Side-by-side comparison

Gravity Software vs. Xledger: Multi-Entity Accounting Comparison

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Comparing Gravity Software and Xledger for multi-entity accounting

Organizations managing multiple companies need more than an accounting system that can simply create separate sets of books. They need financial technology that can simplify intercompany accounting, consolidate financial results, automate shared processes, and provide visibility across the entire organization.

Gravity Software and Xledger are cloud accounting solutions designed to address many of these requirements. Both offer strong multi-entity accounting capabilities, but they take different approaches to financial management, technology, automation, artificial intelligence, and broader ERP functionality.

Gravity Software is a cloud-based accounting solution built natively on the Microsoft Power Platform, with a focus on helping growing organizations manage sophisticated multi-entity financial requirements in one system.

Xledger is a cloud ERP that combines multi-entity accounting with broader functionality across areas such as procurement, project accounting, expenses, budgeting, and workflow.

Understanding these differences can help organizations determine which approach better aligns with their accounting requirements and long-term technology strategy.

The key difference: Both Gravity Software and Xledger provide sophisticated multi-entity accounting. Gravity combines financial management with Microsoft Copilot, Power BI, Power Automate, and the broader Microsoft ecosystem, while Xledger combines multi-entity accounting with a broader cloud ERP suite and its own automation and machine-learning capabilities.

  • Gravity Software vs. Xledger: Multi-entity accounting comparison

    • Gravity Software vs. Xledger: Multi-entity accounting comparison

    Gravity Software and Xledger both provide cloud-based multi-entity accounting designed to help organizations manage financial activity across multiple companies. Both support capabilities such as consolidated reporting, intercompany accounting, eliminations, multi-currency accounting, allocations, budgeting, and financial reporting.

    The differences become more apparent in how each platform delivers those capabilities and the technology surrounding them. Gravity combines multi-entity financial management with the Microsoft ecosystem, while Xledger provides multi-entity accounting within its broader cloud ERP platform.

    The following comparison highlights key capabilities organizations should consider when evaluating Gravity Software and Xledger.

    Gravity Software
    Xledger

    Cloud accounting

    Yes
    Yes

    Multi-entity accounting

    Native
    Native

    Consolidated financial reporting

    Yes
    Yes

    Intercompany accounting

    Automated
    Automated

    Eliminations

    Yes
    Yes

    Multi-currency accounting

    Yes
    Yes

    Entity hierarchies

    Yes
    Yes

    Financial allocations

    Advanced multi-entity and statistical allocations
    Multi-dimensional reallocations

    Budgeting

    Yes
    Yes

    Financial reporting and analytics

    Built-in Microsoft Power BI integration
    Built-in reporting and BI dashboards

    Open API

    Yes
    Yes

    Microsoft Power Platform

    Built natively on Microsoft Power Platform
    No

    Microsoft Dataverse

    Native
    No

    Power Automate

    Native Power Platform integration
    Open API and integration options

    Microsoft 365

    Integrated Microsoft ecosystem
    Integrations available

    AI and intelligent automation

    Microsoft 365 Copilot and AI-powered accounting capabilities
    Intelligent automation, OCR, and machine-learning capabilities
  • What should growing organizations compare?

    • What should growing organizations compare?

    When comparing sophisticated multi-entity accounting platforms, finance leaders should look beyond whether individual features are available. The evaluation should consider how each platform manages financial complexity across entities, supports automation and AI, fits within the organization's broader technology strategy, and scales as requirements evolve.

    • Multi-entity accounting and consolidated financial reporting
    • Automated intercompany transactions and eliminations
    • Entity hierarchies and ownership structures
    • Financial allocations across entities and dimensions
    • Multi-currency accounting and currency translation
    • Entity-level and consolidated financial visibility
    • Workflow automation and approval processes
    • Budgeting and forecasting capabilities
    • Financial reporting, dashboards, and analytics
    • AI capabilities and accounting automation
    • Integration, API, and extensibility
    • Underlying technology platform and ecosystem
    • Security, permissions, and audit trails
    • Implementation and support model
    • Scalability as entities and financial complexity increase
  • Multi-entity accounting and consolidation

    • Multi-entity accounting and consolidation

    Both Gravity Software and Xledger provide native functionality for organizations managing multiple entities.

    Gravity maintains financial information for multiple companies in a single database, allowing finance teams to work across entities without maintaining separate accounting databases. Organizations can manage shared financial information while maintaining appropriate financial and security controls at the entity level.

    Gravity also supports real-time consolidated financial reporting, helping finance teams analyze individual companies, groups of companies, or the organization as a whole.

    Xledger uses a hierarchical organizational structure that allows companies to manage entities and consolidate financial information at different levels of an organization.

    Both approaches can reduce much of the manual work associated with exporting financial information from separate accounting systems and combining it in spreadsheets.

  • Intercompany accounting

    • Intercompany accounting

    Intercompany accounting becomes increasingly difficult as organizations add subsidiaries, locations, funds, or other legal entities.

