Intercompany Trading and Consolidation

The problem groups actually have

When a group runs more than one SAP Business One company database, every internal sale becomes two pieces of paperwork. Someone raises an A/R Invoice in the selling entity, emails the PDF, and someone else keys an A/P Invoice into the buying entity — usually days later, sometimes with a different item code, a different tax code, and a rounded exchange rate. At month end the finance team exports trial balances into a spreadsheet, hunts for the pairs that do not agree, and posts manual Journal Entries to force the due-to/due-from accounts to net to zero before anything can be consolidated.

Standard SAP Business One has no notion that Company A's customer is Company B. There is no linkage between the A/R Invoice in one database and the A/P Invoice in another, no automatic elimination of internal revenue and cost, and no built-in consolidated balance sheet across databases. Everything that makes group reporting work is done by hand, outside the ERP, in a workbook that only one person understands.

What ECOSIRE builds

ECOSIRE builds a per-tenant SAP Business One add-on that treats your entities as one trading network. It is written against the Service Layer for document creation across databases and the DI API where object coverage or transactional behaviour requires it, with all configuration and cross-database linkage stored in User-Defined Tables and User-Defined Objects so it upgrades cleanly with your system.

Entity and partner mapping

We build a UDT-backed mapping registry that pairs each company database with its counterpart Business Partner records: the customer code that represents Entity B inside Entity A, and the supplier code that represents Entity A inside Entity B. The same registry maps item codes where the entities use different numbering, warehouses for stock transfers, tax codes, price lists, and the due-to/due-from control accounts on both sides. Nothing about the pairing is hardcoded — finance maintains it in a UDO screen inside SAP Business One.

Mirrored document creation

When a Sales Order, Delivery, or A/R Invoice is added in the selling entity against a mapped intercompany Business Partner, the add-on creates the corresponding Purchase Order, Goods Receipt PO, or A/P Invoice in the buying entity's database through the Service Layer. Line items are translated using the item map, quantities and prices carried across, and both documents stamped with a shared intercompany transaction reference in UDFs on the marketing document header and rows. That reference is what makes the pair auditable in both directions: from the A/P Invoice you can see which A/R Invoice created it, and vice versa.

The mirroring is queued and idempotent. If the target database is offline or a mapping is missing, the document lands in a retry queue with the failure reason rather than silently disappearing, and a retry never produces a duplicate because the transaction reference is checked before posting.

Transfer pricing and currency handling

Markup rules are configured per entity pair and per item group — cost plus a percentage, a dedicated intercompany price list, or a fixed transfer price. Where the two entities post in different local currencies, the add-on writes the document currency and rate consistently on both sides so the pair reconciles at group level, and the unrealised difference is posted to the account you nominate rather than being absorbed silently into the mirrored document.

Reconciliation and eliminations

A reconciliation screen lists every intercompany pair with its status: matched, mismatched on amount, mismatched on date, or unmatched on one side. From that screen the finance team can drill into either document, accept a tolerance, or generate the balancing Journal Entry. For consolidation we build an elimination run that identifies internal revenue, internal cost, unrealised margin on stock still held inside the group, and the due-to/due-from balances, then produces the elimination Journal Entries in the consolidation company or exports them as a posting file, depending on the structure you choose during scoping.

Consolidated reporting

We deliver consolidated trial balance, profit and loss, and balance sheet output built as Crystal Reports layouts registered inside SAP Business One, driven by a mapping from each entity's chart of accounts to a group chart. Where you already report out of an external BI tool, we deliver the consolidated dataset as SQL views or HANA calculation views instead and leave the presentation layer to you — this is decided in scoping, not assumed.

Who this is for

Groups running two or more SAP Business One company databases that trade with each other: a manufacturing entity selling to a distribution entity, a holding company recharging shared services, regional sales companies buying from a central importer, or any structure where the same economic transaction has to exist twice. It is equally relevant where the entities sit in different countries and currencies, and where the group has an audit requirement to show that intercompany balances agree before consolidation.

It is not for single-database companies using branches or dimensions — SAP Business One already handles that natively and an add-on would add cost without value.

Technical fit

The add-on targets SAP Business One 10.0 on Microsoft SQL Server and on SAP HANA, on-premise or hosted in your cloud tenancy. Cross-database work runs through the Service Layer using a dedicated integration user per company; where a document type or field is not exposed cleanly through the Service Layer we fall back to the DI API on a service host. All persistent configuration lives in UDTs and UDOs, all document linkage in UDFs, and approval-sensitive actions respect your existing approval procedures rather than bypassing them.

How delivery works

1. Scoping call. We walk your entity structure, the document types that flow between them, your transfer pricing policy, currencies, chart of accounts, and where consolidated reporting has to land. We look at your live databases with you.

2. Fixed quote. You receive a written scope and a fixed price before any code is written. Anything outside that scope is quoted separately rather than absorbed silently.

3. Build. ECOSIRE builds the add-on for your entity structure. Lead time is typically one working week depending on the number of entities and document types in scope. Nothing is pre-built — this is not a download.

4. Install in test. We install into your test company databases first, configure the mapping registry with your real codes, and run your own historic intercompany transactions through it so you can compare the result against what your team produced manually.

5. Install in production. Once you sign off on the test results we schedule the production install, migrate the configuration, and stand by through your first month-end close on the new process.

6. Support. A defined support window follows go-live for defect fixes and configuration questions, with the terms stated in your quote.