Faced with a new set of rules powered by a remote and decentralized workforce, new cash management strategies, and shifting real estate and equipment lease needs, businesses must adapt digital transformation to drive lease accounting and lease lifecycle automation success.
Even as compliance standards evolve, the remote workforce has become the new normal and constant change continues to have a broad impact across most organizations, making it harder to stay in control. Accountants, whether corporate controllers, treasurers, CFOs, and their financial reporting teams have faced significant challenges with remeasurements, reassessments, and deal modifications due to lease changes. Accurately reflecting changes while staying compliant with the lease accounting standards has become highly complex for most entities and, adding another layer of complexity, the way deals are changing constantly in the current environment, makes it hard for teams to keep up.
Businesses can no longer continue operating in a holding pattern that relies on manual lease management practices and spreadsheet workarounds. For success now and post-pandemic, firms need to first take a lease lifecycle approach which starts at the lease vs. buy decision to the last payment made. With the below steps in place and the right automated platform, firms can make working in this new normal more effective by proactively maximizing the benefits of their lease strategy and portfolio while driving savings and reducing risk.
By implementing the right automated lease lifecycle platform, businesses are equipped with the visibility and control needed to optimize their core processes and effectively manage the complexities of lease portfolio management from end-to-end. From here, they can also leverage lease modifications, the end-of-term process, the remote workforce and compliance delays to adapt and continue to move forward on their path toward success. With improved cash flow, strategic capital management, better governance and valuable insights, automating the leasing process can drive a significant impact to a business’s bottom line.
For more detail, listen to the full webinar replay: https://explore.leaseaccelerator.com/webinar-panel-the-new-normal-of-lease-accounting/
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