Why You Need Both Lease Accounting and Lease Management Software for Your Business

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Due to the complexity involved in implementing new accounting standards, organizations are fast embracing the latest software solutions to make the process easy.

lease accounting software is the most popular choice as it helps in performing complex accounting calculations and preparing disclosures and reports for the lease portfolio.

It is now imperative for accounting teams to use such solutions to achieve compliance. But many solutions available today fail to address the long-term lease management requirements of an organization.

The changing dynamics of the economy and new standards should be considered while choosing lease solutions. Plus, you must embrace changes now and reap the rewards in the future. This is where lease management software along with lease accounting software will be beneficial to your organization.

As a business dealing with real estate and equipment leases, find reasons why you should choose both lease management as well as lease accounting software solutions.

 

Critical Alerts

Implementing lease accounting standards like IFRS 16 and ASC 842 is just the beginning. The transition process will take a long time and therefore accounting teams must be prepared. One way to achieve it is to choose a comprehensive package that solves lease accounting and management challenges.

For example, different components of a lease portfolio frequently change. These changes are necessary to be seen in balance sheets and disclosures are thus updated regularly. Thus, a lease management software is highly capable of alerting you with events like payments, contract renewal, the expiration date of leases, that an organization needs to know.

It has been observed that companies with large lease portfolios globally often end up paying for leases that have expired long ago. It is due to the lack of insights, extensive data in excel-sheets and mismanagement. It can prove to be very costly.

Yardi Corom’s lease management and lease accounting software solution help you in getting critical alerts of different events. This, in turn, benefits the accounting team and business heads to make critical decisions, meeting urgent deadlines without any hassles, and save expenses as well. Also, calculations are made easy with lease accounting functionalities.

 

Maintaining Compliance

The new lease standards also affect the synergy between different teams of an organization. The accounting team needs to work with the tax team as well as other members who utilize the lease data for negotiation. Thus a cross-functional team needs both lease management as well as lease accounting software which makes the work easy. Also, to maintain compliance in the future, a robust solution is the need of the hour.

Yardi Corom enables you to customize reports are per the need and you can share the same with different teams as well. As the data is available in a single repository, team members can access the same. Special access permission can also be granted.

Thus, lease accounting and lease management must work in sync to ensure compliance and productivity. Yardi Corom provides many accounting and management features that help businesses to comply with IFRS 16 and ASC 842 standards. Visit for more details: www.yardicorom.com.