What a body corporate actually is
When a community titles scheme is registered in Queensland, a body corporate is created at the same time. It is not a company and nobody applies to join it. Every person who owns a lot in the scheme is a member for as long as they own that lot, and stops being a member the day they sell.
What it owns and looks after
The body corporate is responsible for the common property: the parts of the scheme that are not inside any lot. In a typical apartment building that means the structure, roof, lifts, foyers, car park, pool, gardens and the services that run through them. It also holds the scheme’s insurance, keeps its records, and administers the by-laws.
Where its powers come from
The Body Corporate and Community Management Act 1997 (the BCCM Act) sets the framework. Each scheme is also registered under one regulation module, which fills in the detail on meetings, committees, spending limits and levies. The common ones are the Standard Module and the Accommodation Module. Which module applies is recorded on the community management statement, and it matters, because the numbers and procedures differ between them.
How decisions get made
Owners make the big decisions at general meetings: the budget, the levies, changes to by-laws, major spending. Between general meetings, an elected committee makes the day-to-day decisions within limits set by the module and by the owners. A strata manager is usually engaged to run the administration, but the manager works for the body corporate, not the other way around.
Where the money comes from
The body corporate has no income of its own. It raises levies from owners in proportion to their contribution schedule lot entitlements, into two funds: an administrative fund for recurring costs such as insurance, cleaning and management, and a sinking fund for capital works and replacements. Both are budgeted at the annual general meeting.
Why this matters to an owner
Because you are the body corporate. Its debts are ultimately yours in proportion, its decisions bind your lot, and its records are yours to inspect. The more owners understand that, the better most schemes run.