MILWAUKEE, November 2, 2018 – In a survey of auditors at 77 US CPA firms conducted by LeaseCrunch®, 58% believe that the new recognition of a lease obligation will adversely affect loan covenants for their clients.
The new lease accounting standard that takes effect for public companies next year poses obstacles for the audit firms that have begun implementing it for their clients.
A group of former CPA firm auditors has teamed up to develop LeaseCrunch, lease accounting software that they’re selling through CPA firms to help clients deal with the new FASB standard.
In 2019, new standards will be rolled out that make the process of accounting for business leases more complicated. CPA firms are beginning to prepare for the change, and LeaseCrunch has developed a software platform to assist them.