lease assignment accounting

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What Is Lease Accounting and Why Is It Important?

• 05 Oct 2021

Today, there are more than 44 million rental properties in the United States, and the US apartment rental market is worth upwards of $174 billion in revenue . Renting building space—such as an apartment, office, or storefront—is one of the most common examples of leasing , or the process of exchanging money to access an asset for a predetermined period. Similarly, a lease is a contractual document outlining an agreement’s terms. Companies also lease equipment, vehicles, machinery, and technology.

If your business rents its assets or leases from others, you need to track the financial impact those activities have on your business's financial health. This is called lease accounting and, in addition to being legally required, can help you run an organized, successful business.

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What Is Lease Accounting?

Lease accounting is the process by which a company records the financial impacts of its leasing activities. Leases that meet specific classification requirements must be recorded on a company’s financial statements. Here’s a brief review of each financial statement:

• Balance sheets track a company’s assets, liabilities, and shareholder equity and must always balance.
• Cash flow statements show the movement of money into and out of a company during a specific period.
• Income statements track a company’s income and expenses over time.

The way a lease is recorded on each financial statement differs based on whether you’re the lessor (you own the asset and are receiving payment from the lessee) or the lessee (you’re paying to use the lessor’s asset). When recorded correctly, these three documents provide a clear picture of the value of a company’s assets and the impact the lease has on its overall financial health.

There are two lease classifications—operating and financing—that determine how your company should account for its leases in financial statements, depending on the length of the lease term.

Related: Financial Statement Analysis: The Basics for Non-Accountants

Operating Leases vs. Financing Leases

Operating leases.

Operating leases are leases that don't present an opportunity for the lessee to gain ownership of an asset.

Under the new accounting standards, operating leases must be reported on a company’s balance sheet only if the lease term is greater than 12 months. If the lease term is equal to or less than 12 months, the Financial Accounting Standards Board (FASB) doesn't require their inclusion on the balance sheet.

For an operating lease with a term equal to or less than 12 months:

• The lessor reports the individual lease payments as income on the income and cash flow statements.
• The lessee reports the individual lease payments as operating expenses on the income and cash flow statements.

For an operating lease with a term of more than 12 months:

• The lessor reports the lease as an asset on the balance sheet and individual lease payments as income on the income and cash flow statements. They must also account for the asset’s depreciation over time.
• The lessee reports the lease as both an asset and a liability on the balance sheet and reports individual lease payments as expenses on the income and cash flow statements.

Financing Leases

Financing leases , formerly called capital leases , are leases in which the lessee has reasonable expectation to gain ownership of an asset. Under the United States Generally Accepted Accounting Principles (US GAAP) , there are five criteria, only one of which needs to be met for a lease to be considered a financing lease:

• The lease transfers ownership of the underlying asset to the lessee by the end of the lease term.
• The lease grants the lessee an option to purchase the underlying asset that the lessee is reasonably certain to exercise.
• The lease term is for the major part of the remaining economic life of the underlying asset unless the commencement date of the lease falls at or near the end of the economic life of the underlying asset.
• The present value of the sum of lease payments and any residual value guaranteed by the lessee (not already reflected in lease payments) equals or substantially exceeds all of the fair value of the underlying asset.
• The underlying asset is of such a specialized nature that it’s expected to have no alternative use to the lessor at the end of the lease term.

For financing leases, regardless of the term length:

• The lessor reports the lease as a leased asset on the balance sheet and individual lease payments as income on the income and cash flow statements.
• The lessee reports the lease as both an asset and a liability on the balance sheet due to their stake as a potential owner of the asset and their required payment. They also report individual lease payments as expenses on the income and cash flow statements.

Old vs. New Lease Accounting Standards

The original lease accounting standards, called the Statement of Financial Accounting Standards 13 (SFAS13) or US GAAP Accounting Standards Codification (ASC) 840, were issued in 1976 by the FASB.

A financing lease, which was called a capital lease at the time, had different criteria than those stated above:

• The lease transfers ownership of the leased asset to the lessee at the end of the lease term.
• The lease contains an option allowing the lessee to purchase the leased asset at a bargain price at the end of the lease term.
• The lease term is greater than or equal to 75 percent of the asset’s economic life.
• The present value of the minimum lease payments (including any required lessee guarantee of residual value of the leased asset to the lessor at the end of the lease term) is greater than or equal to 90 percent of the fair value of the leased asset at the inception of the lease.

