Forbes published Food & Beverage Leader Louis Biscotti's latest column on how new leasing and revenue recognition regulations affect F&B companies.
By Louis Biscotti, Food and Beverage Services Leader
Companies that used to use off balance sheet financing through leasing had an advantage over companies that bought and paid for assets. To make an equal playing field, accounting regulators said if you lease or buy, you have to treat things the same way. Now that lease shows up on your books as debt.