Choosing accounting software for an organization with multiple companies involves more than comparing features. Finance teams need to consider how each system manages legal entities, intercompany transactions, consolidated financial reporting, and access to financial information. Microsoft Dynamics 365 Business Central and Gravity Software both support multi-entity accounting, but their approaches to managing multiple companies differ.
Business Central is a comprehensive enterprise resource planning (ERP) solution that combines financial management with operational capabilities. Gravity Software is a cloud-based accounting solution designed specifically for organizations managing multiple entities within a single database.
For CFOs, Controllers, and accounting managers evaluating these solutions, understanding the differences in architecture, reporting, automation, and implementation requirements can help determine which platform best supports their organization.
Business Central vs Gravity Software: Key differences
The primary difference between Business Central and Gravity Software is how each platform organizes and manages financial information across multiple companies.
Business Central supports multiple companies within an environment, with each company maintaining its own accounting records and configuration. Its financial consolidation functionality combines information from participating companies into a designated consolidation company.
Gravity Software uses a single-database architecture designed for multi-entity accounting. Multiple legal entities operate within a shared accounting environment, allowing finance teams to manage entity-level transactions and consolidated financial information without maintaining separate company databases.
Both approaches support multi-company financial management. The better choice depends on the organization's operational requirements, reporting expectations, and preferred accounting workflows.
Business Central at a glance
- Comprehensive ERP functionality covering financial management, purchasing, inventory, sales, and operational processes.
- Support for multiple companies within a Business Central environment.
- Built-in intercompany transaction capabilities.
- Financial consolidation using a designated consolidation company.
- Integration with Microsoft 365 and other Microsoft business applications.
- Extensive implementation partner and extension ecosystem.
Gravity Software at a glance
- Multi-entity accounting within a single database.
- Automated intercompany transactions and consolidated financial reporting.
- Multi-currency accounting with entity-level visibility.
- Role-based security and Microsoft integrations.
Comparing multi-entity accounting architecture
Accounting architecture affects how financial information is organized, accessed, and consolidated. For organizations managing subsidiaries, holding companies, or multiple operating businesses, these differences can influence everyday accounting processes.
How Business Central manages multiple companies
Business Central allows organizations to create and manage multiple companies within the same environment. Each company maintains its own accounting records, including its general ledger and financial transactions.
Business Central also provides tools for intercompany transactions and financial consolidation. Companies can exchange accounting information through configured intercompany relationships, while consolidation functionality brings financial data together for group-level reporting.
This approach supports organizations with different operating requirements across their companies. However, finance teams should evaluate how company switching, account mapping, consolidation processing, and reporting workflows affect their daily activities.
How Gravity Software manages multiple entities
Gravity Software takes a different approach by managing multiple legal entities within a single accounting database.
Instead of organizing financial information into separate company databases, Gravity provides a shared environment where authorized users can work with multiple entities while maintaining appropriate financial controls.
This structure supports organizations that want to:
- Manage accounting activities across multiple legal entities from one environment.
- View individual company financial information and consolidated results.
- Standardize accounting processes across related businesses.
- Reduce repetitive data handling between entities.
- Maintain entity-level security and financial accountability.
- Support organizational growth as additional entities are established or acquired.
For a closer look at this approach, explore Gravity's multi-entity accounting software.
Intercompany accounting and transaction automation
Intercompany accounting becomes increasingly important as organizations add subsidiaries, shared services, or transactions between related businesses.
Without coordinated processes, accounting teams may spend additional time recording reciprocal entries, reconciling balances, and investigating differences between companies.
Intercompany accounting in Business Central
Business Central includes intercompany functionality for exchanging transactions between participating companies. These capabilities support intercompany general journals, sales and purchasing documents, and related accounting entries.
Organizations configure intercompany partners, account mappings, and transaction workflows to support these activities. Business Central can generate corresponding documents and journal entries for participating companies.
Its intercompany capabilities are built into the application, although setup and processing requirements depend on the organization's structure.
Microsoft provides additional information in its Business Central intercompany documentation.
Intercompany accounting in Gravity Software
Gravity Software provides automated intercompany accounting within its multi-entity environment.
Because participating entities are managed within the same database, finance teams can record and manage related-company transactions without transferring accounting information between separate company databases.
For organizations with recurring intercompany activity, this approach can help streamline:
- Due-to and due-from accounting entries.
- Transactions between related legal entities.
- Intercompany reconciliation processes.
- Financial reporting across participating companies.
- Review of intercompany activity during the month-end close.
The distinction is not whether Business Central supports intercompany accounting—it does. The consideration is how each platform's architecture and workflows fit the organization's transaction volume, entity structure, and accounting responsibilities.
Consolidated financial reporting across multiple companies
Consolidated financial reporting is often one of the most important requirements for organizations evaluating multi-entity accounting software.
Finance leaders need to understand the financial performance of individual businesses while also reviewing results across the organization.
