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How to manage intragroup financing in Agicap?
How to manage intragroup financing in Agicap?

Keep all your intercompany loans updated in one place, with automatic interest calculations and flexible draw-down or payback entries.

Updated over 2 weeks ago

What is intragroup financing?

Intragroup Financing lets you track any internal loan between your entities or from external custom lenders. Once enabled for your organization, you can oversee borrowed amounts, paybacks, and accrued interests.

How to enable the Intragroup Financing module?

  1. Contact your Agicap admin to have the feature activated.

  2. Once activated, it appears for all entities and consolidations in your organization.

  3. All users can access Intragroup Financing from the CashFlow menu. Select Financing -> Intragroup financing

How to create and edit a financing?

  1. Choose the lender and borrower: Pick any Agicap entity from your organization or a shared custom lender.

  2. Select the currency: You can use any currency to match local needs.

  3. Set an initial date and balance (optional): This is helpful when you're already mid-financing and want to start tracking from now without backdating.

  4. Save to confirm the creation of your financing.

How to record loan transactions?

  1. Add a draw-down if the borrower receives funds.

  2. Add a payback if the borrower repays capital to the lender.

  3. All transactions update the current balance immediately.

  4. For simultaneous capital and interest repayments, record both on the same day as separate movements.

How is interest calculated?

  1. Fixed-rate only: Interest accrues based on the financing’s interest rate.

  2. Accrued interest: Calculated day by day, considering each daily balance until the next transaction or the current date.

  3. Day count convention: Choose “exact/360” or “exact/365” to match your financing terms.

  4. Forecasted interest: View the projected interest for monthly, quarterly, or yearly horizons based on future transactions.

How to automate transfers from Cash Positioning?

When you confirm a manual or automatic balancing proposal across entities, any valid intragroup financing is updated to reflect the corresponding draw-down or payback.

💡 Tips

  • Use the initialization date for ongoing financing without needing full historical data.

  • Combine capital and interest repayment movements on a single date to handle capitalized interest.

  • Switch day count conventions if your legal or financial terms require precise calculations.

FAQ ❓

How do I manage multi-currency financing?

You can define each financing in its own currency. When adding transactions, make sure you match them with the financing’s currency for accurate records.

Can I set variable rates for interest?

Currently, Intragroup Financing supports fixed rates only. If you need to change the rate, you can create a new financing entry or edit the interest rate on a new start date.

What happens if I partially repay a loan?

Record the payback with the exact amount of capital you’re returning. This immediately reduces the outstanding balance and recalculates ongoing interest accordingly.

Which day count convention should I pick?

Use the one that matches your contract:

  • Exact/360 is typical in some banking contexts.

  • Exact/365 is common in other jurisdictions for a more precise daily calculation.

Can I forecast interest beyond the current year?

Yes. You can see the end-of-month, end-of-quarter, or end-of-year forecasts. Extending beyond the current year follows the same calculations, giving you visibility for future periods.

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