F&B Groups · Track 1 · Tutorial 1 of 2
Set up intercompany types for an F&B group
Before you clear anything, give each item that moves between your companies a type of its own, so it is filed and checked where your team expects it. This is the set-up that suits an F&B group.
1Know what moves between your companies
An F&B group usually has a holding company, restaurant companies, a central kitchen or procurement company that supplies them, a brand company that owns the brands, and a shared-services company. These are the items that move between them:
| From | To | What |
|---|---|---|
| Central kitchen | Restaurant companies | Food and finished goods at a mark-up |
| Brand company | Restaurant companies | Franchise royalties and marketing levies |
| Shared-services company | Restaurant companies | Management fees |
| Holding company | Restaurant companies | Loans and interest |
Each item should have a type of its own, so it is filed, listed and checked where your team expects it. Your group may not have all of them, or may have others: adjust the steps below to what your companies actually book.
2Switch types on and off
- Select the group, and open Settings → Global Settings → Intercompany Types.
- Click the switch on each type below that needs changing. Each switch is saved the moment you click it.
| Type | Change | For |
|---|---|---|
| Inventory Transfers | Keep on | The base for Kitchen Supplies. |
| Unrealised Profit | Switch on | The kitchen’s mark-up in stock the restaurants still hold. |
| Management Charges | Keep on | Management fees, and the base for the franchise types. |
| Trade Receivables / Payables | Keep on | Unpaid supply invoices, fees and levies. |
| Intercompany Loans | Switch on | Loans to restaurants for fit-outs and working capital. |
| Sales / Purchases / Services | Switch off | Groups whose food supply is under Kitchen Supplies leave it empty. |
A new group starts with Trade Receivables / Payables, Sales / Purchases / Services, Inventory Transfers and Management Charges switched on. Other Eliminations is always on. See Switch on and add intercompany types.
3Add types of your own
- Click Add type.
- In Type name, enter Kitchen Supplies.
- In Accounting treatment, choose Inventory Transfers, and click Save type.
- Add the others the same way.
| Type name | Accounting treatment | For |
|---|---|---|
| Kitchen Supplies | Inventory Transfers | Food and finished goods from the central kitchen. |
| Franchise Royalties | Management Charges | Royalties for the brands. |
| Marketing Levies | Management Charges | Levies for group marketing, kept apart from royalties. |
The accounting treatment decides how the type behaves and which accounts its entries accept. A type of your own is in the menu only while the built-in type it works like is switched on.
4Arrange the menu
- Click Manage menu.
- For each group below, enter its Group name and click Add group.
- Drag each type onto its group, and click Save menu.
| Group | Types in it |
|---|---|
| Supply | Inventory Transfers, Kitchen Supplies, Unrealised Profit |
| Brand and services | Franchise Royalties, Marketing Levies, Management Charges |
| Balances and funding | Trade Receivables / Payables, Intercompany Loans |
See Arrange the Intercompany menu for moving, renaming and removing groups.
Check
Intercompany in the sidebar shows the groups above, and each type of your own is listed on Intercompany Types with Kind Custom and status Active.
5If something goes wrong
| A type of your own isn’t in the menu | The built-in type it works like is switched off. Switch it on. |
|---|---|
| … cannot be used in this elimination type. | The type’s accounting treatment doesn’t accept that account. Check the table in Switch on and add intercompany types, and choose the treatment whose accounts fit. |
| The arrangement was lost | The dialog was closed without Save menu. Arrange it again and save. |
Want more detail? See the documentation