This article we look to explore what impact the introduction of the new lease accounting standards may have on the way businesses view, evaluate and consider leasing, as well as examining how business leasing strategies might be affected.

Following years of debate, the International Accounting Standards Board (IASB) issued the new IFRS 16 standard for the treatment of leases.

2019 is the first accounting period for which the new lease accounting standards must be applied - do not let things drift but instead satisfy yourself that the following areas have been understood and addressed.

For as long as businesses have been “renting” assets, investors, credit-rating agencies, and analysts have had to assess the effect and impact that operating lease commitments might have on a company’s future performance by using difficult to calculate estimates based on entries in the Notes to the financial statements rather than the P&L or Balance Sheet.

London, UK — Wednesday, 20th February 2019 - 2.00pm (GMT) — Innervision Management Ltd (Innervision), an industry leading provider of cloud-based lease management and lease accounting software solutions, today announced that Addison Lee Group (Addison Lee), a London-based private hire company has chosen Innervision’s market leading solution LOIS Lease Accounting (LLA) as its dedicated solution for transitioning to the new standard – IFRS 16.

London, United Kingdom, 31^st January 2019 - Innervision Management Ltd (“Innervision”) the leading lease accounting solutions provider, is delighted to announce that over 100 companies globally have now selected its flagship product, LOIS Lease Accounting (LLA) to transition to the new lease accounting standards – IFRS 16 and FASB ASC 842.

The adoption “deadlines” for IFRS 16 and ASC 842 have now passed and while there was no seismic movement across the globe on 1^st January 2019, nonetheless, financial reports for periods post the implementation deadline will resound with the impact of the trillions of dollars’ worth of operating lease commitments now appear on balance sheets across the world.

London, United Kingdom — 3^rd January 2019 — 11 am (GMT) — Today Innervision Management Ltd (Innervision) is proud to announce that it has achieved ISO 27001:2013 certification.

The implementation of the IFRS 16 Lease Accounting Standard by any lessee will generally lead to an increase in leased assets and a corresponding increase in financial liabilities reflected on its balance sheet. It, of course, follows that there will be an impact on the corporate valuation of the business.

Surveys come and go but IFRS 16 is here to stay.