Self-regulatory organization (SRO) is a non-profit organization that in its ranks brings together people of the same specialty engaged in the same or similar activities. SRO is designed to maintain a high level of professionalism among its members. To do this, it develops quality standards and procedures for performing work, conducts regular re-certification and informing about innovations. SRO protects the interests of participants in front of the state and customers. In case of justified claims from the customer, to maintain the prestige of the profession and its members, the SRO has a compensation fund. She resolves conflicts in her ranks.
Self-regulation
A self-regulatory organization gains this status after its registration by the executive branch as a legal entity. You cannot be a member of two or more SROs that unite people of the same specialty. A necessary condition for membership is to be a citizen of the Russian Federation.
SRO is both a managing and a managed organization. It controls and optimizes the work of specialists in its ranks. The state controls and adjusts its activities.
The phrase “self-regulatory organizations” was first sounded in Russian legislation in 1995. There is every reason to hope that SROs will make a significant contribution to bringing the work standards of Russian specialists closer to international standards in order to eliminate the distrust of potential consumers and prove the competitiveness of the Russian market of goods and services to foreign entrepreneurs . This became especially true after the entry of the Russian Federation into the WTO.
Self-regulatory organizations should have an official website where information is given about all members of the association (reasons for leaving are reported on retired employees).
Financial arbitration
Since 1998, the state has obliged financial entrepreneurs to create SROs. Arbitration managers were among the first on this list. Rosreestr registers such organizations, compiling a single database about them. The arbitration manager is a specialist in the field of finance, on behalf of the arbitration court conducting bankruptcy proceedings in the interests of all participants in the process. He is rewarded from the funds of the debtor, but he also bears enormous financial risks, trying to streamline as efficiently and objectively as possible the cases in which huge funds often appear. Participants in the process can declare that the arbitration manager caused them damage by their wrong actions or their absence, and sue him.
Terms of Creation
A self-regulatory organization of arbitration managers is a non-profit organization that gathers arbitration managers in its ranks. Obtaining SRO status provides for:
- more than 100 participants in the composition;
- the existence of a compensation fund to cover possible payments in connection with customer complaints;
- the existence of program documents describing the standards of professional activity of the arbitration manager;
- a developed plan of recertifications and professional development activities for participants;
- formed governing bodies.
A self-regulatory organization of arbitration managers is capable of both protecting its participant and imposing a penalty on it in the form of a warning, a fine, and even disqualification, which means the end of a career.A compensation fund formed from membership fees can be used to pay for the error of any of the managers. This is a strong visually tangible incentive to provide professional assistance to each other. Indeed, experience shows that the concept of “prestige of a company” does not relieve colleagues from squabbles and compromise of employees in the eyes of the client, since the financial connection between the employees of one enterprise is not visible.
About license
There are three types of licensed activities of arbitration managers:
- With entrepreneurs.
- With enterprises.
- With budget-forming enterprises.
To obtain a license, you must have:
- higher education;
- lack of criminal record;
- at least two years of work experience as a leader;
- a year of internship under the supervision of an arbitration manager, studying the essence and procedure for conducting bankruptcy cases.
The license is renewed after 3 years.
Membership Terms
The minimum requirements for self-regulatory organizations of arbitration managers to their participants are as follows:
- individual entrepreneur status;
- existence of an arbitration manager license;
- registration in the arbitration court as an arbitration manager;
- passing an examination for compliance with the SRO qualification standard;
- existence of a liability insurance contract for a period of 1 year with a fixed minimum insurance amount;
- payment of membership fees.
Responsibilities of Arbitration
Managers:
- assess the economic situation at the enterprise that has warned of bankruptcy;
- analyze the causes of the crisis;
- develop a program of action to overcome difficulties if there is hope for a solution to the problem;
- regulate relations with creditors and employees;
- conduct bankruptcy proceedings in court.
The arbitration manager shall not have a personal interest in any of the participants in the bankruptcy case.
Association Levels
Many enterprises in Russia operate in different regions of the country. Therefore, the work of an arbitration manager is often impossible without cooperation with “colleagues in the shop” in other regions. This is how inter-regional associations of organizations of arbitration managers are formed, which submit information to the single Russian registry:
- about leadership;
- about the size of the composition;
- on the amount of the compensation fund;
- about specialization.
A community that includes more than 50% of organizations in one direction in its team has a national status. Self-regulatory organizations of arbitration managers can participate in the creation of legal norms relating to their competence.
Household affairs
There are more and more entrepreneurs who want to voluntarily unite in self-regulatory organizations and enjoy all the advantages of a professional team over an individual. It is logical to single out the industry that is closest to every citizen, from small to large. For thousands of years man has not been able to live without shelter. Construction organizations and cooperatives that build housing on the units of future residents have long been covered by mandatory membership in SROs.
