. The day-to-day responsibilities, including the LPE1, are similar.
Don't want to work through every document by hand? Upload the records you already hold and let Peppercorn One identify the LPE1 answers for you to review.
Frequently asked questions
- What is the difference between an RMC and a managing agent?
- An RMC is the company responsible for managing the building. A managing agent is a professional firm an RMC may appoint to carry out the work — but many RMCs manage without one.
Peppercorn One provides administrative tools and guidance to assist with the preparation of management information. It does not provide legal advice. Users remain responsible for reviewing and approving all information before it is issued.