A few years ago, the importance of assets and property was only limited to occasional management or fulfilling the necessary obligations. However, with time, things have significantly changed. Today, a lease is considered more than just keeping track of commitments.
Before we discuss the changes brought upon by the lease management system, let’s explain what lease management is in the first place.
What is Lease Management?
Lease management keeps track of every aspect of the company’s portfolio of leased assets. Complex real estate portfolios are a challenge to manage. Real estate professionals have to pay attention to various details, from site selection to lease accounting transaction management.
A lease management system works by optimizing real estate and equipment leases. That way, real estate companies mitigate risks, lower costs and, most importantly, achieve compliance.
Although some businesses rely on their lease administration department or outsource the work, many have understood the benefits of implanting software and are investing in it. A lease management software makes it easier to incorporate lease changes in unprecedented circumstances and helps analyze lease data to streamline operations.
Besides investing in lease management software, companies must also consider new accounting standards. To ensure you comply with Generally Accepted Financial Practices, you must understand what ASC 842 vs ASC 840 is.
Businesses must thoroughly reevaluate the lease dynamics and invest in lease management software to help comply with new accounting standards to avoid landing in hot waters. Besides helping businesses with lease-related work, lease management software has numerous benefits.
When discussing technology in practical life, the word automation comes to mind. Automated workflows are one of the biggest blessings ever since the advent of technology. The most critical feature of lease management software is that it offers reminders, allowing managers to stay updated on rent collection, payments, and task allocations.
The lease management software saves managers from missing out on essential deadlines or milestones such as lease renewals. Automation saves time and effort invested in the leasing process.
Manually keeping an eye on leasing transactions is tiresome and increases the likelihood of error. That said, lease management software simplifies things by automating a large portion of the workflow. Another benefit of lease automation is that it gives users control over work.
For instance, the software can contact tenants directly through email and text without requiring manual work. Additionally, automation removes the need for paper filing when maintaining records. Every critical data can be stored online or in the cloud.
2. Easy user interface
A convenient user interface is necessary to analyze and efficiently manage real estate lease portfolio data. Users can easily access information through lease management software with just a few clicks.
A lease management software also offers an intuitive user interface with straightforward navigation. Its benefit in the real estate business is that planning resources and task assigning become easier for the operations team.
An easy and intuitive user interface improves customer experience. An advanced user interface also offers users role-based customization. That means an intuitive user interface can be configured to display specific options for an individual, depending on their role.
3. Convenient Mapping
As mentioned earlier, manually keeping an eye on every aspect of the real estate business is a challenge. That said, lease management software has mapping features that provide managers with information on the property’s location.
Besides location, the software also offers insight into the current financial information of the particular location. Mapping has become an essential feature managers look for in lease management software.
The mapping feature is more beneficial for businesses with thousands of tasks to manage and keeping tabs on the properties under their management. With lease management software, corporations can stay relieved by knowing the property’s exact location.
4. Data Protection
Another benefit of installing lease management software immediately is ensuring data protection. The software is encoded with strong SSL encryption, keeping vital information safe from harm’s way. Solid SSL encryption scrambles the data, preventing unauthorized access.
Apart from encryption, the software regularly backs up the leasing data. Sometimes the software allows users to export data and save it in external storage or a cloud-based system. Software with SSL encryption is an indicator of good data protection.
Besides SSL, two-factor authentication also ensures data security. Users must look for software that highlights the importance of data protection and prevents security breaches.
5. Data Customization
A lease management software helps with data customization and makes it easier for users to track every essential detail. Initially, while entering the data, you must have all the necessary information for the software to process. Once the information is included, it is updated across every relevant field.
Additionally, users have the freedom to customize information based on their requirements. Users must strike a balance between customization and system optimization.
Consider software that tailors reports and alerts according to the requirement while having an in-built report generator that compiles the information needed.
6. Financial management
The lease management software paves the way for users to carry out financial management smoothly. The accounting features of the software allow the calculation of advance payments, maintenance charges, and user charges.
Besides the basic features, the software also offers various services such as tracking payables and receivables, electronic funds transfer, and compliance. Managers can ensure the financial data is updated in the software per the latest accounting standards.
When investing in software, you won’t have to worry about buying additional accounting software to manage the financial aspect of property management.
Lease management software streamlines property management operations and helps achieve goals. Since it has made life easier, lease management software can be considered an ideal solution for lease business requirements.
From efficient financial management to data protection and customization, software has ensured it is here to stay. It is essential that when companies are searching for the best lease management software, they choose the one that provides them with an end-to-end solution.
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