The guide in this article is limited to setting up an additional company in a single-application database. To determine if you intend to setup in a single-application database, confirm that the additional company will share the same chart of accounts, fiscal calendar, shared ledger, flexkey definition (subaccount structure) and base currency.
Before you start setting up, prepare a working file that shows;
- The subaccounts that will be used by the company. The subaccounts clarify whether there are new codes in the subaccount structure that need to be first setup in the FlexKey table maintenance in Shared Information.
- The accounts for Due from and Due to will be used in the inter-company relations if it will be required in the operation of the companies. Other necessary accounts like the bank and cash accounts should as well be planned for if the company will be running separate accounts.
- The Inter-Company Account/Subaccount. This defines how the new company will relate with the existing companies regarding the Due from and Due to transactions, which the system automatically creates when the transactions are processed between or among companies.
The Multi-Company module is found in the Foundation focus area on the menu. To setup a new company, open the Company Setup screen (13.250.00). Enter the new company ID and make sure the Active check box is selected.
Using the working file you prepared earlier;
- If new codes the subaccount structure were identified, go to the Foundation focus area on the menu, then Shared Information. Open FlexKey Table Maintenance screen (21.330.00) and select the field type ‘SUBACCOUNT’. Type segment number of the subaccount where the new code will need to be maintained and use the lower grid to add the code. If no new codes were identified, move to the next step.
- Go to the Financials focus area on the menu, then General Ledger. Open the subaccount maintenance screen (01.270.00) to create the agreed subaccounts. Open the Chart of Accounts maintenance screen (01.260.00) to create the accounts agreed. Note: that the subaccounts and accounts are created while logged into the Parent Company. The company that was first setup is always treated as the parent company. Open the Account/Subaccount maintenance screen (01.320.00) to create account combinations with the newly created subaccounts.
- If inter-company transactions will be required between the new company and the old company, go to the Foundation focus area, then Multi-Company. Open the Inter-Company Acct\Sub Maintenance screen (13.260.00) and create the Due from and Due to relationships.