Private companies - the FASB is lookin’ at you!

With the new FASB standards in place for public companies as of earlier this year, the FASB is turning its attention to private companies, whose implementation deadline starts in January 2020—less than eight months away.

Surveys show private companies are reporting an even lower state of readiness than public companies were at this time last year. Almost 40 percent of private companies are behind schedule on implementing the new lease accounting standards.

Some haven’t even started getting ready yet, even though the implementation deadline for FASB ASC 842 compliance is quickly approaching.

Even under the best of circumstances—your team is on the same page, you know where all your leases are, and you have invested in the best software for your needs—FASB 842 compliance isn’t easy.

Nearly 55% of companies who have already started this process are finding FASB 842 compliance more complex than originally anticipated.

Here are 7 questions you may be asking, and the practical answers for tackling the new lease accounting standards.

80 percent.

That’s the average portion of a portfolio equipment leases occupy at any given company, according to the Equipment Leasing Association of America.

However, many companies don’t know:

• How much equipment they’re leasing
• The terms associated with those leases
• Who’s providing the financing for those leases
• When those leases will come up for renewal

And that only adds fuel to the fire for the average 75% of companies who have reported facing challenges when trying to implement the new FASB 842 accounting standards.

As a manager, your job is to proactively oversee your facilities’ ever-growing list of maintenance needs, while doing so with efficiency and cost-effectiveness in mind.

At the core of these processes and decisions lies preventive maintenance.

Managers, maintenance workers, and businesses have varying opinions about preventive maintenance and its significance to daily and long-term maintenance goals.

But some of the best in the business agree creating and implementing a long-term plan for preventive maintenance, in addition to routine and reactive maintenance, is essential for facility success.

The GASB 87 lease reporting standard has been all but forgotten.

In the hype of public companies preparing for compliance last year and private companies up next at the plate in 2019, the complementary mandate for government bodies is flying under the radar.

But the deadline is the same - Jan. 1, 2020 - and all the same repercussions apply to GASB 87 offenders as they do to FASB 842.

It’s time to bring GASB 87 out of the closet.

We put together a list of the essential facts you need to know about GASB 87. With a short timeline of just 9 months to plan and execute - and few solutions on the market - you’ll benefit from understanding the dos and don'ts now.

The new year is here.

And that means you have to be thinking about a FASB 842 implementation for your private company.

You have questions.

And after a whole year of hammering out implementation with public companies, we have answers.

In fact, we learned so much from the industry’s first year implementing the new accounting standards changes, we’ve been getting a slew of questions.

And we’re answering 11 of the most commons ones to help you own your FASB 842 implementation in 2019.

When you’re navigating a territory you’ve never been to, it’s nice to have a roadmap. That’s never been more true when it comes to navigating a FASB 842 implementation.

We’ve talked about the common mistakes, the hurdles public companies faced with implementation in 2018, and the most costly misconceptions you probably haven’t considered. We’ve even covered the questions you should be asking as you vet vendors.

But what we haven’t covered is just how to take the first step down the road to complete execution.

It’s a struggle everyone has and we know you’re going to face in 2019.

With that in mind, we put together this step-by-step process and roadmap you’ll need to follow to implement your FASB 842 project plan.