Divisions
What is a Division?
You can create a Division if you would like to have multiple projections within the one file. There are various circumstances when this might be useful including multiple locations or income streams. Divisions will allow you to have 2 layers of reporting; either at the divisional level or the consolidated level (All Divisions). A 3rd layer of reporting might be required when multiple business entities exist. In this case you would need to setup multiple Magnifi files and use the Divisional reporting within the relevant files. Refer to Consolidations for more information.
How do I create a Division?
The organisation chart is located on the Home Page. If you click on the + symbol underneath the organisation name, it will allow you to create a division as shown below.
How do I assign accounts to a Division?
In the Chart of Accounts, you can allocate an account to a Division in the "Division" column as shown below;
It is not necessary to assign all accounts to a Division. If an account has not been assigned to a Division, it will appear at the "All Divisions" (ie consolidated) level only.
If you only want to report on Divisions to the Gross Profit line, you can allocate the income and Direct Costs to a Division, and leave the overhead expenses unassigned.
How do I assign employees to a Division?
You can allocate an employee to a Division in the employee section as shown below;
If an employee has not been assigned to a Division, they will appear at the "All Divisions" (ie consolidated) level.
You can allocate employees to a division in "bulk", by clicking on "Division Allocation" that appears under "Labour Drivers".
How do I exclude Inter-Entity transactions?
If you have consolidated multiple organisations, you may want to exclude certain "inter-entity" transactions from the consolidated view. You can specify the "inter-entity" transactions under Chart of Accounts.