In a recent Customer Connect webinar event, LeaseAccelerator’s CEO Michael Keeler joined leading finance and accounting executives to discuss critical topics like lease accounting audit readiness, process improvements, product features, life after compliance and the most interesting leases they have ever come across.
The top three most interesting leases identified:
- Brewery Signs a 9,000-Year Lease – In 1758, a world-famous brewery signed a 9,000-year lease for its facilities at a rate of 45 pounds a month. To this day, the organization that owns the brewery still pays that same amount. Talk about locking in long-term savings!
- The 100-Year Land Lease – Port facility leases are typically long (10-20 years), often containing a number of step payments and variable payment adjustments. However, one uncovered land lease in Alaska for shoreline facilities stood out from the rest for its cool 100-year term.
- Skyscraping Complexity – A newly built and branded skyscraper posed typical lease complexities. However, due to the building’s sheer size, vast number and variety of sublets and numerous tranches of space coming on certain dates, it towered over the rest.
While all three leases are significant due to their complexity, it was noted that with a proper lease lifecycle process, an organization can take the cost and risk out of their lease strategy. By easily controlling ever-evolving assets and terms, and centralizing lease data, firms can ultimately drive long-term compliance.
What’s your most challenging lease?
Capturing and tracking lease accounting data is one of the biggest hurdles organizations face in managing the lease lifecycle.
If you’re in a private company or government organization, you get an extra year to prepare for lease management compliance with ASC 842 and GASB 87.
One of the biggest leasing issues facing businesses today is inaccurate or missing lease data for initial ASC 842/IFRS 16 compliance and ongoing data maintenance.
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...