R2M2 is a new member-owned property management & home remodeling cooperative forming in the Northeast Ohio area. It exists as a solution to the problems that come along with undergoing a home remodeling or renovation project.
Here are some of the Benefits that will be available to member-owners:
- Property Management & Remodeling done at COST and the RIGHT WAY
- Access to proven and competent contractors and tradesmen that are vetted by “in the know” cooperative members
- Reduced cost on remodel projects/building materials/ home goods
How it Works
Property managers & general contractors have necessary and honest costs that go into running a business, such as marketing, sales commission, employees, back office costs, and other overhead expenditures.
The R2M2 Homeowners Cooperative acts as the property manager or general contractor for your property’s remodel job. It hires the workers to do the job at cost, effectively cutting out markups included in a regular pricing. There is no need to pay for advertising, or sales commission, or back office costs because the member-owners are also the clients.
Expenditures for the Co-op include paying for labor, materials, and minimal overhead to keep it the Cooperative organized and efficient.
When members are looking at a quote for property management or a remodel, they can be certain it does not include paying for extraneous expenditures (such as the property management company’s Cavs floor seats).
What is a Cooperative?
Generally speaking, a Cooperative (Co-op) is a business or organization that is owned by its members, who make use of it’s products and services.
The key to cooperatives is their size. Co-ops leverage their size and pool resources to improve the quality of products and services, and/or get them access to better products and services.
Their size also helps to eliminate costs, one of the biggest being marketing. A business that is owned by its clients has no need to spend money on commercials, web ads, or spots in the local newspaper.
So in the property management business & remodeling business, service providers mark up their prices in part to compensate for their marketing efforts. They need to pay for exposure to find other clients, and they pay for that exposure through charging their current clients. In this property management cooperative, clients don’t need to be found- they’ve already found themselves.
Because Cooperatives aren’t profit-driven businesses, there are no incentive to cut corners, over charge, or generally do anything unethical to drive up profits.
They exist for the people who belong to them and who are using their services.
Check out the Small Business Administration’s website to learn more about cooperative:.