The reconciliation and settlement of a company’s Intercompany trading balances is a challenge that grows exponentially with the number of subsidiaries. Intercompany transfers are estimated to equal 30 – 40% of the global economy. They trigger legal requirements, accounting challenges, operational stresses, and tax responsibilities.
Mishandled Intercompany Transactions could result in a material misstatement of a company’s financial statements.
Blockchain is an efficient way of providing Transparency, and Traceability in Intercompany Transactions. As per a review done by the International Data Corporation, 45% of industry leaders will use Blockchain as the primary Intercompany Transaction Management Technology. The data is completely in control and secure no matter whether it is hosted on Cloud or into your IT landscape.
An Intercompany Transaction on Blockchain serves to validate transfers and create a shared record. The ease of transactions and audit trail empowers with traceability of every transaction. The Distributed Ledger System empowers the movement of wealth and the sharing of information on a single-source database.
The Intercompany transaction on the Blockchain promises to positively impact your costs, your risks, and your flow of information.
Makes the process even faster
Seamless Benefit of interconnecting various entities easily and quickly
Ease of setup of and robust in functionality
Seamless benefit of interconnecting various entities easily and quickly
Continuous monitoring and continuous auditing.
Reduce risk and logistic costs
A paradigm shift to bring real-time accounting
Quicker wire transfers at a lower cost
Promotes transparency in the financial sector
Smart contracts with a self-executing algorithm
Rooting out money launderers & terrorist
Increased Transparency of Intercompany
Transaction via Blockchain.