Previously, it was standard that no operating leases were reported on the balance sheet. To avoid having to report capital leases, lessors would skirt the criteria of a capital lease (for instance, cutting it as close as possible to the 75 and 90 percent benchmarks) and make it look like an operating lease. This is because keeping those leases off the balance sheet would reduce tax liabilities.

To address this, the new lease accounting standards—called the Accounting Standards Update 2016-02 (ASU-2016-02) or US GAAP ASC 842—were issued by the FASB in February 2016 and went into effect for public companies in December 2018, and one year later for private entities.

Now, all leases with terms greater than 12 months—regardless of classification—must appear on the balance sheet.

Why Is Lease Accounting Important?

Accounting is crucial to understanding a company's financial health; with so many facets of accounting to consider, each plays a key role in providing financial insights that can influence organizational strategy and guide decision-making.

“Accounting is a tool that opens doors to key information, provides useful insights, helps gain perspective, and aids in decision-making,” says Harvard Business School Professor V.G. Narayanan in Financial Accounting , one of the three courses that comprise the Credential of Readiness (CORe) program.

Lease accounting was recently added to the course content of Financial Accounting . Professor Narayanan explains lease accounting’s importance and the full course update in the video below:

It’s important to understand the ins and outs of lease classification and stay up to date on the current lease accounting standards. You also need to know how lease accounting fits into each financial statement so you can base decisions and strategies on accurate financial information.

Whether your company is the lessor or the lessee, the way you keep track of assets, liabilities, income, and expenses generated by leasing activities will have an impact on the overall picture of your company’s financials and, as such, its strategy.

Are you interested in sharpening your financial accounting skills? Explore our eight-week online Financial Accounting course or three-course Credential of Readiness (CORe) program to learn how strong accounting skills can enable you to meaningfully contribute to your organization and advance your career.

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Operating Lease

An agreement to use and operate an asset without ownership

What is an Operating Lease?

An operating lease is an agreement to use and operate an asset without the transfer of ownership. Common assets that are leased include real estate, automobiles, aircraft, or heavy equipment. By renting and not owning, operating leases enable companies to keep from recording an asset on their balance sheets by treating them as operating expenses.

Operating Lease vs. Capital Lease

An operating lease is different from a capital lease and must be treated differently for accounting purposes. Under an operating lease, the lessee enjoys no risk of ownership, but cannot deduct depreciation for tax purposes.

For a lease to qualify as a capital lease , it must meet any of the following criteria as outlined by GAAP :

• The lease term is greater than or equal to 75% of the asset’s estimated useful life
• The present value of the lease payments is greater than or equal to 90% of the fair value of the asset
• Ownership of the asset may be transferred to the lessee at the end of the lease
• The lease contains a bargain purchase option for the lessee to buy the equipment below market value at the end of the lease

Additionally, under IFRS , there are a few more criteria that a lease can meet to qualify as a capital lease:

• The leased assets are specialized to the point that only the lessee can utilize these assets without major changes being made to them

Under a capital lease, the lessee is considered an owner and can claim depreciation and interest expense for tax purposes. The leased asset and lease obligation are shown on the balance sheet .

Capitalizing an Operating Lease

If a lease does not meet any of the above criteria, it is considered an operating lease. Assets acquired under operating leases do not need to be reported on the bal ance sheet. Likewise, operating leases do not need to be reported as a liability on the balance sheet, as the y are not treated as debt. The firm does not record any depreciation for assets acquired under operating leases.

However, if a lease does meet any of the above criteria, it is instead considered a capital lease. A capital lease is treated differently from an operating lease. Instead of being treated as an operating expense, a capital lease is considered a financing expense. Therefore, we need to adjust the lease expense, depreciation expense, and interest expense numbers to account for this shift.

This will have an effect on operating income, which will always increase when these expenses are recategorized. However, it will not have any net effect on net income, as the change in numbers will balance out.

There are two methods to capitalize operating leases: the full adjustment method and the approximation method.

1. Full Adjustment Method

Step 1: collect input data.

Find the operating lease expenses, operating income, reported debt, cost of debt, and reported interest expenses.

Cost of debt can be found using the firm’s bond rating. If there is no existing bond rating, a “synthetic” bond rating can be calculated using the firm’s interest coverage ratio. Using the interest coverage ratio, compare it to this table created by New York University, Stern Business School professor Aswath Damodaran.

