Villages – Financial impacts
- The village operator keeps their existing administration charge, required to oversee purchasing and governance in approving best value for money suppliers.
- Village operator significantly reduces internal resources for administration management.
- Elimination of village debtors, Capital Guardians facilitates income collection and supports the growth of village resident ‘user pay’ expenses, such as cafe, gifts, excursions, catering, meeting rooms, cleaning, gardening, etc, through a Capital Guardians account Savings in audit and governance with respect to 3rd party suppliers via the purchase order system which has built in workflow and an electronic paper trail.
- All procurement savings and rebates passed through transparently to residents.
- The service will lower village service and maintenance fees increase occupancy and improve capital growth and returns.
Capital Guardians Fees
A small merchant fee will be taken off payments paid to suppliers, and in many cases is effectively absorbed by suppliers due to their savings in debtor administration.
Capital Guardians also helps suppliers as follows:
- We eliminate manual invoicing, so there are no invoice printing, mailing or collection costs
- Timely payment, which ensures a stable cash flow
- Elimination of debtor issues
- operational and administration efficiencies
- reduce the residents service and maintenance fees through procurement savings (buying power)and account management
- modern, paperless procedures for expense approvals (purchase orders)
- no requirement to maintain back-office skills in-house which enables staff to concentrate on core business requirements (ie caring for residents)
- transparency for village reporting in accordance with the Retirement Villages Acts with timely and accurate reporting
- services can be tailored to meet village operates specific requirements and goals
- facilitate the collection of out of pocket expenses for reimbursement to a village operator