Entity-Level Financial Impact of Intercompany Transactions

The IC Tool models the standalone financial impact of intercompany transactions on each legal entity using accounting-based data. It provides a consistent and transparent view of how intercompany pricing affects profitability, balance sheet position, liquidity, and capital metrics once intercompany charges are applied, supporting clearer analysis of entity outcomes and comparability across periods, jurisdictions, and reporting requirements. 

All calculations are performed using the same dataset and logic that drive the intercompany pricing engine, ensuring consistency across income statement and balance sheet analysis. 

{{brizy_dc_image_alt imageSrc=

Built for scaleups... used by:

{{brizy_dc_image_alt imageSrc=
{{brizy_dc_image_alt imageSrc=

& others

ENTITY-Level Financial views produced by iC Tool

The IC Tool provides an integrated entity-level view of intercompany pricing outcomes by applying calculated intercompany charges to accounting data and producing consistent financial views that reflect the full profit and loss and balance sheet impact of intercompany arrangements, enabling users to assess results using a single dataset and consistent logic aligned to the pricing engine and reporting structure. 

 

  • Starting from entity-level P&L and balance sheet data sourced from ERP or management reporting systems, ensuring accounting-based and auditable financial inputs at legal-entity level. 
  • Applying calculated intercompany charges to each legal entity in line with defined transfer pricing policies, ensuring consistent application of pricing outcomes across entities and periods. 
  • Reflecting intercompany pricing impacts across revenues, operating costs, margins, and balance sheet positions, providing a complete view of entity-level financial consequences. 
  • Producing entity-level financial views that incorporate the full effect of intercompany pricing outcomes on profitability and financial position. 
{{brizy_dc_image_alt imageSrc=

Financial Views Produced

The IC Tool generates structured entity-level financial outputs designed to support analysis, monitoring, and decision-making by finance, tax, and regulatory teams, with consistent linkage between intercompany pricing calculations and financial statement impacts, allowing period-on-period monitoring, variance explanation, and reporting alignment using the same underlying dataset and calculation logic. 

Entity Level P&L

Standalone profit and loss statements and balance sheets showing entity-level financial positions after intercompany pricing has been applied. 

Entity Level Margin & Profitai

Entity-level margins and profitability indicators reflecting the impact of intercompany charges on operating and net results. 

Period-on-period comparability

Period-on-period comparability of financial performance, enabling trend analysis and variance assessment of profitability and balance sheet movements over time. 

Compare transfer pricing options

Manual calculations vs iVC (Excel IC Tool) vs Enterprise ERP — at a glance.

# Feature Manual Recommended iVC (Excel IC Tool) Enterprise ERP
1 Price £ £££
2 Time to launch (setup complexity) Medium Long setup
3 Results speed Manual effort Fast
4 Dedicated account manager No Available
5 Accuracy Low High
6 Transparency Full Black-box logic
7 Customisability Fully customisable Low
8 Audit trail Low Low
9 Financial impact No Available
10 Automatic reconciliation No No
11 TP consultancy add-on No Software only
12 Best for Startups, <2 entities Large firms (€1b+ revenue, 50+ entities)

Manual

Baseline option

Price
£
Time to launch
Medium
Results speed
Manual effort
Account manager
No
Accuracy
Low
Transparency
Full
Customisability
Fully customisable
Audit trail
Low
Financial impact
No
Auto reconciliation
No
TP consultancy add-on
No
Best for
Startups, <2 entities

Enterprise ERP

Enterprise platform

Price
£££
Time to launch
Long setup
Results speed
Fast
Account manager
Available
Accuracy
High
Transparency
Black-box logic
Customisability
Low
Audit trail
Low
Financial impact
Available
Auto reconciliation
No
TP consultancy add-on
Software only
Best for
Large firms (€1b+ revenue, 50+ entities)

For regulated groups and capital-sensitive sectors

For regulated groups and capital-sensitive sectors, such as fintechs and financial services businesses, entity-level financial outcomes directly influence regulatory compliance, capital adequacy, and liquidity requirements. The IC Tool supports consistent analysis across these dimensions by providing a single, accounting-based dataset and aligned methodology that can support internal governance and external reporting expectations. 

IC Monitoring

Monitoring post-intercompany profitability at legal-entity level, supporting regulatory and internal performance assessments. 

Balance Sheet Movement Visibility

Providing visibility over balance sheet movements relevant for liquidity, funding, and capital planning analysis. 

Capital Adequacy Tracking

Supporting assessment of capital adequacy and solvency metrics driven by entity-level financial results. 

Single Accounting-Based Dataset

Offering a single accounting-based dataset for internal capital planning, regulatory reporting, and supervisory monitoring. 


Entity-Level Financial Impact Use cases

The IC Tool is typically used to support ongoing monitoring and analysis of entity-level financial outcomes after intercompany pricing, ensuring alignment between finance, tax, and regulatory views of legal-entity performance and financial position, and enabling consistent review of profitability, balance sheet impacts, and key metrics over time using the same intercompany pricing results and assumptions. 

Monitoring entity-level profitability after intercompany pricing has been applied across reporting periods. 

Liquidity analysis and capital adequacy assessments at legal-entity level for regulated and capital-sensitive businesses. 

Alignment and reconciliation between finance, tax, and regulatory views of entity-level financial outcomes. 

Book iC Tool demo