Key Facts – Everything You Need to Know
Start here for a quick, plain-English overview of your Right To Manage (RTM) journey, eligibility, and how OnlineRTM supports you every step of the way.
Key Facts in 60 Seconds
- Right To Manage (RTM) gives flat owners the legal right to take over the management of their building, including hiring/firing agents and controlling service charges.
- You don’t need your freeholder’s permission or to prove they’ve done anything wrong.
- To qualify, your building must meet simple legal criteria, and you’ll need to set up a special RTM company and get the owners of at least half the flats in your block to join.
- The process: Eligibility checks → RTM company setup → Sign up flat owners → Serve the Claim Notice on the landlord(s) → Take control.
- Our platform handles the paperwork, deadlines, and compliance.
- If your block does not pass our initial eligibility assessment, we refund your fee in full.
1. What is the Right to Manage (RTM)?
Right To Manage is an important legal right that allows flat owners in England and Wales to take over the managing functions at their block, including hiring and firing their block's managing agent. The right is enshrined in the Commonhold and Leasehold Reform Act 2002. It is a "no-fault" right, in that flat owners do not need to show that the freeholder or managing agent have done anything wrong, and the right can be exercised even if the flat owners do not plan to make any immediate changes to their block's management. To exercise the Right To Manage, the block must be eligible, an RTM company must be set up for the block, and the owners of at least half the flats in the block must participate.
You don’t need to prove the freeholder or managing agent did anything wrong. If your block qualifies, you have the right to take control.
2. What Can RTM Control?
- Which managing agent to use – or the block can even self-manage
- All services, repairs, maintenance, and improvements
- Insurance and contracts for the building
- Service charge budgets and spending
What RTM doesn’t cover: Ground rent, matters relevant only to units that are not owned by “qualifying tenants”, as well as matters of re-entry or forfeiture.
3. Does My Block Qualify for Right to Manage?
Check these quick eligibility rules:
Must Have
- Be in England or Wales
- Be a self-contained building or part of a building
- Two or more flats, at least 2/3 with “qualifying tenants”
Cannot Have
- More than 50% non-residential area
- A self-contained part that has a different freeholder from the rest of the building
- Resident landlord AND four units or fewer
- Any qualifying tenants whose immediate landlord is a local housing authority
- An active RTM company already
Not sure? Contact us for fast answers.
4. How Do We Set Up an RTM Company?
- We do this for you: lead you through incorporation and registration at Companies House, prepare all paperwork including bespoke Articles of Association, and set up your Building Portal.
- For efficiency, your RTM company will start with just one qualifying tenant (as both director and initial member) – others can easily be added later.
5. What’s Life Like Running an RTM Company?
- Directors run the company: circulate notices, deal with the managing agent, keep records, and handle admin.
- Members (the leaseholders) vote to appoint/remove directors and can instruct the directors on big decisions.
- After acquiring RTM, freeholders can join as members, but their votes are capped at one-third.
6. The RTM Claim Process—Step by Step
| Step | What Happens | Who Does It? |
|---|---|---|
| 1 | Set up RTM company | Us, with your input |
| 2 | Invite all qualifying tenants to join | You (our eSign tool makes it easy) |
| 3 | Qualifying tenants of at least 50% of the flats in your block must become members of the RTM company | Your fellow leaseholders |
| 4 | Serve Claim Notice on landlord(s) | Us, on your behalf |
| 5 | Wait at least 4 months (legal period) | Everyone |
| 6 | Take over management on Acquisition Date | You |
Worried about disputes? If the landlord objects, we will be happy to refer you to specialist lawyers, (but that this would not be covered by our fees).
7. What Happens After We Obtain RTM?
- Landlords must transfer relevant contracts, info, and unspent service charges to your RTM company.
- You gain control over budgeting, repairs, and who manages the building.
- You can enter the RTM on the property title (Land Registry) for extra protection.
8. Possible Challenges
- Getting your block energised: Some leaseholders are hard to reach or slow to sign. Our onboarding tools and templates make this much easier.
- Legal disputes: If challenged, you may need to go to Tribunal. We can connect you with specialist lawyers and explain your options.
- Ongoing admin: Directors need to handle annual returns and basic admin (most use an accountant).
What Support Does OnlineRTM Offer?
- Initial eligibility assessment: Flag any show-stoppers.
- All paperwork and company setup: No legal jargon or missed deadlines.
- Digital onboarding: Simple, secure eSign for every leaseholder.
- Bespoke marketing: We can help you energise your fellow leaseholders.
- Online Building Portal: See exactly where you stand, 24/7.
- Expert support: Real people, real answers, every step.
- Legal referrals: If it gets contentious, we can introduce you to our specialist lawyers.
Ready to get started? Start your RTM or download our Get Started Guide from our Homepage.