Lease accounting and management made easier with LeasePointTM
Software as a solution offering
Deloitte’s LeasePoint™, powered by IBM TRIRIGA©, is designed as a modern and efficient lease accounting and management SaaS tool to be implemented faster and at a lower cost than many traditional alternatives.
- Get the conversation started
- Far-reaching financial impact
- New lease accounting standards
- A new view of lease accounting and management
- I wish I would haves” to avoid
Get the conversation started
Far-reaching lease accounting and financial impact
For many companies, FASB ASC 842, Leases, could have far-reaching impacts on their balance sheet and income statements. Both lessees and lessors are likely to face significant, additional reporting and management burdens.
Possible impacts of ASC 842 could include:
- Multinationals having to keep two different financial books
- Lease administration operational and financial process changes
- Credit ratings being affected
- Changes to EBIDTA, debt covenants, and other KPIs such as debt to equity
- Negative impact on ability to borrow money
Consider the following steps to start preparing today:
- Gather an inventory of leases
- Understand the new standards
- Assess your current technology
- Evaluate other implications
- Develop an implementation timeline
New standards may require companies to:
- Recognize and add most leases to the balance sheet
- Collect and reclassify certain leases
- Report lease holdings quarterly
- Aggregate data across multiple technology platforms
- Abstract paper lease documents to digital versions
- Recalculate KPIs such as EBITDA, return on assets, and debt to equity
- Renegotiate debt covenants with lenders due to changed debt ratios
New lease accounting standards: Are companies prepared to comply?
Lease accounting meets best-in-class real estate management engine
LeasePoint is designed to combine lease accounting functionality with IBM’s best in class real estate management engine to provide the kind of confidence in reporting that only trusted brands like Deloitte and IBM can provide.
As a Deloitte Software as a Service offering, LeasePoint blends best-in-class software with a scalable, cloud-based platform that can be implemented rapidly and includes all licenses, support and upgrades in one subscription fee.
A new view of lease accounting and lease management
Have 500+ real estate or asset leases?
- For more information on the new lease accounting standards, please visit this webpage on operationalizing the new standards.
- Our Accounting & Reporting Transformation professionals can help your organization navigate the operational issues associated with implementing the standard, including end-to-end assistance ranging from assessment to implementation and operationalization.
- Deloitte’s Real Estate & Facilities Management Transformation practice helps organizations across industries address some of their most complex and challenging real estate issues. We assist companies in building the business case for real estate decisions, devise and execute implementation road maps, and measure effectiveness against internal expectations and industry benchmarks along the way.