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Need to consolidate accounts from multiple entities? Use our checklist to get it right

Published by Jeni Peacock on 6th September 2021

AccountsIQ offers a range of consolidation capabilities to help simplify month-end accounting for Group finance teams. Use our checklist to see if your current accounting system does as much.

AccountsIQ Consolidation Capabilities Checklist

Consolidates Multiple Subsidiaries (Including Sub-Groups)

AccountsIQ is ideal for complex corporate structures. It’s engineered to consolidate a large number of subsidiaries’ datasets with ease. It also handles sub-groups where the consolidated entity itself becomes a subsidiary of a large group consolidation.

Manages Complex Ownership Arrangements

AccountsIQ’s consolidation engine automatically recognises Minority Interests liability if the ownership interest is greater than 50% but less than 100%. It then creates the relevant postings in the consolidation entity.

Handles Foreign Currency Consolidations

Subsidiaries can operate in their own base currency with results translated into the base currency of the consolidation entity, using stored exchange rates for each reporting period. AccountsIQ correctly translates P&L accounts using average period rates and Balance Sheet accounts using period end rates.

Centrally controls Exchange Rates

No need to waste time maintaining average and period end exchange rates in multiple subsidiaries. Our Central Currency Management enables you to maintain rates in one central table. The updates automatically propagate to all related subsidiaries using triangulation of the group stored rates.

Report on actuals vs Budgets by BI Analysis structure at Group Level

AccountsIQ rolls up budgets, revised budgets, actuals and variances from subsidiary companies. This makes it easy to view overall performance and trends across the group at any time. This includes BI Analysis coding and GL Chart of Accounts to enable group level BI reporting.

Simplifies the posting of Intercompany Charges

With AccountsIQ you can raise intercompany Sales Invoices that automatically create Purchase Invoices in the receiving company. Purchase Invoices remain “unposted” until approved and coded in the receiving company. This ensures that intercompany accounts remain balanced for elimination at group level, even if balances are in different currencies.

Month End Currency Revaluations

Give your team the tools to simplify the revaluation of foreign currency bank, debtor and creditor accounts at subsidiary level based on centrally maintained exchange rates. Unrealised gains (losses) are automatically posted and the base currency value of assets and liabilities adjusted before consolidation. This facilitates elimination of intercompany balances at group level.

Group Sales & Purchase Analysis

Our consolidated Sales & Purchase Analysis enables group-wide reporting and benchmarking for common products or services.

Post Consolidation Adjustments

You can make adjustments at group level to eliminate inter-company profits without affecting the subsidiary figures.

See a quick video overview of the Consolidation functionality in AccountsIQ. View the Consolidation Features list.

LEARN MORE

Register for our Multi-Company Accounting & Consolidation Live Webinar on 23 September 2021

Book a demo to see how AccountsIQ can save your multi-entity business significant time with consolidated accounting and reporting.

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