Multibook Releases IFRS 16 "Lease Accounting" Compliance Feature for Cloud Accounting & ERP Software

Multibook Co., Ltd. (Headquarters: Shinagawa-ku, Tokyo; CEO: Tadaaki Murayama) is pleased to announce the addition of a new feature for IFRS 16 "Lease" compliance to "multibook," a cloud-based accounting and ERP software for overseas subsidiaries.

Commencement of IFRS 16 "Lease" Application The new IFRS accounting standard for leases, IFRS 16 "Lease," will be applied to fiscal years beginning on or after January 1, 2019. For standard companies with a March fiscal year-end, it will be effective from the fiscal year ending March 2021, whereas for overseas subsidiaries with a December fiscal year-end, it will apply from the fiscal year ending December 2020. Under the new IFRS 16 "Lease" standard, lease transactions will no longer be classified into finance and operating leases. Instead, in principle, all leases will require the recognition of right-of-use assets and lease liabilities. This expands the scope of on-balance sheet processing (excluding small-value and short-term leases).

Lease Asset Management Functionality for New Accounting Standards As businesses will now be required to perform accounting procedures to recognize right-of-use assets and lease liabilities for transactions previously categorized as operating leases, an increase in administrative tasks is expected. To reduce business costs related to leases and accelerate the closing process, "multibook" will add lease asset management functionality compliant with the new standard, releasing it in phases starting in December 2019.

Available Without Additional Fees Existing "multibook" users can utilize the new functionality without any change in subscription fees, provided there is no change in the number of users.

【Features of "multibook"】 1. Cloud-based Software "multibook" runs on a cloud environment (AWS), making it accessible from anywhere with an internet connection. For example, overseas subsidiaries, the Japanese headquarters, and audit firms can access it in real-time from anywhere in the world.

2. Easy Deployment Starting from 30,000 JPY/month "multibook" is available from 30,000 JPY per month (priced based on user count and number of vouchers). All functions, including accounting management, purchasing/inventory management, sales management, fixed asset management, and expense reimbursement, can be used at no additional cost as long as the user and voucher count are within the settings. Furthermore, if only using the accounting module, it can be fully operational in as little as two weeks.

3. Multilingual, Multicurrency, and Multi-ledger "multibook" supports 10 languages, allowing Japanese staff to operate in Japanese, Thai staff in Thai, Filipino staff in English, and Vietnamese staff in Vietnamese. It also supports currencies from around the world.

4. Real-time ERP "multibook" features real-time integration between accounting functions and other modules such as purchasing/inventory, sales, fixed asset management, and expense reimbursement. This eliminates the need for double entry between operational tasks and accounting, reduces wasteful work in discrepancy investigation, and contributes to faster closing cycles.