    Gravity automates intercompany accounting by creating the appropriate due-to and due-from transactions when activity occurs between entities. Finance teams can record activity across companies without manually creating corresponding journal entries in each entity.

    Gravity also allows invoices and shared expenses to be allocated across multiple entities while automatically creating the associated intercompany entries.

    Xledger also provides automated intercompany functionality. Transactions can be posted between entities within the same system, helping keep intercompany accounts balanced and simplifying reconciliation.

    For organizations evaluating either solution, the important consideration is not simply whether intercompany functionality exists, but how it supports the organization's actual transaction volume, allocation requirements, approval processes, and month-end close.

  • Financial allocations across multiple entities

    • Financial allocations across multiple entities

    Organizations with multiple companies frequently need to distribute shared expenses across entities, departments, locations, funds, or other dimensions.

    Gravity provides multi-entity allocation functionality that can distribute costs and revenues using allocation groups, percentages, allocation accounts, and statistical drivers.

    Organizations can use operational measures such as headcount, square footage, usage, or other statistics to determine how expenses should be distributed. Allocations can also be scheduled and posted directly to Accounts Payable or the General Ledger.

    This can be particularly valuable for organizations that currently calculate allocations in spreadsheets and manually create journal entries across multiple companies.

    Xledger also provides multi-dimensional reallocation capabilities for distributing costs and revenues across dimensions.

    Organizations with sophisticated allocation requirements should compare the specific allocation methodologies, automation, auditability, and intercompany accounting generated by each platform.

  • Multi-currency accounting

    • Multi-currency accounting

    Both Gravity Software and Xledger support organizations operating across multiple currencies.

    Gravity supports transaction, entity, and reporting currencies, allowing organizations to record transactions in one currency, maintain an entity's functional currency, and report financial results in another currency. Gravity also supports foreign currency revaluation and consolidated reporting across entities.

    Xledger supports multi-currency transactions, company currencies, currency revaluation, and group-level reporting currencies for organizations operating internationally.

    Organizations with international operations should evaluate how each platform handles transaction currencies, exchange rates, revaluation, currency translation, and consolidated financial reporting.

  • Microsoft Power Platform vs. Xledger's cloud ERP platform

    • Microsoft Power Platform vs. Xledger's cloud ERP platform

    One of the most significant differences between Gravity Software and Xledger is the underlying technology.

    Gravity Software is built natively on the Microsoft Power Platform and Microsoft Dataverse.

    This gives organizations access to a broader Microsoft technology environment that includes Power BI, Power Automate, Microsoft 365, Microsoft Teams, Excel, and Microsoft Copilot.

    Rather than connecting accounting to Microsoft solely through external integrations, Gravity's underlying architecture is part of Microsoft's business application platform.

    For organizations already standardized on Microsoft technology, this can help reduce disconnected systems and create opportunities to extend financial workflows beyond the accounting department.

    Xledger operates on its own cloud ERP platform and provides integrations and an open API for connecting with other business applications.

    The distinction is important for organizations considering not only what their accounting system needs to accomplish today, but how financial technology fits within their long-term technology strategy.

  • AI and accounting automation

    • AI and accounting automation

    Artificial intelligence is becoming an increasingly important consideration when organizations evaluate accounting technology.

    Both Gravity Software and Xledger use automation to reduce repetitive accounting work, but their approaches to AI differ.

    Xledger provides intelligent automation across financial processes, including OCR, purchase-to-pay workflows, bank feeds, automated reconciliation, and machine-learning capabilities.

    Gravity combines accounting automation with Microsoft's broader AI ecosystem.

    Because Gravity is built on Microsoft Power Platform and Dataverse, organizations can use Microsoft 365 Copilot with Gravity to access accounting information using natural language.

    Finance professionals can use AI to find accounting information, summarize financial data, generate visualizations, and interact with financial information through familiar Microsoft technology.

    For organizations developing a broader Microsoft AI strategy, the distinction extends beyond individual AI features. The evaluation can also consider how the accounting platform fits within the organization's broader investments in Copilot, automation, analytics, and business applications.

  • Reporting and financial visibility

    • Reporting and financial visibility

    Both platforms provide reporting across multiple entities.

    Gravity combines financial reporting with Microsoft Power BI, allowing organizations to analyze financial and operational information across companies using interactive dashboards and visualizations.

    Because financial data for multiple entities resides within a centralized accounting environment, finance teams can analyze consolidated results, individual companies, and financial dimensions without assembling information from disconnected accounting databases.

    Gravity also supports dimensional reporting across areas such as company, department, location, fund, project, and cost center without requiring organizations to continually expand the chart of accounts.

    Xledger provides built-in reporting and business intelligence dashboards with drill-down capabilities across entities, projects, and financial dimensions.

    The best approach depends in part on whether an organization prefers financial analytics within the Microsoft Power BI ecosystem or reporting and dashboards delivered primarily within its ERP platform.

