Your Guide To Lease Compliance
Grab your complete guide to FASB ASC 842 to ensure you are compliant to the New Lease Accounting Standard.
The Road to Lease Compliance
The steps to getting lease-compliant start with making sure you understand the new standard and the implications for your lease portfolio—and continue until there is a permanent shift in the way you account for your leases.
This guide takes you through the 8 steps of FASB ASC 842 lease compliance.
Strategize Your Compliance Approach
“Preparing for the new standards can be daunting. But organizations can mitigate the potential disruption by taking time now to assess their options, with a strong, cross-functional team of stakeholders across finance, real estate, operations, and IT.”
—Steve Miller, Managing Director & Global Lease Accounting Lead, JLL
Nearly 60% of all respondents said they expect either a moderate or significant impact on their balance sheets and on their financial statement disclosures, according to a survey by EY.
SOURCE: Paving a path to success: preparing for new lease accounting standards, EY
Choose the Right Lease Compliance Solution
Ensure seamless compliance to the new accounting standards by selecting the right system.
“Some key considerations for selecting a system include ensuring the system: supports dual reporting for US GAAP and IFRS, supports foreign currency needs, captures items required to support new disclosure requirements supports tracking, and recording of the impairment of the ROU Asset…”
—Marybeth Shamrock, Advisory Lead for Leasing, KPMG
Create a Shift That Will Succeed & Sustain
Operationalize changes to ensure a permanent shift.
You must sustain compliance by installing the right people to champion, monitor, and course-correct as necessary. If done properly, this framework will enable you to leverage all the spent work and costs into continued long-term benefits and organizational improvement.
For more information on ASC 842 Compliance, check out these blog posts:
See how Tango Lease helped these well-known brands be ASC 842-compliant:
Wendy's wanted a Lease Administration & Accounting software company that not only provided the right solution & made them ASC 842 compliant, but would also be their lease strategy partner. With Tango, they successfully reported under the FASB ASC 842 standard in Q1 of 2019.
As Casper's physical footprint expanded quickly, they realized they needed a system that helped comply with the new FASB ASC 842 lease accounting standards. With Tango's track record in helping companies convert to the new standards, Casper knew Tango was the right pick.
Prior to the new lease accounting standards, Panera had implemented several separate solutions for their lease needs and realized that would make getting ASC 842 compliant very difficult. Panera needed Tango Lease, an all-in-one solution designed and developed from inception to comply with ASC 842.