Consolidated reporting in Business Central
Business Central provides financial consolidation functionality that combines general ledger information from participating companies into a consolidation company.
Its consolidation tools support companies with different charts of accounts, fiscal years, and currencies. Organizations configure consolidation relationships, account mappings, and applicable exchange rates.
Business Central also provides consolidated trial balance reporting and tools to support elimination entries. According to Microsoft's documentation, consolidation elimination adjustments are processed manually.
These capabilities can meet substantial financial reporting requirements. However, organizations should evaluate the preparation, processing, and reconciliation activities involved in producing consolidated statements.
For additional technical information, see Microsoft's financial consolidation documentation.
Consolidated reporting in Gravity Software
Gravity Software supports consolidated financial reporting across multiple entities managed within its shared database.
Finance teams can review individual company performance alongside consolidated financial results, helping management analyze financial information across the organization.
Depending on reporting requirements, organizations can analyze:
- Consolidated balance sheets and income statements.
- Financial performance by individual legal entity.
- Combined results across selected companies.
- Intercompany activity and consolidation adjustments.
- Financial information across multiple currencies.
Gravity also integrates with Power BI, allowing organizations to create dashboards and financial reports tailored to management and stakeholder requirements.
For finance teams that regularly need both consolidated and individual entity reporting, the ability to access financial information within a shared environment may simplify reporting workflows.
Business Central vs Gravity Software: Feature comparison
The following comparison highlights the differences most relevant to organizations evaluating accounting software for multiple legal entities.
| Capability | Gravity Software | Business Central |
|---|---|---|
| Multi-entity architecture | Multiple entities in one shared accounting database | Multiple companies with separate company records within an environment |
| Intercompany transactions | Built-in automation within the multi-entity environment | Built-in intercompany functionality with partner setup and mapping |
| Financial consolidation | Consolidated reporting across entities in a shared database | Consolidation into a designated consolidation company |
| Consolidation eliminations | Intercompany elimination functionality | Manual consolidation elimination adjustments supported by reporting tools |
| Multi-currency accounting | Multi-currency transactions and consolidated reporting | Multi-currency transactions and consolidation exchange rates |
| Financial reporting | Entity-level and consolidated reporting with Power BI integration | Financial reports, consolidation reports, and Power BI integration |
| Microsoft integration | Native Power Platform application with Microsoft integrations | Dynamics 365 application with Microsoft integrations |
| Operational ERP functionality | Finance-focused functionality with selected operational capabilities and integrations | Broader ERP capabilities, including inventory, purchasing, and supply chain processes |
| Implementation considerations | Entity configuration, accounting setup, data migration, and integrations | Company configuration, accounting setup, operational requirements, and integrations |
| Total cost of ownership | Depends on users, entities, modules, implementation, and integrations | Depends on licensing, implementation, extensions, and support |
Both solutions offer substantial accounting functionality. The best fit depends on whether an organization primarily needs comprehensive ERP capabilities or a financial management solution designed around multiple legal entities.
Microsoft integration, reporting, and security
Organizations already using Microsoft technologies may want an accounting solution that works with their existing applications, reporting tools, and security requirements.
Business Central and the Microsoft ecosystem
Business Central is part of the Microsoft Dynamics 365 product family and integrates with Microsoft business applications.
Its capabilities can support organizations that want financial management connected with operational processes such as purchasing, inventory, sales, and supply chain management.
Business Central also provides reporting and integration options that organizations can extend based on their requirements.
Gravity Software and the Microsoft ecosystem
Gravity Software is built natively on Microsoft's business application platform and uses Dataverse to support its financial management environment.
Organizations can use Microsoft reporting and automation capabilities alongside Gravity, including Power BI for financial analysis and Power Automate for business process workflows.
Gravity also supports role-based access controls that help organizations manage user permissions across legal entities and financial information.
For companies already using Microsoft 365, this provides an opportunity to align accounting, reporting, and collaboration tools within a familiar technology ecosystem.
Implementation and total cost of ownership
Software subscription pricing is only one component of an accounting system investment. Implementation, data migration, configuration, integrations, training, and ongoing support should also be considered.
Business Central implementation considerations
Business Central implementations vary based on the organization's accounting requirements and the operational functions included in the project.
A multi-company implementation may involve:
- Creating and configuring participating companies.
- Establishing charts of accounts and financial dimensions.
- Configuring intercompany relationships and account mappings.
- Setting up financial consolidation processes.
- Migrating historical accounting and operational data.
- Configuring integrations, extensions, and reporting requirements.
Organizations requiring broader ERP functionality may also need to configure inventory, purchasing, supply chain, or other operational processes.
Gravity Software implementation considerations
Gravity Software implementations focus on establishing a centralized accounting environment that supports the organization's legal entities and financial processes.
Implementation planning may include:
- Defining the legal entity structure.
