May 18th, 2021

How to remap a chart of accounts for a multi-entity business?

In this first blog in our bite-sized how-to series, we look at how you can re-map your chart of accounts across a multi-entity business for consolidated reporting.

Bite-sized how-to: Remapping your chart of accounts

Creating consolidated financial reports using spreadsheets for multi entity businesses is a real pain point. Time consuming and potentially error prone, these issues are made all the more pertinent when working with a non-standardised chart of accounts.

With Joiin, no longer will you have the stress at month-end of trying to match your chart of accounts across your business units. Simply create a Joiin custom report template to homogenise your chart of accounts and use it month-on-month at the click of a button.

Let’s take a look at how this works.

But first, what is a chart of accounts?

A chart of accounts (COA) is an index of the financial accounts in a company’s general ledger, broken down into sub categories to provide an insight into a company’s finances.

Example of a chart of accounts in Joiin

Often subsidiary companies contained within the same group have variations in their COA or are completely independent from one another, which can be down to a host of reasons such as a new company being enveloped into a group.

These differences can make producing consolidated reports difficult. Trying to match accounts and their values across companies for potentially thousands of transactions or painstakingly trying to standardise your general ledger one company at a time in your cloud accounting software, be it Xero, Quickbooks or Sage.

This is where Joiin’s custom reporting comes in.

So if you’re asking yourself, how can I re-map my chart of accounts across a multi-entity business for consolidated reporting? Here’s how it works in Joiin:

Joiin enables you to seamlessly remap your entire chart of accounts ready for automated consolidated financial reporting, working with data from your cloud software such as Xero, QuickBooks or Sage.

Within Joiin’s custom reporting you can create account groups that can manually map your GL codes across all your businesses, from your mismatched chart of accounts into one uniform ledger.

Once created, reports within Joiin can then be run month-on-month at the click of a button.

Top tip:

Joiin is great for producing consolidated reports and remapping your chart of accounts within our app, but did you know you can use Joiin as a tool to help you remap your chart of accounts in your source software (whether that’s Xero, QuickBooks or Sage)?

Example of reclassifying items in your chart of accounts

Joiin holds the information for every account within each of your entities from your source software, Xero, QuickBooks or Sage. Using our Chart of Accounts list you can easily see which accounts have variations between entities.

You can see from the above image that Abacus services classifies Postage and Freight differently from the rest of the group.

As a good housekeeping measure, you could go back to your cloud accounting software and reclassify any incorrect accounts, using Joiin as a guide.

Want to know more? Book in with one of our helpful support team for a custom reporting session, where we will show you how to get the best out of Joiin.

Or, watch the video below on re-mapping your chart of accounts in Joiin:

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