Business growth, expansion, being the market or industry leader—these are typical objectives that businesses strive to meet. Whether your focus is expanding products and service lines into new domestic and global markets or venturing into new industries, organizations must adapt to growth. And this business environment may involve ownership changes, spin-offs, mergers, and acquisitions. But once all the dust has settled, reality sets in—the challenge of managing the process and its impact within your organization. Intacct provides the ability to support growing businesses, especially when it comes to delivering scalability to address process, control, and reporting.
Change is coming! And this constant evolution comes with its share of challenges, which include:
- How can you improve accuracy and reduce close times with multiple locations?
- With complex structures or rapid growth, can financial management and reporting be streamlined?
- What processes can be automated and standardized for better compilation of financial statements and operational reports?
- With so much data from multiple sources, are there better methods to manage duplicate data requirements?
- How can I deliver the right performance information to every stakeholder?
From a financial accounting standpoint, managing various entities and their corresponding transactions with each other (intercompany transactions) becomes the greatest challenge. If you deal with multiple entities, interests, subsidiaries, locations, and currencies, Intacct has the unique ability to support your growing business every step of the way.
Can Intacct Support Different Multi-Entity Ownerships?
For accountants, data entry—especially in multiple files covering multiple entities—has always been an arduous task. Entering data for different entities involves:
- Opening up multiple, non-integrated files or screens—one for each entity;
- Recording transactions;
- Summarizing the due to/from intercompany account transactions;
- Creating the journal entries; and finally
- Preparing a consolidation report at close.
This is not only challenging but somewhat prone to errors. Key concerns are how to handle transactions to avoid duplication in the due-to and due-from; controlling the permission and workflow process; allocating costs for either centralized or decentralized processing for AP and AR workflow; and maintaining accurate and simultaneous items, vendors, and customers.
Intacct provides the various company platform structure options based on your business environment, be it a single entity multiple location or multiple entities with multiple locations.
|Single Company||Multiple Entities Domestic||Multiple Entities Global|
|Same base accounting currency||Same base accounting currency||Multiple base accounting currencies|
|Multiple locations roll into same reports||Multiple locations subject to different guidelines/reporting needs||US company with international subsidiaries|
|Same owner(s)||Autonomy in separate location processing (bill payments)||International company with multiple global offices|
|Same regulatory environment||Same regulatory environment||Different local regulatory environments|
Domestic Multi-Entity Shared (MES) Container
Multi-Entity Shared with Intacct Global Consolidation (IGC)
Intacct provides an interface for users to easily enter, access, consolidate, and generate data reports—all in one container for all multi-entity concerns. This feature saves valuable time in the process, which can then be allocated to other tasks. Here’s how it works.
Configuring Multi-Entity and Inter-Entity
When you check the auto-balancing for GL box, you no longer have to manually balance between entities. Intacct automates this operation based on the relationship(s) you defined for the entity. Restrictions likewise will define access to both top level entity shareable lists and accounts as well as to specific entities, thus creating user defined relationships.