NetLease Go-Live Overview

Go-Live Summary 

Our go-live process is simple. (1) Load leases through the CSV import tool or input lease data via the user interface and generate the amortization schedules. (2) Commence leases. (3) Kick off a system generated journal entry to establish the proper balances. (4) Reverse out your existing balance. 

Pre-Requisites

Prior to go-live we need to have the following steps complete:

  1. NetLease global settings complete
  2. Lease types and account mappings finalized
  3. Leases loaded and reviewed

Go-Live Journal Entries 

NetLease will book the following entries for each lease (842 Leasing Standard):

Debit: ROU Asset

Credit: ROU Accumulated Amortization at go-live date

Credit: Lease Liability

Debit/Credit: Go-live clearing account 

Customer should book the following entry for each 842 Lease or 840 Financing Lease:

Credit: ROU Asset

Debit: ROU Accumulated Amortization at go-live date

Debit: Lease Liability

Credit/Debit: Go-live clearing account

Customer should book the following entry for each 840 Operating Lease*:

Debit/Credit: Deferred Rent

Credit/Debit: Go-live clearing account


*IMPORTANT:

  • the entry booked by the customer should be a native NetSuite journal entry, and not a NetLease-specific transaction
  • do not tag lease records to the manual reversing entries
  • the amounts in the manual reversing entry may not be an exact mirror of the NetLease Go-Live journal entry. Only the Go-Live Clearing Account will always be the same amount in both the Go-Live journal entry and manual reversing entry (see below for handling adjustments)
  • while a separate Go-Live journal entry will be created by NetLease for each lease, the manual reversing entry can be one combined journal entry

Together these entries net to zero (or small transition adjustment amount). If the recalculate historical amortization method is used, the small transition adjustment should be written off as of the go-live date. 

See our Run Go-Live Transition Journals article for more guidance.

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