Common Right to Manage mistakes (and how to avoid them)

The Right to Manage process is often described as straightforward, but in practice many RTM claims and RTM companies run into difficulties.

Most problems are not caused by bad intentions.
They arise from misunderstandings about the process, underestimated responsibilities, or informal approaches to management.

This page outlines the most common RTM mistakes — and why they happen — so they can be avoided early.

Underestimating the ongoing responsibilities

One of the most common RTM mistakes is focusing entirely on acquiring RTM, without thinking about what happens afterwards.

RTM involves:

  • Ongoing administration
  • Compliance obligations
  • Record-keeping
  • Decision-making and communication

Blocks often struggle when RTM is treated as a one-off event rather than a long-term responsibility.

How to avoid this:
Understand the post-RTM workload before starting the process, and agree how responsibilities will be shared.

Relying on informal agreements and conversations

Many RTM companies start out informally:

  • Verbal agreements
  • Decisions made in passing
  • No written records

This often works until:

  • Directors change
  • Leaseholders disagree
  • Decisions are questioned later

Without records, even sensible decisions can become difficult to defend.

How to avoid this:
Document decisions, keep basic meeting notes, and store records centrally.

Failing to keep organised records

RTM companies are expected to maintain clear records, even in small blocks.

Problems arise when:

  • Safety documents are scattered
  • Financial records are incomplete
  • Emails and approvals are lost
  • New directors cannot see historical decisions

Poor records increase risk and stress.

How to avoid this:
Create a simple, shared system for storing documents from the outset.

Errors in the RTM process paperwork

RTM is a statutory process with strict requirements.

Common errors include:

  • Incorrect wording in notices
  • Missing information
  • Failing to invite all qualifying leaseholders
  • Serving notices on the wrong parties
  • Missing statutory deadlines

These mistakes can invalidate a claim or lead to delays and disputes.

How to avoid this:
Take care with formal notices and seek professional advice where necessary.

Trying to do everything without professional support

RTM gives leaseholders control, but it does not remove the need for professional input.

Problems arise when:

  • Compliance is handled informally
  • Specialist inspections are skipped
  • Financial administration is underestimated

RTM works best when residents control decisions, not when they attempt to replace all professional roles.

How to avoid this:
Use professional support where appropriate, while retaining oversight and control.

Too much responsibility falling on one person

In many small blocks, one or two people end up doing most of the work.

Over time, this can lead to:

  • Stress
  • Delays
  • Resentment
  • Directors stepping down suddenly

This destabilises the RTM company.

How to avoid this:
Share responsibilities clearly and plan for continuity if a director steps back.

Failing to communicate decisions clearly

Even well-managed RTM companies can struggle if decisions are not explained.

Issues often arise when:

  • Leaseholders feel excluded
  • Decisions are poorly documented
  • Changes are not communicated clearly

This can lead to mistrust, even where management is competent.

How to avoid this:
Communicate decisions clearly and consistently, even when agreement is assumed.

Expecting RTM to solve everything

RTM can improve control, reduce costs and provide transparency, but it does not eliminate:

  • Building issues
  • Maintenance costs
  • Disagreements between residents
  • Regulatory obligations

RTM changes who manages, not what needs managing.

How to avoid this:
Approach RTM with realistic expectations and a long-term mindset.

How this site can help

This site aims to:

  • Highlight common RTM pitfalls early
  • Explain responsibilities clearly
  • Help leaseholders decide whether RTM is right for their block
  • Support RTM directors with practical guidance

It is designed to reduce avoidable problems, not to promote a particular outcome.

RTM Glossary

This content is provided for general information only and does not constitute legal advice. Always seek professional advice where appropriate.