The Real Day Two
Part 2: Day Two Solved
When you compare Day Zero, Day One, and Day Two, it is easy to see why so much of our design and engineering efforts were focused on Day Two. While our competitors were ramping up their marketing and sales machines and building features that focus only on Day Zero and Day One, we were busy solving the real Day Two.
Lease Harbor, our third generation system, was built from the ground up as a Day Two system. It is designed and engineered to provide comprehensive functionality for both real estate and non-real estate portfolio administration and accrual-based lease accounting, all in a single system. Workflows, shared data structures, and automation seamlessly tie both halves of the system together eliminating the need for an expensive two-system approach, double entry, and problem-prone data pumps. Most importantly, it automates what is by far the most cumbersome and time consuming part of Day Two: remeasurement triggered by lease modification and even error correction.
This brings us back to the definition of Day Two. Over time, the lease accounting market took our Day Two moniker and turned it into a sort of meme. Our competition uses it with a variety of definitions, all of which fall very short of ours.
In order to tout long-term viability of their partial solutions, competitors came up with their own alternate Day Two definitions such as:
- “ease-of-use”
- “the ability to edit lease terms”
- “drill down reporting”
- “ability to run reports for auditors”
- “fewer screens to click through”
Yet, the one thing that we don’t see in any competitor’s definition is:
- notification of modifications and automation of required remeasurement accounting
And, a few things we don’t see in but a few competitor definitions are:
- formal lease accounting subledger
- formal batch process for journal entries versus simply reports
- completeness and accuracy controls on month end process
- closing fiscal periods
- exception reporting to identify potential updates required
Providing these features is virtually impossible without the integrated approach to cash and accrual basis accounting supported by Lease Harbor. This is the most critical feature addressing Day Two in lease accounting and what sets Lease Harbor apart.
So, when considering lease accounting software, you may hear the Day Two moniker we created. If you do, make sure it means automated remeasurement and insist on seeing it in action. Without real Day Two functionality, you will be doing a lot of manual work as your portfolio churns. Once you step outside the system, the integrity and auditability of the lease accounting process suffers. Lease Harbor prevents that time consuming risk.
We are confident when we hear positive feedback from our clients who use Lease Harbor to solve Day Two. A client from a major global asset management company told us “We are very pleased with Lease Harbor, and the expected outcomes for handling our monthly accounting is much easier than we had anticipated.”
About Lease Harbor LLC
Lease Harbor was founded in March 2000 with the express purpose of building the most complete, user friendly, cost-effective lease administration and lease accounting software solution. Over the past twenty-one years, more than 1,800 companies have trusted Lease Harbor, and the majority of our clients have used our services for over ten years. Our global clients range from small companies to large enterprises and represent all industries, including technology, health care, and finance.
As an employee-owned company, our clients rely on our experience, consistency, and continuing innovation. We offer scalable, reliable, well supported software priced at a fraction of the cost of our competitors. Lease Harbor’s flagship product is the industry’s first and only full-featured, completely seamless lease accounting and lease administration system.
Lease Harbor provides the industry-leading software and services you need to take control of your lease accounting and management. For more information, please contact info@leaseharbor.com.