Multiple Legal Entities compared to Separate Companies

Multiple Legal Entities

When to Use	Why
If more than one legal entity has similar policies.	Saves time setting up policies and processing tax forms.
If the same persons are administering payroll for more than one legal entity.	Saves time signing in/out as only one instance of TimeTrex is required.
If it is beneficial to have data from multiple entities appear on the same report.	To easily produce comparison reports with data from multiple entities. Pay stubs and tax forms can be generated for more than one entity at the same time, while still displaying the appropriate trade name and address associated with each entity.
If there is no intention to separate or sell a legal entity in the near future.	There would be more work involved to separate the legal entities.

When to Use	Why
If each company has different policies.	More time is required to set up two or more separate companies.
If there are different personnel administrating payroll for each company.	Payroll personnel only see the company data and employees they deal with.
If complete data separation is important and you will never need a single report that includes data from each company.	Reports cannot include data from more than one company.
If future plans include separating companies, for reasons such as, selling one particular company.	There is no extra work involved since the data is already separated.