New entities bring new intercompany accounting dynamics and considerations. Executing payables and managing expenses across entities is a much more significant task than before. It’s vital to respond with the right financial tech stack and ensure remote access for distributed teams.
Reconciliation, consolidation, and account and data management become increasingly important for multi-entity accounting teams. Spend management software provides consolidation and real-time reporting which support accounting teams in managing these areas.
We run through the various operational and accounting challenges of setting up a new entity and highlight the areas of best practice to overcome them. Interdepartmental challenges should be noted too, as accounting and finance teams will need to work with the whole firm to manage entities.
A significant challenge at both the parent and subsidiary level is to ensure controls and compliance for non-payroll spend. With spend management, these risks and tasks can be easily managed consistently at every level.
Spend management software can provide the consolidation, automation, and real-time reporting you need to keep your entities connected. Payments and expenses can all be managed in one place with ease. Airbase provides extensive functionality, and works with your ERP to track spending so that you can focus on growth.
Don’t let distribution result in disconnection. Implementing a spend management system means multi-subsidiary support in managing expenses and payables beyond payroll. Also, with secure, remote access, this system is built for scale so you can continue to grow. Read this ebook to find out how.