But what about the maintenance of an existing housing stock with which the Housing Office was not ideally managed before? Now, new times have come in the housing sector. Residents of former state, cooperative, and now municipal and privatized apartments to their taste should dispose of the possibility of arranging their life. Residents of apartment buildings now have a choice.
MCD Management Options
An apartment building (MKD) is a house in which two or more rights holders live, while having separate exits from the living quarters. Access to common areas is also possible.
The legislation provides for three options for managing MKD:
1. The first option. Direct management.Residents of the house can choose from among their ranks people who want and know how to deal with organizational and economic affairs, draw up an agreement with them on the provision of utilities, maintenance and repair of common real estate to the whole house, and possibly to carry out additional improvement works. A huge plus of this situation is that these people themselves live in the house and immediately feel the consequences of their activities, and can also evaluate what is needed and discuss this with the residents. In addition, you do not need to spend time and money on designing a community at home as a legal entity. Owners will receive utility services by drawing up contracts directly with producers or sellers of energy, water and all kinds of services. The responsibility of performers is fixed by the drafting of contracts. On the other hand, perhaps inexperienced in matters of economics and law, people may not be able to pull out a solution to some problems. In some houses, activists are absent altogether.
2. The second option. Managed by a partnership or cooperative, consisting of the owners themselves and being registered as a legal entity:
- An asset is selected in the person of the chairman and board members.
- Information is provided to the tax authorities.
- A current account is opened.
Important issues are resolved at general meetings of members of the formation. The disadvantage is the limited staff and contact time of management with residents. Solving individual issues can be very difficult.
3. The third option - it is a management organization. Residents of an apartment building have the legislative right to hire it to conduct all matters of maintaining the condition of housing and the surrounding area, and establishing a comfortable living environment. This frees them, by definition, from literally all worries about common areas. You can find out information about such communities on the websites of administrations or directly in the same bodies.
Bilateral agreement
A management organization is a management company, on a commercial basis, carrying out the rights and obligations of owners and users of an apartment building transferred to it on an agreement with tenants. The contract must be signed at the meeting of tenants and contain:
- a listing of the maintenance and improvement of the house and the surrounding area;
- sizes and methods of payment by residents of work and utilities;
- ways to recalculate payment;
- the possibility of changing the terms of the contract;
- methods of control by residents of the performance by the managing organization of its obligations.
Work organization
The management company may perform contractual work on its own or with the involvement of other contractors. Contracts with organizations providing utility services are concluded on behalf of residents by the management organization. This, on the one hand, makes utility bills a little more expensive, as an intermediary is involved. On the other hand, it’s cheaper, since communal services incur significantly lower expenses for writing written obligations. An agreement with tenants for the management of MCD is concluded for more than 1 year, but less than 5 years. If upon the expiration of the contract the application for refusal of services has not been received, the contract is automatically considered extended on the same conditions.
Having entered into their rights, the management company is obliged to provide residents with a work plan for the current year. A report on fulfilled obligations must be provided to owners of supervised houses during the first quarter of each year. A management organization is a team of professionals who conduct business not only at home. It is open to visitors full time. Apartment owners can take the initiative in organizing meetings and discussing current issues at them.
Possible negative
But, as in any business, here too a lot depends on the staff of people who are part of the management organization of the apartment building. Perhaps unfair attitude to the duties of specific persons and the institution as a whole. It is not ruled out the spending of funds for purposes not approved by tenants, and other undesirable situations. By some parameters, the managing organization resembles a housing office, but the payment is higher. And who knows, did the Housing Office have other reasons for the imperfections, except for the lack of funds. And the tenants remained the same. Only funding is provided primarily from the hands of residents. Payment for major repairs of a house can be made from budget funds if it is included in the annual plan of municipal events. At least 2/3 of the owners and users should invest in overhauls on their own.
How to make ends meet
To minimize the number of employees, the management of the house by the managing organization can be partially transferred to other hands. So, it is possible to transfer accounting functions to settlement and information centers (RIC), credit organizations. Long-term paid services of the RIC may include:
- calculation of payments of tenants for utilities and an apartment;
- creating a receipt form;
- filling out and sending receipts;
- charging interest for late payments;
- recalculation of payments of tenants for all changed tariffs, in case of non-receipt of services, when revising the conditions for obtaining benefits.
The diagram below illustrates the movement of funds passing through the hands of an organization managing a home.
This may mean that such activity is a good source of income, as well as the fact that not everyone can set up a business in such a way as to generate income. The real basis for making profit by the management organization is the provision of high quality services to solvent tenants and communications in the municipality. It turns out the same housing office. Probably, the situation could be saved by the management of the managing organization by SROs with the goal of selecting worthy personnel and redistributing income between organizations that run apartment buildings and companies overloaded with pensioners and the poor.
