Multi-entity and intercompany accounting

Why multi-entity accounting breaks down

Intercompany complexity often develops gradually.

One entity pays expenses for another. Shared teams operate across companies. Funding moves between accounts without clear documentation. Over time:

• Intercompany balances do not reconcile

• Costs are allocated inconsistently

• Profitability by entity becomes unreliable

• Consolidated reporting requires manual adjustments

• Investor and lender reporting becomes difficult

These issues are not caused by multiple entities themselves. They arise when accounting systems are not designed to handle intercompany relationships systematically.

How we support multi-entity businesses

We support multi-entity U.S. businesses with accounting structures that are consistent and scalable.

Our work typically includes:

• Intercompany accounting frameworks

• Clear cost allocation policies

• Structured management charges

• Reconciliation of intercompany balances

• Consolidated reporting that rolls up cleanly

The objective is reliability. Financial statements should reconcile without manual workarounds and should withstand external review.

Who is this for

We work with:

• Groups with multiple U.S. entities

• Businesses with shared service structures

• Companies preparing for funding or sale

• Organizations with investor reporting requirements

• International groups operating U.S. subsidiaries

How we work

Our approach is systems-led and structured. We focus on documentation, consistency, and reporting discipline.

We do not rely on spreadsheet-based consolidation that becomes fragile as complexity increases.

--- Further reading & articles - see here ---

Multi-Entity Accounting for US Businesses: Why Intercompany Balances Break and How to Fix Them

Growing businesses often end up with multiple entities without planning for intercompany accounting. Learn why shared costs, management fees, and intercompany balances create financial reporting disasters, and how to structure multi-entity accounting that works for funding, M&A, and scale. Link

Not sure where to start? Antravia free Consultation

Disclaimer:
Content published by Antravia is provided for informational purposes only and reflects research, industry analysis, and our professional perspective. It does not constitute legal, tax, or accounting advice. Regulations vary by jurisdiction, and individual circumstances differ. Readers should seek advice from a qualified professional before making decisions that could affect their business. See also our Disclaimer page