Can Multi-Entity Accounting Ever Be Easy?
It truly is possible for multi-entity accounting to be easy, effective, streamlined, scalable, flexible, and just right for you. For growing organizations, there’s no doubt that accounting for multiple entities or locations is often a time-consuming and painful process—especially if your accounting software doesn’t support it.
You may have to deal with complicated consolidations, far-flung information silos, multiple currencies, differing business structures, and high IT costs. However, although multi-entity accounting is complex by its very nature, it doesn’t need to be difficult.
Modern technology solutions can automate many of these issues and increase data visibility. With the right solutions, the right technology partner, and the right training, managing multiple entities can actually be pretty easy. What features do you need to look for in your accounting software?
- Automated Consolidations
An accounting solution with true multi-entity architecture will allow for automation of complex consolidations. This functionality means eliminating manual spreadsheets and being able to perform error-free consolidations in a fraction of the time.
- Flexible Reporting
Multi-entity organizations often need to create different types of reports for different entities. A robust accounting solution will make it easy to generate custom reports based on each set of unique requirements, as well as reports that combine data across the entire organization.
- Real-time Dashboards and KPIs
A quality multi-entity accounting solution will include configurable dashboards that allow each user to see the information most important to them – in real-time. The multi-entity architecture makes it possible to see combined data from different entities, or only see metrics within a single entity.
- Multi-currency Capabilities
If your organization does business in multiple currencies, you should use a solution that allows each entity to record data in its local currency, while still performing automated consolidations.
- User-based Security
A true multi-entity software solution will allow specific roles to be set for each user, which means better system security and more peace of mind.
- Scalable Functionality
As your organization grows, your accounting solution should be able to grow with you. A module-based solution allows you to only pay for what you need, then expand your functionality once it’s necessary.
- Inter-entity Transactions
Regular inter-entity transactions can create an extensive amount of work for your finance team, which is why software solutions created for multi-entity accounting have automation and workflows that are specifically designed to make inter-entity transactions as easy as possible. Both recurring and one-time transactions can be set up easily, and your audit trail will be easy to follow as well.
Overhaul Your Accounting
All these features (and more) are built into a true multi-entity accounting solution. When you combine their impact, accounting isn’t just easy, it can also become a powerful asset to your organization. Finding the right software solution will boost the success of your organization by providing clear financial insight and big-picture data. If you’d like to learn more, contact us to gain the perspective of a technology partner with 30 years of experience helping businesses like yours.