The remaining input data can be found in the company’s financial statements or the notes to the financial statements.

Step 2: Calculate the Present Value of Operating Lease Commitments

By capitalizing an operating lease, a financial analyst is essentially treating the lease as debt. Both the lease and the asset acquired under the lease will appear on the balance sheet. The firm must adjust depreciation expenses to account for the asset and interest expenses to account for the debt.

To do this, you must find the debt value of the operating leases. Find the present value of future operating lease expenses by discounting each year’s expense by the cost of debt . The annuity method can be used if lease expenses are provided and remain constant over a timeframe of multiple years (e.g. years 6-10).

Step 3: Calculate Depreciation Expenses, Imputed Interest, and Adjusted Interest Expenses

We need to calculate depreciation and adjust interest expenses. To calculate depreciation, we use the debt value of leases and employ the straight-line method of depreciation .

To adjust interest expenses, we begin with a simplifying assumption:  operating lease expense is equal to the sum of imputed interest expense and depreciation. With this assumption, we can use our newly calculated depreciation value to find imputed interest expense on an operating lease. Take the difference between the current year operating lease expense and our calculated depreciation value to find the imputed interest on the lease.

Finally, add the imputed interest expense on an operating lease to interest expenses to find adjusted interest.

Step 4: Adjust Financials

First, we need to adjust operating income. Begin with the reported operating income (EBIT). Then, add the current year’s operating lease expense and subtract the depreciation on the leased asset to arrive at adjusted operating income.

Even though operating income has changed, there should not be a change in net income due to our simplifying assumption. Below are the calculations illustrating this:

Finally, to adjust debt, take the reported value of debt (book value of debt) and add the debt value of the leases.

2. Approximation Method

Like the full adjustment method, we will need to collect the same input data.

The second step for the approximation method is identical to the second step in the full adjustment method as well. We need to calculate the present value of operating lease commitments to arrive at the debt value of the lease.

Step 3: Calculate Imputed Interest, Adjusted Interest Expenses, and Depreciation Expenses

Unlike the full adjustment method, the approximation method begins with calculating imputed interest. This is simpler because there is no need to worry about depreciation methods and guidelines. To calculate the imputed interest on the operating lease, multiply the debt value of the lease by the cost of debt.

We can use this imputed interest value to adjust the interest expense. We do this by adding the imputed interest to interest expense.

Finally, using our simplifying assumption from earlier, take the difference between the current year’s operating lease expense and the imputed interest to find depreciation expenses.

Adjusting financials with the approximation method is slightly different from the full adjustment method. Begin by adjusting operating income. Take the reported operating income (EBIT) for the year and add the calculated imputed interest on an operating lease to obtain the adjusted operating income.

Like with the full adjustment method, though operating income has changed, net income should not. Below are the calculations to illustrate this effect:

Finally, adjusting debt is the same as the full adjustment method. Add the debt value of the leases to the reported debt value.

Impact on Valuation

There are two effects on free cash flow to the firm (FCFF) when we treat operating lease expenses as financing expenses by capitalizing them:

• FCFF will increase because the imputed interest expense on the capitalized operating leases is added back to the operating income (EBIT).
• FCFF will decrease if the present value of leases increases (and vice versa) due to the net change in capital expenditures . This occurs because we must treat operating leases like capital expenditures if we capitalize them.

Furthermore, the weighted average cost of capital (WACC) will decrease as the debt ratio increases, which has a positive impact on the value of the firm. It is important to note that the increase in firm value derives solely from the value of debt, and not the value of equity. If the debt ratio stays stable, and the leases are fairly valued, treating operating leases as debt should have a neutral effect on the value of equity.

Other Resources

We hope you’ve enjoyed reading this CFI guide to leases. To learn more, see the following free CFI resources.

• Lease Classifications
• Lease Accounting
• Prepaid Lease
• Projecting Balance Sheet Items
• See all accounting resources

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Assignment of Lease: How It Works and Parties Involved

Jump to section, what is an assignment of lease.

The assignment of lease is a title document that transfers all rights possessed by a lessee or tenant to a property to another party. The assignee takes the assignor’s place in the landlord-tenant relationship.

You can view an example of a lease assignment here .

