Staying on top of your lease portfolio management should always be a priority. If your lease portfolio is not up-to-date, it will be more difficult for you to catch up with all the data later. You will be staring at a backlog of leases to manage, a lot of lease audits to be completed and there will also be delays in your recovery of dues. Staying on top of your lease portfolio will certainly be beneficial in the long run and can give you a considerable competitive advantage. But, what if your current lease administration team is already overwhelmed? Is adding a new lease administration resource advisable?
Well, it depends. If you are looking to grow your lease administration function by adding in-house resources you need to be prepared for the following:
Finding the right resource and ensuring they are ready to hit the floor will take some time
The hiring process will take time. Lease administration is a critical business function and you want to make sure the person you hire is qualified and capable enough to handle your lease administration process effectively. Even if you do find the right person there’s always a company/process-specific learning curve that has to be conquered before they are ‘floor-ready’.
Hiring in-house lease administrators can increase your HR expenses significantly
Hiring full-time lease portfolio managers or lease administrators can add to your HR expenses significantly. Adding employees means incurring additional costs related to training, medical, 401(k), and other employee costs.
Consider outsourcing your lease administration function to enjoy more cost-efficiency, scalability and flexibility with respect to your lease administration process
You can overcome these challenges by outsourcing your lease portfolio management to a trusted lease administration services provider that has a proven track record. Outsourcing lease administration services help you become more efficient by eliminating training and HR related expenses and save on lease agreement interpretation and translation costs. It also gives you the flexibility to scale up or down as you wish. When you hire a lease administrator in-house to manage your lease portfolio, you are essentially stuck with them, irrespective of your lease portfolio management needs. You have to continue paying them whether you have enough work for them, or not. But, with outsourced lease administration services, you have full control and flexibility to navigate your lease administration needs.
Outsourcing lease administration function makes sure that you don’t miss critical timelines due to resource shortages and get timely access to important lease data that helps drive key strategic decisions–even if you are short on resources.
RE BackOffice is a strategic partner providing scalable, affordable and accurate lease abstraction, end-to-end lease administration and accounting services to optimize your lease portfolio and related processes. Please contact us today to learn more.