Switching lease accounting software might seem intimidating, especially when familiarity and cost control are top of mind for most companies. Many companies stick with what they know, but sticking with outdated or inadequate tools can lead to inefficiencies, errors, and even security risks. If you’re finding it challenging to convince your leadership team to make the switch, you’re not alone. Here’s how you can build a compelling business case for making the change.
Why change is necessary
Many organizations continue to use their current lease accounting software simply because “it’s what we’ve always done” or think it’s “good enough.” Accountants, known for their resourcefulness, often find ways to make existing tools work. However, this can lead to time-consuming workarounds and a higher risk of errors. The truth is, if your current solution isn’t delivering accuracy, efficiency, and security, it’s time to reconsider.
Key red flags
- Inadequate Features and Functionality: Essential capabilities like automation, integration, role-based access, dynamic chart of accounts, and point-in-time or catch-up entry functionality should be standard.
- Poor User Experience: If the software is difficult to navigate or doesn’t offer proper support, it’s costing your team valuable time.
- Weak Data Security: Your provider must offer robust data security measures like unique logins and encryption to protect sensitive information.
- Disruptive Bug Fixes or Updates: Extended bug fixes or updates that frequently destabilize the system jeopardizing accurate reporting and compliance.
- Stagnant Innovation: A lack of new features and developments signals a platform unable to adapt to evolving accounting needs and technological advancements, potentially leaving you behind.
Overcoming budget concerns
If an organization chose a solution based on price, budget concerns can be a common hurdle to change. To make a strong case for new software, focus on the value it brings. Consider the opportunity cost of sticking with an inefficient system and show how good software is an investment that pays off in the long run.
Here are some key points to emphasize:
- User Access and Costs: Solutions that offer unlimited user access with role-based permissions can eliminate hidden costs and improve collaboration across departments.
- Audit Efficiencies: Think about audit time. Providing auditors with read-only access can save significant time and reduce back-and-forth communication. This direct access allows auditors to trace data efficiently, minimizing the need for your team to create numerous ad-hoc reports.
“We used to have to give our auditors all the files and do special reports on all leases for the new year, and it was such a pain… With LeaseQuery, we just gave them a login. They can pull reports on new leases and all the data is right there.”
– General Ledger Manager
Addressing outsourcing misconceptions
Outsourcing lease accounting can be a good strategy, but even when outsourcing, it’s critical to have your own software. The right tool empowers your internal team with:
- Centralized, searchable access to all lease data.
- The ability to create custom reports for any segment or time period.
- Improved cross-departmental communication and transparency.
Overcoming fear of the switching process
One of the most common fears around switching software is the perceived complexity and workload involved. But with the right support and the right tools, switching does not have to be difficult. Here are a few key points to reassure your team:
- Switching is Less Burdensome than Initial Implementation: Since your data is already organized digitally, switching involves transferring, not gathering information.
- The Right Software Provider Can Help: Look for a software provider like FinQuery with deep experience and expert staff that can help your organization switch.
- You can Look for Features that Simplify the Process: You are in control in your switching process and you can look for a provider who has the capability to make things easy on your. Look for things like:
- Bulk Upload Capabilities: Quickly transfers large amounts of lease data.
- AI-Assisted Lease Entry: Speeds up and automates data entry tasks.
- Existing Balance Migration: Transfers not just your leases but your past lease actions so you don’t have to recreate historical data.
- Strong Support Team: Guides your team every step of the way.
Highlighting the hidden benefits of upgrading
Upgrading your lease accounting software doesn’t just solve immediate problems—it unlocks broader business advantages:
- Enhanced Forecasting and Budgeting: Access accurate, up-to-date data to make better strategic decisions.
- Improved Departmental Collaboration: Facilities, procurement, and finance teams can work from the same data set.
- Compliance Confidence: Built-in controls ensure data accuracy and audit readiness.
- Customization: Tailor solutions to your business’s unique needs, including handling contingent rents and non-standard fiscal calendars.
- Future-proof Lease Accounting: Consistent, reliable updates ensure you aren’t left behind as standards or technology changes.
Conclusion
Making the case to switch lease accounting software is about showing the long-term value and risk mitigation that the right solution brings. By addressing leadership concerns with clear examples, highlighting the tangible benefits, and demonstrating long-term value, you can make a compelling case for change.
FinQuery’s Guide to Making the Business Case for Switching Lease Accounting Software provides information to create slides and proposals to get your company to see value in switching to a new lease accounting software.
Click here to download the full guide.