How Lease Assignment Works

In cases where a tenant wants to or needs to get out of their lease before it expires, lease assignment provides a legal option to assign or transfer rights of the lease to someone else. For instance, if in a commercial lease a business leases a place for 12 months but the business moves or shuts down after 10 months, the person can transfer the lease to someone else through an assignment of the lease. In this case, they will not have to pay rent for the last two months as the new assigned tenant will be responsible for that.

However, before the original tenant can be released of any responsibilities associated with the lease, other requirements need to be satisfied. The landlord needs to consent to the lease transfer through a “License to Assign” document. It is crucial to complete this document before moving on to the assignment of lease as the landlord may refuse to approve the assignment.

Difference Between Assignment of Lease and Subletting

A transfer of the remaining interest in a lease, also known as assignment, is possible when implied rights to assign exist. Some leases do not allow assignment or sharing of possessions or property under a lease. An assignment ensures the complete transfer of the rights to the property from one tenant to another.

The assignor is no longer responsible for rent or utilities and other costs that they might have had under the lease. Here, the assignee becomes the tenant and takes over all responsibilities such as rent. However, unless the assignee is released of all liabilities by the landlord, they remain responsible if the new tenant defaults.

A sublease is a new lease agreement between the tenant (or the sublessor) and a third-party (or the sublessee) for a portion of the lease. The original lease agreement between the landlord and the sublessor (or original tenant) still remains in place. The original tenant still remains responsible for all duties set under the lease.

Here are some key differences between subletting and assigning a lease:

• Under a sublease, the original lease agreement still remains in place.
• The original tenant retains all responsibilities under a sublease agreement.
• A sublease can be for less than all of the property, such as for a room, general area, portion of the leased premises, etc.
• Subleasing can be for a portion of the lease term. For instance, a tenant can sublease the property for a month and then retain it after the third-party completes their month-long sublet.
• Since the sublease agreement is between the tenant and the third-party, rent is often negotiable, based on the term of the sublease and other circumstances.
• The third-party in a sublease agreement does not have a direct relationship with the landlord.
• The subtenant will need to seek consent of both the tenant and the landlord to make any repairs or changes to the property during their sublease.

Here is more on an assignment of lease here .

Parties Involved in Lease Assignment

There are three parties involved in a lease assignment – the landlord or owner of the property, the assignor and the assignee. The original lease agreement is between the landlord and the tenant, or the assignor. The lease agreement outlines the duties and responsibilities of both parties when it comes to renting the property. Now, when the tenant decides to assign the lease to a third-party, the third-party is known as the assignee. The assignee takes on the responsibilities laid under the original lease agreement between the assignor and the landlord. The landlord must consent to the assignment of the lease prior to the assignment.

For example, Jake is renting a commercial property for his business from Paul for two years beginning January 2013 up until January 2015. In January 2014, Jake suffers a financial crisis and has to close down his business to move to a different city. Jake doesn’t want to continue paying rent on the property as he will not be using it for a year left of the lease. Jake’s friend, John would soon be turning his digital business into a brick-and-mortar store. John has been looking for a space to kick start his venture. Jake can assign his space for the rest of the lease term to John through an assignment of lease. Jake will need to seek the approval of his landlord and then begin the assignment process. Here, Jake will be the assignor who transfers all his lease related duties and responsibilities to John, who will be the assignee.

You can read more on lease agreements here .

Image via Pexels by RODNAE

Assignment of Lease From Seller to Buyer

In case of a residential property, a landlord can assign his leases to the new buyer of the building. The landlord will assign the right to collect rent to the buyer. This will allow the buyer to collect any and all rent from existing tenants in that property. This assignment can also include the assignment of security deposits, if the parties agree to it. This type of assignment provides protection to the buyer so they can collect rent on the property.

The assignment of a lease from the seller to a buyer also requires that all tenants are made aware of the sale of the property. The buyer-seller should give proper notice to the tenants along with a notice of assignment of lease signed by both the buyer and the seller. Tenants should also be informed about the contact information of the new landlord and the payment methods to be used to pay rent to the new landlord.

You can read more on buyer-seller lease assignments here .

Get Help with an Assignment of Lease

Do you have any questions about a lease assignment and want to speak to an expert? Post a project today on ContractsCounsel and receive bids from real estate lawyers who specialize in lease assignment.

ContractsCounsel is not a law firm, and this post should not be considered and does not contain legal advice. To ensure the information and advice in this post are correct, sufficient, and appropriate for your situation, please consult a licensed attorney. Also, using or accessing ContractsCounsel's site does not create an attorney-client relationship between you and ContractsCounsel.

