Multi-entity consolidation doesn’t break because of one big problem. It breaks because of many small ones.
Ledgers don’t line up. Subsidiaries close books on different calendars. Intercompany transactions aren’t always clean. FX rates vary, and no one remembers which version of the spreadsheet had the final numbers.
By the time the board asks for a consolidated view, you’re already behind.
This is why financial consolidation is hard, and why financial consolidation software matters. It doesn’t just speed up the close. It gives you a way to trust the output, explain what’s in it, and move forward faster.
The real reason multi-entity consolidation is so painful
It’s not just volume. It’s misalignment.
- Different accounting systems for different entities
- Different charts of accounts
- Different currencies, time zones, and cutoffs
- Different people running each book
- And no single place to see everything come together
So finance ends up stitching spreadsheets by hand. Copy-pasting trial balances. Searching for what changed. Rebuilding reports with every update. It’s slow, error-prone, and exhausting.
You’re not alone. The global financial consolidation software market is projected to grow from $2.7B in 2024 to $6.4B by 2032. The pain is universal. So is the need for something better.
What financial consolidation software actually does
It brings order to the chaos.
- Connect ledgers from multiple systems
- Standardize charts of accounts and dimensions
- Automate eliminations
- Apply live FX rates
- And output one clean set of reports everyone can use
With financial consolidation software like Runway, you don’t just close the books. You create a shared source of truth across entities.
Take Tixel. They consolidated operations across global markets, integrating multiple accounting systems and streamlining forecasting for each entity. What used to be a painful monthly close is now part of an always-on financial model.
When you need financial consolidation software
You don’t need ten entities and three currencies to feel the pain.
If any of this sounds familiar, it’s time:
- You’ve expanded into new countries
- You’ve acquired or spun out new subsidiaries
- You run multiple books for liability or regulatory reasons
- You’re preparing for fundraising or board reviews
Even two entities can make things messy. And once you hit three or more, manual methods stop working.
How Runway handles multi-entity consolidation
Runway doesn’t ask you to change how you operate. It works with what you’ve already got.
1. Connect all your ledgers
Whether you're using multiple QuickBooks accounts, Xero instances, or a mix of ERPs, Runway integrates them all. Each entity gets its own schema. You don’t need to consolidate upstream.
Set up each connector, and Runway pulls them into a unified model.
2. Tag entities and build structure
Each transaction gets tagged with its entity. This lets you filter, group, roll up, and drill down however you want—by geography, product line, legal structure, or team.
You can review a global P&L, then isolate EMEA in one click.
3. Automate eliminations
Inter-company transactions don’t belong in consolidated reports. Runway makes them easy to spot and remove.
- Map inter-company accounts once
- Tag GL lines for elimination
- Apply filters when generating consolidated views
It’s flexible. You can show eliminations when you need the clean version, or turn them off when reviewing subsidiary performance.
4. Handle FX the right way
Live FX feeds update automatically, pulled via Google Sheets or APIs.
Set conversion logic—average rate, end-of-month, or historical—and Runway handles the rest. You can report in both local currency and group currency without manual conversions.
Everything is formula-driven, so you can audit and update it anytime.
The result: faster close, cleaner reports
The real power of financial consolidation software isn’t just faster reporting. It’s confidence.
You know what’s included. You know what’s eliminated. You know which rates were used. You can explain every number in your management deck.
And if something changes, you can update it instantly—no need to redo 20 spreadsheets or re-email last month’s files.
Built to scale with you
Whether you're running two entities or twenty, Runway's financial consolidation software grows with you. As you add new subsidiaries, currencies, or reporting requirements, your model evolves—not breaks.
Close faster. Report better. And finally see the full picture.
Book a demo to see it in action.