Companies and Branches in Acumatica

Manage Companies and Branches in Acumatica with the multi-entity configuration where one instance represents different business units. Have a look at their structural design.

Companies

Companies are the highest in the organizational hierarchy in Acumatica and are an independent legal entity. Every company works with its financial records and fiscal periods. Businesses can configure them in a way to has independent accounting, reporting, and tax requirements.
Companies in Acumatica are usually structured for businesses that have more than one legal entity and different financial reporting. For instance, a parent company and its subsidiaries. Each company has its chart of accounts, currency, tax settings, and reporting structure.

Branches (Subdivisions within a Company)

Branches are a sub-entity of a company, and any legal entity can further break down the business into separate operational or geographical units. They have the same basic settings as the parent company, such as chart of accounts and currency, but track and report them separately within the same financial structure. Branches are great for companies that need management reporting or operational tracking that is separate but not legal entities, such as regional offices or departments. The branch can also maintain its own configurations for warehouses, customer/vendor lists and employees that will detail the operations at the branch level.

Multi-Company Configuration of Acumatica

Intercompany Transactions: Acumatica also supports intercompany transactions across companies and their branches. This allows for consolidated reporting and central accounting.
Access Control: Users can be given access to specific companies and their branches based on role-based access that increases the security of the data and control of operations.
Consolidated Financial Reporting: This helps in producing reports of different companies and branches as combined data. In total, it gives an integrated view of financial health.

Conclusion

Acumatica has a structure that allows organizations to manage and report to complex corporate hierarchies: each entity‘s data could be tracked accurately, to be consolidated when it mattered. Companies and branches offered in Acumatica support flexible frameworks for reporting to and managing complex structures. This structure is also useful for operational useful separation and legal entity.

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