- Configuring the chart of accounts and financial dimensions.
- Establishing intercompany accounting processes.
- Setting up financial reporting and security permissions.
- Migrating accounting data from existing systems.
- Configuring required integrations and automation workflows.
Gravity's shared database architecture can reduce the need to maintain separate accounting databases for individual entities. However, actual implementation effort depends on the organization's requirements, data quality, and project scope.
Comparing total cost of ownership
When evaluating either solution, organizations should consider more than the initial software quote.
- Software licensing: User access, modules, and subscription requirements.
- Implementation: Configuration, migration, consulting, and training.
- Integrations: Connections to banking, payroll, reporting, and other business applications.
- Ongoing administration: System maintenance, support, and configuration changes.
- Reporting requirements: The effort required to prepare consolidated and entity-level financial information.
- Future growth: The cost and complexity of adding companies, users, and new business requirements.
A meaningful cost comparison should be based on the same business requirements and implementation scope rather than subscription pricing alone.
Which accounting solution is better for your organization?
Business Central and Gravity Software address different combinations of financial and operational requirements. Neither solution is automatically the best fit for every multi-entity organization.
When Business Central may be the better fit
Business Central may be appropriate for organizations that:
- Need comprehensive ERP functionality across accounting and operational departments.
- Require integrated inventory, purchasing, and supply chain management.
- Have complex operational processes that extend beyond financial management.
- Want access to a broad ecosystem of Dynamics 365 implementation partners and extensions.
- Prefer a general-purpose ERP platform that supports both financial and operational requirements.
When Gravity Software may be the better fit
Gravity Software may be appropriate for organizations that:
- Operate multiple subsidiaries, LLCs, holding companies, or related businesses.
- Have finance teams responsible for accounting across several legal entities.
- Prepare consolidated financial statements regularly.
- Process frequent transactions between related companies.
- Prioritize financial management over broader operational ERP functionality.
These requirements are especially relevant to organizations with multiple legal entities, including real estate investment businesses, family offices, professional services organizations, and holding companies.
What should finance leaders evaluate before deciding?
Before selecting accounting software, CFOs and Controllers should evaluate how each platform will support their current accounting processes and future organizational structure.
1. How many legal entities will the organization manage?
Consider both the current number of entities and expected growth through acquisitions, expansion, or restructuring. Determine how each system accommodates additional companies and how that affects administration and reporting.
2. How frequently are consolidated financial statements required?
Organizations preparing consolidated reports every month may prioritize different capabilities than those consolidating only at year-end. Evaluate how each solution prepares financial information, handles adjustments, and supports reporting deadlines.
3. How much intercompany activity occurs?
Consider the number and types of transactions between related companies. Review how each system records reciprocal entries, supports reconciliations, and handles consolidation eliminations.
4. What reporting visibility does management need?
Determine whether stakeholders need company-level statements, consolidated financial reports, departmental analysis, or customized dashboards. Evaluate the steps required to produce and distribute those reports.
5. Does the organization need broader ERP functionality?
Accounting requirements should be evaluated alongside inventory, purchasing, supply chain, manufacturing, and other operational needs. A comprehensive ERP solution may be appropriate when those capabilities are central to the project.
6. What resources are available for implementation?
Assess the organization's internal accounting and technical resources, implementation budget, data migration requirements, and expected timeline. Request implementation proposals based on clearly defined requirements.
Real-world multi-entity accounting experiences
For organizations transitioning from accounting systems that were not designed around their multi-entity requirements, centralized financial management can make a meaningful difference.
One Gravity Software customer described the challenges of managing multiple companies across QuickBooks and Sage 500:
"QuickBooks and Sage 500 couldn't handle our multiple entity needs. We had to log in and out of different applications to get the needed data and wanted to run consolidated financials. With Gravity, our month-end and year-end audits provide us with one database to manage. This solution fills a void for mid-sized companies needing accounting software. It provides us with ERP functionalities at an affordable price."
Another customer managing 17 separate companies highlighted the value of consolidated reporting:
"The ability to create and prepare reports that roll up all 17 of our separate companies with ease. Working remotely, especially during the pandemic has been phenomenal!"
These experiences illustrate why organizations managing multiple businesses often prioritize centralized financial information, consolidated reporting, and simplified access to accounting data.
Making the right multi-entity accounting decision
The right accounting solution depends on your organization's financial and operational requirements. Business Central offers broader ERP functionality, while Gravity Software focuses on financial management for organizations operating multiple legal entities.
Before making a decision, consider how each platform supports your accounting workflows, reporting requirements, implementation resources, and future growth.
For a broader evaluation, explore our Microsoft Dynamics 365 Business Central alternative guide.
If your organization is evaluating accounting software for multiple companies, schedule a personalized demonstration to see how Gravity Software supports your requirements.
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Better. Smarter. Accounting.
Updated on November 6, 2026.