18 Jun 2021
Words Ben Hall
Strong turnout for management rights seminar a sign of demand in Brisbane
Around 40 people turned out for the latest Management Rights Made Easy seminar in Brisbane, highlighting the strong demand for assets in this accommodation sector.
The seminar was held at ResortBrokers’ HQ in Brisbane’s West End and featured a mix of experienced operators and newcomers who are looking to leave their current occupations to pursue the ‘be your own boss’ lifestyle that the management rights industry offers.
The Management Rights Made Easy seminar was an informal event featuring highly qualified guest speakers to outline how to successfully secure, and operate, a management rights business.
The event was hosted by ResortBrokers’ Brisbane management rights specialists Nathan Eades, Jessie Shi and Jeff Keast along with Managing Director Trudy Crooks.
“It was a really good turnout and the whole point of the event was to update everyone on what’s happening in the market and how that’s affecting the management rights industry here in Brisbane,” Nathan Eades said.
Eades chaired a panel of management rights experts which included Paul Grant from Mike Phipps Finance, Tony Rossiter from Holmans Accountants and Trent Pevy from Pevy Lawyers.
Between them, they outlined the steps that need to be taken to secure a management rights business in the wake of the pandemic and also highlighted the main pitfalls to avoid along the way.
“We covered a lot of topics but one of the main questions we had was ‘is it now harder to secure a management rights business?’ Myself and the panel all pretty much agreed that it’s not necessarily getting harder, however, the whole process is taking longer to get done,” Eades said.
“Lawyers are getting involved more often, especially at the body corporate consent stage, and they’re entitled to do so on behalf of their clients which is the body corporate.
“But - as we’ve been telling people all along – if you do all the right things and get organised in advance with finance and references and do your due diligence, then there is no reason why purchasing a management rights will pose any problems.”
Jessie Shi also agreed the time frames for buying a management rights business is taking longer than in the past few years but re-iterated the need to use industry specialists to avoid any extra delays and ensure a smooth transition into a new business.
“We wanted to introduce our panel to the audience because they are all the best in their respective fields. When you go through this complex process you need a specialist finance broker, a specialist accountant and specialist lawyer,” Jessie said.
“They’ve seen it all before and they can anticipate any road bumps that may lay ahead. Basically they can save you time and money.”
Jeff Keast said the recent surge in interest in the management rights industry was probably due to the fact that many people are now realising it is a great way to become your own boss.
“I think a lot of people I’m speaking to now also realise that it’s one of the safest businesses to invest in, especially now,” Keast said.
“In management rights, the business comes with a guaranteed body corporate salary which is backed by state government legislation in Queensland. Because of this, the only real issue we have is having enough listings to match the demand.”