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Assignment of Lease

Contract to lease land from a church?

I’m planning on leasing land from a church. Putting a gym on the property. And leasing it back to the school.

Ok; first step is that you will need a leasing contract with the church. Ask them to prepare one for you so you would just need an attorney to review the agreement and that should cost less than if you had to be the party to pay a lawyer to draft it from scratch. You need to ensure that the purpose of the lease is clearly stated - that you plan to put a gym on the land so that there are no issues if the church leadership changes. Step 2 - you will need a lease agreement with the school that your leasing it do (hopefully one that is similar to the original one your received from the church). Again, please ensure that all the terms that you discuss and agree to are in the document; including length of time, price and how to resolve disputes if you have one. I hope this is helpful. If you would like me to assist you further, you can contact me on Contracts Counsel and we can discuss a fee for my services. Regards, Donya Ramsay (Gordon)

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Lease Accounting Considerations in Business Combinations

As part of a business combination, an acquirer may assume the existing leases of the acquiree, under which the acquiree is the lessee. Based on this transaction type, the acquirer must consider several factors.

Specifically, the acquired leases are measured, as of the acquisition date, as if they are newly signed by the acquirer. This requires the acquirer to assess the discount rate and remaining lease payments, considering the extension, purchase, and termination options.

This assessment may result in a different measurement of the lease liability and right-of-use (ROU) asset (discussed below) as compared to what is reflected on the acquiree's closing balance sheet. However, lease classification does not require reassessment unless leases are modified as a result of the acquisition. Assignment of a lease to the acquirer with no changes to the lease term or payments is generally not considered a modification.

Lease Liability

The lease liability is measured as the present value of the remaining lease payments, based on the assessment of factors included above, and using the acquirer's discount rate, which may vary from the acquiree's original rate. As a result, the same remaining lease payments may result in a higher or lower balance than recorded on the acquiree's balance sheet.

Additionally, as part of the acquire's reassessment of the lease term, the acquirer's reasonable certainty around exercising renewal, termination, and/or purchase options in the context of its own operations may differ from that of the acquiree. For example, the acquiree may have concluded that it was reasonably certain that the lease would be renewed following the base term because the location was critical for a business unit. However, if the business unit is not significant to the acquirer (e.g., the intent of the acquisition was to achieve synergies with another part of the business), then the acquirer may reach a different conclusion. Only the renewal or termination options that the acquirer is reasonably certain to exercise are included in the lease term, regardless of the acquiree's previous conclusions.

The ROU asset, as of the acquisition date, is initially measured at an amount equal to the lease liability, adjusted for above or below market terms of the lease, consistent with acquisition accounting and fair value principles under ASC 805: Business Combinations. Thus, the ROU asset may be adjusted up or down to reflect the current state of the market. Previously, under ASC 840, this favorable or unfavorable adjustment was captured as an intangible asset. Under ASC 842, however, the ROU asset is adjusted directly.

In assessing the extent of procedures to perform in determining any fair value adjustment, companies should consider:

• When was the lease executed? If it was executed recently in an arms length transaction, it may already be at market.
• What is the remaining lease term? If, for example, there are only a few months left, the acquirer may conclude that the fair value is not materially different from the acquiree's carrying value.

Other Considerations

An acquirer may choose to apply the short-term lease practical expedient (i.e., leases with remaining terms of 12 months or less) for any leases acquired under which the acquiree is the lessee. This means that the acquirer would not recognize a lease liability or ROU asset or separately record the impact of above- or below-market terms.

As with all other areas, the acquiree must conform its accounting policies to those of the acquirer. If the acquirer is a public business entity and has already adopted ASC 842, but the acquiree was a private company still reporting under ASC 840, the acquiree must immediately adopt ASC 842, generally on a more compressed timeline.

Even if both parties have adopted ASC 842, adjustments may still be necessary if private company practical expedients were initially applied and are no longer permissible. For instance, an acquisition resulting in a private acquiree becoming part of a public business entity would require eliminating any expedients only available to private companies (e.g., use of the risk-free rate rather than the implicit or incremental borrowing rate).

Steve Hills

Jeremy enuson.

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Power up your portfolio with lease accounting software

How do you ensure compliance with lease accounting standards while making the most of your portfolio? By finding the right lease accounting software.

