Multi-Entity Accounting Software

QuickBooks Online Essentials and Plus plans include multi-currency software features that can’t be turned off after Multicurrency is enabled. QuickBooks Desktop also has multicurrency capability once it’s enabled, but it can prevent using some other QuickBooks Desktop features, according to QuickBooks Desktop customer support. Microsoft Dynamics ERPs are also excellent multi-entity accounting solutions to handle business and accounting needs.

Consolidated financial reporting

Using the same software creates one uniform source of truth that every business subsidiary feeds into regularly and creates financial data that a CFO can rely on. The multi entity accounting way multi-entity accounting software works makes it easier to assess what’s performing well, whether it’s a specific product or territory. The CFO will then have to spend time compiling all of the financial data of multiple subsidiaries into one document to present to the rest of the C-suite. For the sake of CFOs everywhere, let’s break down exactly what multi-entity accounting is, why it’s so challenging and how multi-entity accounting software can make things that little bit simpler. PE-backed CFOs can use several tactics to close the books and generate consolidated financial statements faster. To solve these problems, we built SoftLedger, which is a general ledger accounting software designed specifically for multi-entity organizations.

• Gravity Software streamlines processes like consolidations, intercompany transactions, and reporting.
• We’ll go over your business challenges and unique needs, and see where you can unlock new value from your technology and make your operations run easier.
• Currency consolidation involves converting the financial statements of foreign operations into a single reporting currency.
• Now, it is also easier to expand into new countries and set up separate entities to meet each country’s compliance and reporting requirements.
• In order to produce one consolidated and accurate financial statement for the parent organization, financial transactions must be tracked and exported from multiple locations.

Focus on Data Quality and Consistency

• You can spot trends, identify opportunities, and address issues before they escalate.
• The old way of copying data for each legal entity, saving it into new Excel files, and clicking through multiple posting procedures by each legal entity is no longer necessary.
• Multi-entity accounting software is a unified system for parent businesses with multiple companies and their business entities.
• If you do not have MEP in your contract, then review the contract details to understand the number of single entities you purchased.
• Centralization of accounts payable information is another standout feature.

For lateral and upstream transactions, the transaction is visible to both the parent company and the subsidiary. On the other hand, downstream transactions are only visible to the parent company. Fortunately, there are multi-entity accounting solutions that can streamline this process for you (which we’ll discuss in more detail below).

Key Concepts in Financial Reporting

Modern multi-entity accounting should be smarter, faster, and built for the way you operate now. Multi-entity accounting differs from single-entity accounting, which is the financial reporting process https://www.bookstime.com/ for organizations that maintain just one set of records. A multi-entity accounting system helps address this challenge, providing large, complex organizations with better visibility and insights into the general company and each of its entities. Boost your team efficiency, capacity, and productivity while reducing costs with cloud based automation. While primarily used by larger corporations, small businesses with complex structures or multiple entities can also benefit from MEA.

Share your insights, find solutions, stay up to date, and get the most out of Sage. One of our senior ERP advisors will walk you through how Acumatica can streamline your multi-entity setup and answer your toughest finance questions. The risk of errors and inconsistencies increases as operations become siloed, hindering the seamless flow of financial information. We’ll go over your business challenges and unique needs, and see where you can unlock new value from your technology and make your operations run easier.

• For instance, create template month-end closing procedures that can be customized for local reporting requirements while maintaining core consolidation deadlines.
• Download the case study to see how Flexi helps organizations consolidate multiple subsidiaries, streamline their processes, and enable their accountants to focus on more value-added work.
• With multi-currency support and global reporting features, Gravity Software is perfect for businesses with international operations.
• SoftLedger offers an API-first architecture, real-time multi-entity consolidation, and built-in digital asset accounting capabilities.

Multiview’s ERP provides our clients with a comprehensive software suite that empowers their finance teams to advance their organizations. Multi-entity accounting is essential for companies that manage complex organizational structures or need to maintain clear financial separation between different business units. Boost productivity with fixed assets business and financial management in one solution.