Sage Intacct Multi-Entity – Our Top 5 Favourite Features

In Business Management Software, Sage Intacct by Nathan Davies

Reading Time: 5 minutes

What is multi-entity management?

Multi-entity management in finance software terms is the ability to handle multiple entities on a single platform. The single platform should allow for easy comparisons of entities without the need to export and combine reports in Excel or equivalent. Multi-entity management should allow for easy visibility of all transactions, customers, suppliers, and any other reporting category.

How does multi-entity management work in Sage Intacct?

Multi-entity management within Sage Intacct allows for the automatic aggregation of reports for entities that share a base currency, and consolidations of those with different base currencies are available. This is made possible by defining a single Chart of Accounts for all entities that are on Intacct. Intacct uses the concept of the “Top Level” where you can access details and gain visibility to all entities on Intacct.

Some of the notable features of the top level are:

  • Inter-entity journals in one place
  • Inter-entity bank transfers
  • Single source of data for multiple entities

Our top 5 favourite features of multi-entity management in Sage Intacct:

Master data list

Within Intacct, at the Top Level, you have access to everything within an entity all in a single list. This applies to all standard dimensions and transactions. When viewing a list, there is a tick box labeled “Include Private” which is particularly useful on transaction screens. For example, when this is ticked at the Top Level – you can see a list of all invoices across all entities. Lists allow you to filter, sort, and export all detail which can all be an easy alternative to running a report or consolidation.

Definition: Dimension – a reporting object in Sage Intacct that allows for the slicing and dicing of data. For example, some of the Intacct dimensions are Location, Department, Class, Customer, Supplier, Product, and Employee.

Another useful feature of lists is dimensions. For most of the dimensions, the best practice is to set them up at a top level which makes them automatically available in all entities. However, there is the ability to restrict to specific entities. When they are set up at the Top Level, it makes it easier to manage and maintain contact details as you would only need to change them in one place. Imagine a common supplier that is set up in every entity and the times when each entity has slightly different details, this problem is no more with Intacct.

Intercompany

Sage Intacct allows for cross-company journals to be automated with ease. When trying to move revenue or cost from one entity to another, you would typically imagine 2 journals, 1 in each entity. Using Intacct’s Top Level, you can use 1 journal with 2 lines by simply changing the location dimension field. See the below example where the same account has been debited and credited just with a different location on each line.

Note the “Inter entity entries” at the bottom half of the example, these entries took place automatically. Not only does this save the user time on entry, but it can also save time on reconciliations as the risk of human error is reduced as it is posted in both entities automatically.

The automatic intercompany transactions do not stop there. They can also be seen in the sub-ledgers. For example, within Accounts Payable you have the ability to use a bank account from any entity to pay your suppliers, the end result produces auto inter-entity entries as seen in the above transaction. The same applies to Accounts Receivable where a customer pays into a different entity’s bank, which may occur if they trade with more than one of your entities.

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Consolidations

The multi-entity features can be enhanced with the consolidation module. Above is the organisation view, a feature of the consolidations module that allows for the entity and location structure to be viewed with ease. Notice the hierarchy structure displayed under UK Holdings Ltd.

The consolidation module takes the multi-entity features to the next level (especially if there are multiple base currencies involved) as it can consolidate all entities into the same currency to allow for easy comparison and a single value for the whole organisation. The module also eliminates intercompany values so the consolidated figures do not account for any costs and revenue gained by intercompany activity. The consolidation module does not just work at the GL account level, it expands to all standard dimensions.

User Access

With Intacct, you can have a single login for all entities making it easier to switch between each. See the below example for the “Entity Switcher” which allows you to easily change the entity you would like to work in:

The list of available entities can also be restricted on a per-user basis. Selecting an entity opens a new tab on your internet browser leaving the current tab open. This allows for multiple entities to be open at one time and to flick between them seamlessly.

TOP TIP: Change between tabs by using a keyboard shortcut

Ctrl+Tab (Forward through the tabs)

Ctrl+Shift+Tab (Backward through the tabs)

Adding Entities

Adding new entities to Intacct can be done with ease. Adding a new entity can be as simple as setting up a new customer, assuming that they share the above dimensions and chart of accounts a new entity can be added in less than a day. This means the finance system should be able to keep up with whatever rapid growth or expansion your organisation may experience.

FAQs

Can I have a different Chart of Accounts per entity?

No, Intacct only allows for a single Chart of Accounts. However, there is a feature that should act as a useful alternative. Reporting accounts allows you to alternative codes that the single chart accounts can be mapped to. This can come in handy if a single entity has a different structure from the rest of the group. See below:

Create a reporting account set.

Can I use a bank account that is not within the entity?

Yes, within Intacct you can pay suppliers using a bank account that is not owned by the entity. You can also receive money from a customer in a bank account that is not owned by the entity. Both will result in an automatic intercompany entry.

Note: this can be disabled if required.

 Can I do a consolidated aged debt/creditor?

Yes, if every entity has the same base currency this is available as standard. If you have entities with different base currencies, this becomes available with Global consolidations.

Why choose itas as your Sage Intacct partner?

Here at itas, we have a great track record of delivering multi-entity sites with over 75% of our customers requiring the functionality, all varying in complexity and size.

For those of you looking for some extra guidance on Sage Intacct or just want to learn more, we have a library of free Sage Intacct help guides that are growing weekly.

If you’re not currently a Sage Intacct user, but interested in finding out more about the product, click here. We also have an on-demand demo of Sage Intacct that you can watch whenever you have a spare 20 minutes! You can watch it here.

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