Leases: anything you rent long enough that it counts as an asset and a debt.
The challenge
Leases are operationally volatile.
This is a balance sheet problem, not just an administrative one. Lease balances feed leverage ratios, EBITDA-based metrics and covenant calculations.
Changing terms
Renewals, early terminations, extensions and curtailments change future cash flows and accounting.
Moving rates
Indexation, market reviews and variable payments shift amounts and timing over the lease life.
Portfolio complexity
High volumes, multiple assets, currencies and jurisdictions make manual tracking slow and risky.
The IFRS 16 chain
One controlled path from lease to disclosure.
A consistent, auditable process that connects data, judgement and calculations to reliable outcomes.
- 1
Lease contracts
Capture and maintain a complete lease record.
- 2
Terms, payments & options
Store key terms and payment streams consistently.
- 3
Expected & actual events
Track events that trigger remeasurement changes.
- 4
Right-of-use (ROU) asset & lease liability
Measure at commencement and remeasure as changes occur.
- 5
Interest, depreciation & payments
Automate accretion, depreciation and cash flows.
- 6
Remeasurement & derecognition
Update estimates through end of lease.
- 7
Sub-ledger & general ledger
Post journals and reconcile to the general ledger.
- 8
Reporting & disclosures
Produce IFRS 16 reports and disclosures.
What Hamilton CEM handles
At commencement
Initial recognition of the right-of-use asset and lease liability.
When terms change
Updates for index-linked payments, rate changes, options exercised and revised lease terms.
Modification
Assess modifications and apply the appropriate accounting outcome.
If you lease out as well as lease in
Track operating and finance leases, receivables and lease income alongside your lessee portfolio.
Lifecycle
From inception to termination, with full audit trail and documentation.
Expected vs actual
Bridge expectations to reality.
Compare contractual payments and terms to actual outcomes and keep your balances and disclosures accurate.
Built for every industry
Built for industries with large, moving lease portfolios.
Make contract economics visible.
Talk to us about bringing predictive accounting to your contract lifecycle.
Explore the standards