  • Budgeting and forecasting

    • Budgeting and forecasting

    Both Gravity Software and Xledger support budgeting, although their approaches and breadth differ.

    Gravity provides budgeting capabilities that allow organizations to create and manage budgets while connecting budget information with financial reporting.

    Xledger offers broader budgeting and forecasting capabilities, including multi-year budgets, multiple budget versions, multi-dimensional budgeting, driver-based models, scenario analysis, and distributed budgeting.

    Organizations where sophisticated planning and forecasting are central requirements should evaluate the specific capabilities of each platform during the software selection process.

  • Security and auditability

    • Security and auditability

    Financial systems need to protect sensitive information while providing appropriate access across entities, departments, and responsibilities.

    Gravity uses the Microsoft security framework to provide role-, entity-, and field-level security. Organizations can control which financial information users can access while supporting authentication, audit trails, and other security requirements.

    Xledger also provides role-based access controls and auditability designed to support financial governance across organizations and entities.

    Organizations should compare security requirements based on their organizational structure, user responsibilities, compliance requirements, authentication standards, and audit processes.

  • Integration and extensibility

    • Integration and extensibility

    Modern accounting platforms increasingly need to exchange information with operational systems, reporting applications, banks, payment providers, CRM platforms, and other business technology.

    Both Gravity Software and Xledger provide APIs that allow organizations to connect financial information with external applications.

    Gravity's position within Microsoft Power Platform also provides access to Power Automate and the broader Microsoft business application ecosystem, creating additional opportunities to automate workflows and connect accounting with other business processes.

    Xledger provides an open API and integrations for connecting its cloud ERP with external applications.

    Organizations should consider both the integrations they need today and how easily the accounting platform can adapt as their technology environment evolves.

  • Implementation and support

    • Implementation and support

    Gravity Software and Xledger take different approaches to implementation.

    Gravity Software implementations are delivered through experienced implementation partners. This model gives organizations access to specialists who can help configure Gravity around accounting processes, migration requirements, integrations, and organizational structure.

    Xledger promotes a direct implementation and support model delivered by its own team using its implementation methodology.

    Neither approach is inherently better for every organization. Some companies may prefer working directly with their software provider throughout implementation, while others may value the flexibility and specialized expertise available through an implementation partner ecosystem.

  • When Gravity Software may be the better fit

    • When Gravity Software may be the better fit

    Gravity Software may be a strong fit for organizations that:

    • Manage multiple legal entities, subsidiaries, funds, or locations.
    • Need centralized financial management across companies.
    • Want real-time consolidated financial reporting.
    • Have significant intercompany accounting requirements.
    • Need sophisticated allocations across entities and financial dimensions.
    • Have outgrown QuickBooks or another entry-level accounting system.
    • Want accounting technology built natively on Microsoft Power Platform.
    • Use or plan to expand their use of Microsoft 365, Power BI, Power Automate, or Copilot.
    • Want advanced multi-entity financial management without implementing broader ERP functionality they do not require.
  • When Xledger may be the better fit

    • When Xledger may be the better fit

    Xledger may be a strong fit for organizations that:

    • Need sophisticated native multi-entity accounting and consolidation.
    • Want broader ERP functionality in addition to financial management.
    • Have significant project accounting requirements.
    • Need extensive budgeting and forecasting functionality.
    • Require broader procurement capabilities.
    • Prefer implementation and support delivered directly by the ERP provider.
  • Gravity Software or Xledger: Which should you choose?

    • Gravity Software or Xledger: Which should you choose?

    Gravity Software and Xledger are both capable cloud accounting platforms for organizations managing multiple entities.

    The right choice depends less on whether either system can support multi-entity accounting and more on the organization's broader financial requirements and technology strategy.

    Organizations primarily focused on sophisticated multi-entity financial management may find Gravity Software particularly compelling. Gravity combines centralized multi-entity accounting, automated intercompany transactions, financial allocations, consolidated reporting, and multi-currency capabilities with Microsoft Power Platform.

    For organizations already invested in Microsoft technology, Gravity also provides a path to connect financial management with Power BI, Power Automate, Microsoft 365, and Copilot within the broader Microsoft ecosystem.

    Xledger may be better aligned with organizations seeking a broader ERP environment where extensive project accounting, procurement, and budgeting capabilities are central to the software evaluation.

    The best accounting platform is ultimately the one that addresses the organization's financial complexity today while providing the technology foundation it needs to grow.

  • See how Gravity simplifies multi-entity accounting

    • See how Gravity simplifies multi-entity accounting

    See how Gravity Software brings multiple companies together in one cloud accounting platform.

    Watch Gravity's 7-minute demo highlights to see multi-entity accounting, intercompany automation, consolidated reporting, allocations, and Microsoft-powered financial management in action.

    Watch the 7-minute demo highlights

    Ready to see if Gravity is the right fit?

    Every multi-entity organization has different accounting requirements. See how Gravity Software can support your financial structure, processes, reporting needs, and long-term technology strategy.

    Schedule your personalized Gravity Software demo.

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