Case study
Large restaurant franchise increases efficiency with EZLease
A large restaurant franchise with 300+ employees needed their retail space operating leases recognized on their balance sheet to comply with ASC 842 requirements.
Portfolio
Situation
The Company, a large restaurant franchise with 300+ employees, needed their retail space operating leases recognized on their balance sheet to comply with ASC 842 requirements. They realized spreadsheets and manual processes were not sustainable for ASC 842 adoption, so they began searching for automated software, based on the recommendation of their auditor. After researching lease accounting solutions, the Director of Accounting and Reporting, the Assistant Controller, and the Accounting Manager chose EZLease –due to its affordability and user-friendly interface.
"The upload templates were very easy for loading data in the software in a timely fashion and provided explanations for any errors which were easy to correct. We love the new locking period option as well."
- Accounting Manager at the company
Solution
The Company chose EZLease to manage their lease accounting for their 87 real estate leases. Prior to implementation, the team worked for almost a year to compile all the data needed to load in the system. Once the software was purchased, they had one designated resource to prepare and update all the data in the software and two resources to review the data. Because they had done the legwork ahead of time, the implementation went smoothly and only took a week or two to get all the data in the upload template and become familiar with the software and the reporting that was needed.
Impact
The Company’s monthly close process is much more efficient, now that they use the Journal Entry report, Income Statement/Balance Sheet Compact report, and Listing report. They can quickly identify leases and the specific terms for each lease, while the customized user field helps them easily filter leases that are on the balance sheet from leases that are simply guaranteed.
With EZLease, it’s now easier to prepare the data needed to complete their financial statements and they have a better understanding of how to record lease incentives correctly.
“The upload templates were very easy for loading data in the software in a timely fashion and provided explanations for any errors which were easy to correct. We love the new locking period option as well,” stated the Accounting Manager at the Company.
