Healthcare

Lease accounting and lease management designed for the healthcare sector

Managing your healthcare leases

Whether it’s laboratories, pathology centres, hospitals, medical centres or the medical equipment itself, as a healthcare provider it’s likely you have a large number of leases and sub-leases.

Given the size of your portfolio, it’s important you manage it as closely as possible so you can make informed business decisions. With leases stored in all manner of places, each with different termination dates, renewal options and rates, it can be difficult, if not impossible, to produce accurate, useful, consolidated reports on your property and asset portfolios.

 

Changes to lease accounting – IFRS 16

If lease management wasn’t challenging enough, healthcare providers are faced with the adoption of IFRS 16, the new lease accounting standard – effective 1 January 2019, which could make leases the most material item on your balance sheet.

The new requirements will directly impact the financial performance and value of your company so it’s essential you get it right. We expect healthcare providers to see an increase in recognised assets and liabilities, more leases recognised in earlier periods of a lease and less in later periods, a shift in lease expense classification and amortisation, and an increase in net debt/EBITA ratios.

Given the complexity involved, we recommend you invest in a lease management and lease accounting platform that is
IFRS 16 compliant.

 

Nomos One can help

Nomos One is the complete, cloud-based, lease management and lease accounting software solution for the management of leases, sub-leases, licences, sub-licenses, easements, grants, resource consents and general contracts.

With our software, you’ll benefit from automated calculations, a clear simple dashboard, event reminders, intuitive workflow, custom reports and fields, and the ability to automatically generate legal documents.

Our robustly tested IFRS 16 module automatically calculates right-of-use assets and lease liability and generates journals, depreciation and interest schedules, giving you complete confidence in your IFRS 16 compliance.

Discover the benefits of using Nomos One