Create a Short Term Lease as Lessor

To create a Lease Setup (LEASES) transaction in order to create a new lease authorization, perform these steps:

1. Create an instance of the LEASES transaction.

2. Complete the Authorization tab where a row will already be inserted for you and complete it with information for your lease authorization (leaving most information to default because the authorization level of detail is not needed.)

• Auto Generate ID: true

• Debt Type: Operating Lease as Lessor

3. Skip the Authorization COA tab where a blank row will already be inserted for you. (This task assumes 1 lease for the authorization and no Lease Authorization Event Type is entered for your Operating Lease as Lessor code selected from the Debt Type page.)

4. Navigate to the Debt Instrument tab, use the Insert Line action and enter the following:

• Debt ID, Debt Instrument Name, Debt Instrument Short Name, Issue Date, and Principal: (enter values as desired).

• Debt Instrument Status: Active Lease

• Use the Save action to save the Debt Instrument data, which will infer the Debt Type from the Authorization. This will trigger the transaction to create you a record on all the remaining transaction tabs that apply to that type of lease.

5. Skip the Lender/Lessor Information tab, as it is not typically used for leases as the lessor.  

6. Navigate to the Lender/Lessor COA tab and enter the following:

• Type of Payment: ALL

• Percentage: 100%

• COA: Enter codes required for revenues from lease collections.

7. Navigate to the Borrower/Lessee Information tab and enter information about the borrower:

• Customer Code: (the vendor code of the lessee)

• Billing Profile: (the one for lessees.)

• Address Code: If there is no default billing address, choose a value else the field will default.

8. Skip the Borrower/Lessee COA tab as it does not apply to this type of lease.

9. Navigate to the Schedule tab to enter information about the payment schedule.

• Schedule Type: Amortized Payment

• Selected Schedule: true

• Frequency: Monthly

• Number of Payments: (12 or fewer)

• Date of Month: 1st

• Use the Generate Schedule action to create Schedule Detail tab records.

10. Validate the transaction.

11. If errors exist, fix the errors and repeat Step 10. If no errors exist, continue with Step 12.

12. Submit the transaction.