A quick Google search will yield many, many, results for property lease management software. These can span the poles from bargain-basement to Fortune 100, stand-alone to integrated, residential to commercial…you get the idea. Try to re-create this experiment yourself, and you’ll notice one oddity: the majority of solutions out there seem to focus on solving problems for the lessor/landlord, and either disregard or minimize the role of the lessee/tenant.
At Binary Stream, we’ve always found this to be somewhat odd, and as a result, our Property Lease Management (PLM) product was designed to be used by both lessees and lessors to manage the accounting needs that arise from their leases!
New Rules: ASC-842 Compliance
You’ve probably been hearing about ASC-842 (and IFRS 16 if you happen to live/work outside of the US) for quite a while now. The FASB and IASB issued these new standards in early 2016, and while the mandatory adoption date has been pushed forward a few times, this change is going to affect everyone, especially lessees.
The full scope of ASC-842 is beyond the scope of a few short paragraphs, but it will significantly change how leases are capitalized, most notably on the passthrough components, such as the taxes, maintenance, and insurance on a NNN lease. While the calculations and journal entries themselves aren’t too challenging, it could be very difficult to manage these at scale, so if you happen to have, say, 100 property and equipment leases that you need to pay, this could pose a challenge.
Luckily, Binary Stream has you covered, as our Property Lease Management (PLM) product already works with Dynamics GP, as well as Finance & Operations, with support for Business Central to arrive later in 2021.
Robust Features with Property Lease Management
In addition to managing the day-to-day lease activities, we also support other usage scenarios encountered by both landlords and tenants on a regular basis, such as:
- Performing CAM reconciliation.
- Attaching lease-specific documents, such as photos from a walkthrough.
- Calculating Sales-Based Rent
- Managing escalations
- Importing new leases
- And so much more
No matter whether you’re a lessee, lessor, or both(!), we’ve got a solution for you to consider. For a more in-depth look at the impact of ASC 842, please click here to watch a recorded talk, but we’d also be glad to set up a live discovery call, to learn about your specific requirements. Connect with Express!