Consolidation & Multi-entity

Group reporting without the spreadsheet

Group CFOs often consolidate in spreadsheets each month. This add-on, planned for Year 3 (W4), works on the legal entity books already kept in Accounts. An entity group is a hierarchy of books with ownership percentage, control type, functional currency and consolidation method. Each entity's chart of accounts is mapped to a group chart, and a run cannot start while any account is unmapped.

Intercompany, done once

When entity A raises an intercompany invoice, a mirrored bill is created in entity B within the same tenant, sharing an intercompany reference. Intercompany receivables and payables, revenue and expense, and loans are matched, and mismatches land in a worklist with a reason: timing, FX or missing. AI suggests matches and drafts investigation messages to the counterpart entity's accountant, which a human sends.

Eliminations run on rules for intercompany balances and transactions; unrealised profit on inventory is planned later with Inventory. Currency translation uses closing rates for the balance sheet, average rates for P&L and historical rates for equity, with a translation reserve (verify the applicable standard with your auditors).

Runs and statements

A consolidation run has a status and snapshots, can be re-run with reversal, and locks when done. Consolidated P&L, balance sheet and cash flow show entity columns and an eliminations column. At GA the module adds non-controlling interest for partly owned subsidiaries, a group-level multi-GAAP adjustments book, intercompany netting proposals settled through Payments Hub with R4 approval (verify FEMA for cross-border), and import of trial balances from entities on other systems or other One3 tenants with a grant. Ownership changes mid-period are planned for W5.