What are the benefits and challenges of using lease abstraction software in lease audit and verification?

1 Benefits of lease abstraction software

One of the main benefits of lease abstraction software is that it can save you time and money by automating the tedious and manual tasks of extracting, organizing, and analyzing lease data. You can upload your lease documents in various formats and languages, and the software will use artificial intelligence and natural language processing to create summaries, reports, and alerts based on your criteria. You can also access and update your lease data anytime and anywhere, and share it with your team, clients, or auditors. This way, you can reduce the risk of human error, inconsistency, or oversight, and focus on the strategic aspects of lease management.

2 Challenges of lease abstraction software

However, lease abstraction software is not a magic solution that can solve all your lease audit and verification problems. It also comes with some challenges that you need to be aware of and address. For example, you need to ensure that the software is reliable, accurate, and secure, and that it complies with the relevant laws and standards. You also need to verify that the software can handle the complexity and diversity of your lease portfolio, and that it can integrate with your existing systems and workflows. Moreover, you need to train your staff and stakeholders on how to use the software effectively and efficiently, and how to interpret and apply the results.

3 How to choose the best lease abstraction software

Given the benefits and challenges of lease abstraction software, how can you choose the best one for your lease audit and verification needs? There is no one-size-fits-all answer, but there are some factors that you can consider to make an informed decision. For instance, you can compare the features, functions, and prices of different software options, and ask for a demo or a free trial to test them out. You can also check the reviews, ratings, and testimonials of other users, and seek professional advice or recommendations from your peers or experts. Additionally, you can evaluate the customer support, training, and updates that the software provider offers, and how responsive and helpful they are.

4 Best practices for using lease abstraction software

Once you have chosen the best lease abstraction software for your lease audit and verification needs, you can follow some best practices to make the most out of it. For example, you can establish clear goals and expectations for your lease audit and verification project, and communicate them to your team, clients, or auditors. You can also create a standard operating procedure for uploading, reviewing, and updating your lease data, and assign roles and responsibilities to your staff and stakeholders. Furthermore, you can monitor and measure the performance and outcomes of your lease audit and verification process, and use the feedback and insights to improve your lease management strategy.

5 Common mistakes to avoid when using lease abstraction software

Finally, you can avoid some common mistakes that can undermine the effectiveness and efficiency of your lease audit and verification process when using lease abstraction software. For example, you should not rely solely on the software output without validating and verifying it with your original lease documents and actual lease terms and payments. You should also not ignore or overlook any errors, discrepancies, or alerts that the software generates, and take prompt and appropriate action to resolve them. Moreover, you should not use outdated or incomplete lease data, or fail to update your lease data regularly, as this can affect the accuracy and relevance of your lease audit and verification results.

6 Here’s what else to consider

This is a space to share examples, stories, or insights that don’t fit into any of the previous sections. What else would you like to add?