Any business, large or small, city-based or agricultural, needs assets to function.
These can take the form of large, heavy vehicles used to transport raw materials and to cultivate land; or they could be small, compact pieces of technology like computers or servers used to process your business's latest transactions.
Most likely you will have financed these assets via two options: buying or leasing. Whilst leasing, with its greater financial benefits and flexibility, may be the better long term solution for your business, it also requires much more analysis and on-going management.
Whereas only one transaction is required when buying, there are several procedures involved in arranging a lease portfolio from choosing a lessor to negotiating interest rate charges and the duration of the lease. When a business has hundreds if not thousands of leases, all requiring the same care and attention, it can seem like a daunting task to try and stay on top of everything once they are put in place.
This is where lease portfolio management is essential. Managing leases efficiently means you ensure that all of your leases are centralised in one place and are all continually tracked simultaneously so as to give an accurate, consistent, compliant and up to date picture of all of your business's leasing arrangements. Your lease portfolio management system will improve the overall efficiency of your leasing arrangements by:
Keeping records up to date
- Enabling you to see your full range of leases and determine which ones are still ongoing and which are soon to expire
- Designing processes to keep the data up to date
- Analysing each lease to be able to recognise whether a better deal exists
- Making sure you have the best lease and interest rate arrangement
Organising Leases
- Have all of your leases centralised in one, easy-to-access place
- Saving stakeholders time when looking for any of your old leases
- Enabling accurate and easily accessible financial and management reporting
Controlling Leases
- Facilitate lease savings by avoiding unnecessary payments
- Interfacing with finance and procurement systems
- Ensuring lease compliance with internal and external guidelines
- Structuring leases correctly to ensure they achieve all objectives
These are just some of the examples of the benefits available to your business if you manage your lease portfolio and integrate the system into your operations. Helping to bring increased efficiency and organisation, managing your lease portfolio outlines the condition and direction of your leases. With a system like this, your business will ultimately be able to exert greater control and influence over not just some but all of your leases.
To find out more about Innervision’s powerful lease management software (LOIS) click here.
Alternatively, if you’d like a more in-depth and hands-on look at LOIS you can sign up for a personalised and tailor demo of the system by following the link below: