Clark Jarrold
Partner, Audit & Assurance, Financial Reporting & Accounting
How can BDO help
We know and understand IFRS 16 because we work with it every day. Our Lease Management Services aim to ease the challenges of lease accounting. Utilising our technology solution, BDO Lead, we handle all necessary calculations, while our expert team takes care of preparing your journals and reports.
What is our BDO Lease Management Service?
BDO's Lease Management Service will help reduce costs and improve efficiencies by allowing BDO IFRS Lease Advisory to manage all your leases in your lease portfolio and provide the information you need to account for your leases under IFRS 16(AASB16).
This approach will be most beneficial because we will be transitioning your lease information to our system, whether it is in excel or on another system. Our experts will make this as easy as possible for you.
Our services include:
- Conducting a thorough analysis to support your policy decisions before transitioning to our Lease Management Service
- Providing your staff with relevant IFRS 16 learning materials
- Uploading your data into BDO Lead
- Offering guidance to assist your project team gather the necessary outstanding lease accounting data
- Providing monthly accounting journals and audit information tailored to your organisation’s format and level of detail
- Going a step further by providing assistance with sublease accounting and make-good provision discounting.
What is the implementation process with BDO's Lease Management Service?
PROCESS DIAGRAM 1
- STEP 1: LEARNING
BDO provides learning on how to capture the lease information in a standard Excel spreadsheet as well as IFRS 16 . - STEP 2: INPUTTING OF DATA
The client populates the Excel spreadsheet with all the lease data (BDO can assist with contract analysis). - STEP 3: READINESS CHECK
BDO to review and assess the accuracy and completeness of the population of the lease data in the Excel spreadsheet. - STEP 4: UPLOADING OF DATA
BDO imports the lease data from the Excel spreadsheet into the BDO Lead software. - STEP 5: IMPACT ASSESSMENT (if required)
BDO uses the imported data to prepare an impact assessment for each requested Transitional Method. - STEP 6: DATA VALIDATION
The client selects the appropriate transitional method and confirms the accuracy and completeness of the lease data, including assessments. - STEP 7: THE JOURNALS
BDO provides the journals with input on the date of initial application and subsequent periods based on the selected transitional method. - STEP 8: REQUIRED INFORMATION
Client to confirm the required monthly information and frequency of correspondence with BDO.
What is the ongoing process with BDO's Lease Management Service?
What are the benefits of BDO's Lease Management Service?
The benefits:
- No need to invest in or acquire the software
- Lower cost and no complex IT implementation projects
- Business resources are free for alternative use
- Saves time- consuming learning about the requirements of the new leasing standard
- Ongoing access to our IFRS Advisory specialists
- Audit trail provided for you and your auditor
- Assistance with auditor lease queries.
Please contact us or any of our friendly and professional IFRS & Corporate Reporting experts to discuss how we can help you to take the pain out of lease accounting and address your IFRS 16 related business problems.
Explore further details about managing your lease accounting independently with our BDO Lead software.
