Commercial Real Estate Audit
A Commercial Real Estate Audit is done for Compliance – An act or process of observing and conforming to a requirement or recommendation.
A lot of valuable time, money and energy are invested by both parties in negotiating and drafting the terms of a Contract or Lease. Ironically, many times after the Instrument is finalized the parties neglect to effectively communicate to their respective accounting departments the nuances of the complex economic components of the transaction.
In an active business environment your staff members responsible for these contracts may have multiple responsibilities that can change over time or they may even move on to other opportunities. These very common factors all contribute to an environment that can distort the terms of a Lease or Contract and result in lost profits, making a Commercial Real Estate Audit necessary.
Working with BC Compliance can help your organization overcome these obstacles.
Our process is soundly built upon the concept of partnering. Throughout each phase of our examination process our clients remain directly involved, from data gathering to claims presentation to agreeing upon negotiation approaches. We have found over the years that this partnering approach brings about the greatest success in a timely manner.
The success of each of our engagements involves recognizing and appreciating the dynamics of the relationships involved. These relationships are:
- Our Client to Landlord/Supplier
- Our Client to BCC
- Landlord/Supplier to BCC
It makes sense to take advantage of our commercial real estate audit services in every case. In most instances the landlord or supplier that we will evaluate may have a pivotal role in your business’ success, whether it is leasing you a location in a key market or providing you the widgets needed at the right price.
We understand the importance of these relationships and go out of our way to preserve and enhance them.
There are a variety of explanations why non – compliance can develop. However we have found that in the majority of cases it tends to be based on inadvertent accounting mistakes that have essentially gone undetected over time due to any number of reasons.
We work with the parties involved to discuss the conceptual merits of the issue(s) before assigning any economic designation. Understanding why issues develop over time is a valuable commodity for all the parties. Discussing and agreeing on the concept at the outset removes this obstacle and allows the parties to reasonably discuss the specifics and develop a strategy to correct the non – compliance.