Let’s explore how software can help you effectively tackle lease management.

What is lease management software?

Lease management software (or lease accounting software) is a digital program or application designed to streamline and simplify the management of lease agreements.

It automates various tasks, from tracking lease terms to ensuring compliance with accounting standards like ASC 842 and IFRS 16.

By centralizing all lease-related information, lease management software provides companies with a comprehensive overview of their lease obligations and financial impacts.

How can lease management software help?

For companies who want to manage their lease portfolio in-house, lease accounting software is an invaluable tool that can help companies:

• Track and monitor lease agreements from one, centralized location
• Use automation to complete complex calculations and generate detailed reports
• Manage their lease portfolio from anywhere with an internet connection (in the case of cloud-based products like IRIS Innervision )

What are the benefits of lease management software?

Designed to make lease management easier and more accessible, leasing management software can be a great choice for companies looking to power up their portfolios – and here’s why.

Improve efficiency through automation

With lease accounting software, you can hit ‘close’ on complex spreadsheets and sit back while automation takes care of your calculations.

Labor-intensive tasks like ensuring compliance with accounting standards like ASC 842 and IFRS 16 are all taken care of. And that means you and your team have more time to focus on what matters – running your business.

Make cost-effective decisions

Lease portfolio management software has a significantly lower upfront investment than solutions like lease management services.

For businesses that aren’t in a position to make big upfront investments, lease management software can give you almost all the benefits of a managed service but at a lower cost point.

Rely on higher levels of accuracy

When you’ve only got people behind your portfolio calculations, human error is inevitable – and it only takes one inaccurate financial report to land your company in hot water.

Lease accounting software ensures accuracy by automating complex calculations and providing real-time updates.

Get a clearer picture

By centralizing and organizing all your lease data in one place, you can finally get a crystal clear overview of your lease portfolio.

Whether you’re tracking lease terms, monitoring obligations, or flagging renewal dates, your lease management software gives you an invaluable overview of everything that’s happening.

Scale to what you need

Lease management software is designed to grow with your business, making it suitable for organizations of all sizes.

Because software can be easily adjusted to suit different levels of need, it’s easy to scale up or down according to your shifting requirements.

Whether you have a small lease portfolio or manage hundreds of leases, the best lease management software has the ideal solution for you.

Use with complete confidence

Modern lease management software is designed to be used by busy professionals who want to get in, get what they need, and get out again.

The best lease management systems will have user-friendly interfaces, so anyone can log in and get to grips with how it works quickly.

All this means your team will have less of a learning curve to becoming confident users – and you can transition to the new system smoothly.

Integrate with your existing systems

By integrating and communicating with your existing systems, the best lease accounting software allows for seamless data flow across your company. In practice, this means:

• Less manual data entry, minimizing any risk of error and improving accuracy
• A reduced administrative strain on your staff, freeing up their time
• You can effectively track all lease agreements from one place, ensuring no critical dates or terms are overlooked.

Featured Guide

Lease accounting: a guide for businesses, cpas, and finance professionals .

Download this go-to resource on lease accounting management, including solutions like lease accounting software and lease portfolio management.

An ASC 842 and IFRS 16 software solution

Ensuring compliance with legislation like ASC 842 and IFRS 16 is crucial – but how does lease accounting software help you achieve this?

• Automatically updating to reflect changes to lease accounting standards
• Identifying and collating detailed information about lease terms, timing, and amounts
• Automating journal entries for lease-related transactions, ensuring accuracy and simplifying the audit process
• Storing and organizing all lease data in a secure centralized system.

What about lease accounting services?

Lease management software isn’t the only way to manage your portfolio and ensure compliance with leasing standards.

Lease accounting services can help you optimize your lease portfolio, ensuring you remain fully compliant with accounting standards and allowing you to pursue better financial outcomes.

Learn more about lease management services, including how IRIS Innervision can support your business.

IRIS Innervision “We decided upon IRIS Lease Accounting as our preferred technology partner for transitioning to IFRS 16 as we were seeking a comprehensive end-to-end solution that would support the complexities of our multifaceted lease portfolio.”

National Express

Unlock ASC 842 compliance with IRIS Innervision

IRIS Lease Accounting software is a powerful solution that ensures you’re fully compliant ASC 842 and other accounting standards.

From streamlining leasing processes to aligning strategies across your whole organization, IRIS Innervision is your key to unlocking lease management.

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