Close & reporting
Consolidations
Multiple Canadian entities, provinces or subsidiaries combined into one consolidated set of financials, intercompany balances eliminated, each entity's own Business Number and program accounts kept straight, and each entity still able to report on its own where it needs to.
Management report
Illustrative client · August 2026
CAD
| Line | Aug | Jul | |
|---|---|---|---|
| Revenue | 142,380 | 131,904 | +10,476 |
| Cost of sales | (51,260) | (48,115) | (3,145) |
| Gross profit | 91,120 | 83,789 | +7,331 |
| Payroll | (46,300) | (45,900) | (400) |
| SoftwareNoted | (6,480) | (5,490) | (990) |
| Rent | (8,000) | (8,000) | 0 |
| Other operating | (9,215) | (9,870) | +655 |
| Net income | 21,125 | 14,529 | +6,596 |
Reviewer's note
Software is up on last month after two seats were added mid-month. Revenue includes one milestone invoice that will not repeat next month.
Illustrative. An example of the document, not a client's figures.
What gets consolidated
The chart of accounts is mapped consistently across entities, intercompany transactions and balances are identified and eliminated, and a consolidated profit and loss and balance sheet is produced while entity-level financials are preserved alongside it. A consolidation checklist documents every elimination made, month over month.
Each entity keeps its own CRA footprint
A Canadian group with more than one incorporated entity needs a Business Number for each one that has its own GST/HST, payroll or other CRA program account, separate from the parent's own BN. Consolidation combines the numbers for management purposes; it does not merge the entities' actual CRA filing obligations, and we keep the two clearly apart in the working papers.
Cross-province and cross-border groups
A group operating across provinces carries a mixed GST/HST picture (Ontario at 13%, Nova Scotia at 14%, New Brunswick, Newfoundland and Labrador and Prince Edward Island at 15%, and 5% GST elsewhere) that has to be handled entity by entity before consolidation, not averaged across the group. Where one entity is a US or other foreign subsidiary, the consolidation also carries a currency translation step before eliminations.
Different software, one consolidated view
Entities do not need to run the same accounting software. We consolidate entities on QuickBooks Online, Xero or Sage 50, or a mix of the three, as long as the underlying data in each is reliable.
One pod across every entity
A single named pod is assigned across the whole group rather than one person per entity, so the person eliminating an intercompany balance between two subsidiaries already understands both sides of the transaction. That pod runs the consolidation as part of the same monthly close cycle for each entity, and the consolidated file, along with every entity-level file behind it, goes through a senior principal review before the pack reaches you.
Adding or removing an entity mid-year
Incorporating a new subsidiary, winding one down, or changing a group's ownership structure partway through the year changes what the consolidation has to carry from that point forward. When that happens, the change and the date it took effect are recorded in a handover memo so a bank, an investor or next year's auditor can see exactly when the group structure shifted rather than guessing from a gap in the numbers.
Priced per entity
Consolidation work is priced per entity on the pricing page, with the terms for adding a subsidiary set out in your engagement letter. You keep ownership of every entity's file, and a question about any one entity's numbers gets a reply within one business hour on business days.
Questions
Frequently asked questions: Consolidations
Do all entities need the same Business Number?
No. Each incorporated entity generally needs its own CRA Business Number once it has its own GST/HST, payroll or other program account; consolidation combines the reported numbers, it does not merge the entities' CRA accounts.
Does this handle multiple provinces?
Yes. Each entity's GST/HST position is worked out at the provincial rate that applies to it (13% to 15% in HST provinces, 5% GST elsewhere) before the group numbers are combined.
How are new entities added to an existing consolidation?
The new entity's chart of accounts is mapped to the group structure, and the change is recorded in a handover memo noting the date it took effect.
Do entities need to use the same software?
No. We consolidate entities running on QuickBooks Online, Xero or Sage 50, or a mix, as long as the data in each is reliable.
What exactly is included in consolidations?
Chart of accounts mapped consistently across entities, and intercompany transactions and balances identified and eliminated. This work runs inside NetSuite or Sage Intacct, whichever your business already has in place, and it rolls into your regular monthly close rather than sitting off to the side as a separate, unreconciled process.
Do all entities need to use the same accounting software?
No, though it makes the mapping easier. We can consolidate entities running on different software as long as the underlying data is reliable.
What is an intercompany elimination?
It removes transactions between your own entities, such as one subsidiary billing another, so the consolidated numbers show only activity with outside parties.
What is included in consolidations?
Consolidations covers chart of accounts mapped consistently across entities and intercompany transactions and balances identified and eliminated. The exact scope is agreed and set out in writing before work starts, so you know precisely what is and is not covered before the first deliverable arrives.
How is consolidations priced?
Pricing for consolidations depends on your transaction volume, the software you use, and how much cleanup is needed before ongoing work starts. Current ranges are published on the pricing page, and your exact fee is confirmed in writing before anything begins.
Related services
- Close & reportingMonth-end closeA repeatable monthly close that ties every account back to source records and hands you a finished set of financials on a predictable date each month.
- Close & reportingManagement reportsMonthly profit and loss, balance sheet and cash flow packaged with a plain-English narrative so the numbers explain themselves before anyone has to ask a question.
Next step
Talk to the team that would run your books
A short call covers your setup, your software and what a first month would look like. You get a written scope and price after it.