Mandatory Competencies Flashcards
What does a D&B / FAME report provide you?
These reports provide a high level analysis on the covenant’s financial health. It is a good indication when assessing the tenants of a property.
I always make sure to advise the client that I am not qualified, and that they should seek professional advice
As your client is a limited company, what would be included in their statutory accounts?
Balance Sheet: This provides a snapshot of the company’s financial position at a specific point in time, showing its assets, liabilities, and equity.
Profit and Loss Account: This summarizes the company’s revenues, expenses, and profits or losses over a specific period, usually the financial year.
Cash Flow Statement: This shows the movement of cash and cash equivalents into and out of the company.
What is the difference between a balance sheet and a profit and loss account?
Balance sheet shows a company’s financial position at a specific point in time, including assets, liabilities, and equity.
Profit and loss account summarizes a company’s financial performance over a period, showing revenues, expenses, and resulting profit or loss.
What is the importance of a credit check on a tenant?
This assesses the financial stability and creditworthiness of potential tenants
Financial Stability - Helps determine whether the applicant can afford the rent or mortgage payments reliably. Reduces risk
Tenant Selection - Helps in selecting reliable tenants who are more likely to pay rent on time.
Loan Approval - A positive credit history increases the likelihood of loan approval and may result in more favourable loan terms.
What is your firm’s business plan and long term strategy?
Committing to achieve net zero by 2027
Committed to improving wellbeing of staff and greater diversity
What are the roles of third party determiners?
Arbitration and Independent Expert.
Arbitrator uses information provided by the representatives of the tenant and landlord and makes a decision using the information provided.
An independent expert makes their own investigations and use their own knowledge and experience to reach a decision.
Arbitrator cannot be sued. An independent expert can be sued as they owe a duty of care.
What is Alternative Dispute Resolution (ADR)?
Is a proces such as arbitration or independent expert used to resolve disputes in the real estate outside of court litigation.
How do you take responsibility in your team?
In my team I have the responsibility to be up to date with my knowledge of the market. In terms of transactions. I have an up to date schedule of deals that I update regularly by speaking to other agents.
What are the 9 protected characteristics within the Equality Act 2010.
- Gender reassignment
- Sex
- Sexual orientation
- Age
- Disability
- Race
- Religion and belief
- Marriage and partnership
- Pregnancy and maternity
What is unconscious bias and how would you manage this?
Unconscious bias is associations we hold which are deeply ingrained and outside of our conscious awareness or control.
As in my example through having a diverse work environment, as people are exposed to different backgrounds of people, it raises awareness and reduces the influence.
Another example is going through CVs with no names on them.
Provide an example of an inclusive environment?
Prayer rooms
Step free access
Bright coloured walls
What is the characteristics of a good team player?
Someone that..
Listens to others ideas
Discusses ideas as a team
Respects others
Helping by encouraging teamwork
Communicating effectively
Sharing information
Why is the RICS addressing diversity and inclusion
After Birchard’s review of the RICS which mentions the need for an increased focus.
What is Knight Franks business plan?
Profit
Maintain being one of the market leading advisors
Sustainability
Name a UK / International accounting body
UK GAAP (UK Generally Accepted Accounting Practice)
IFRS (International Financial Reporting Standards)
