Creating asset groups

After setting up the company details for your new company, you'll need to create groups to collect your assets into.

 

Each asset in Fixed Assets must be assigned to a major group, a minor group, a branch and a department. These allow you to view summaries and reports of depreciation for parts of your company as you need to, rather than the entire company at once. In a small company, you might choose to create only one of each to keep things simple, but you still need to create them before adding assets.

 

New (2011) - There is now also an Asset General Ledger class, which is a grouping designed for posting to your accounts package.

 

Planning your groups

 

Before creating groups, you should spend a few moments thinking through how your assets are related. Fixed Assets supports three separate ways of relating assets: groups (both major and minor), branches, and departments.

 

Branches and departments aren't directly related to groups. Instead, they allow you to relate assets across groups in situations where you might have assets in separate physical locations or belonging to separate financial departments of your company.

 

Major groups are usually used to keep assets of the same type together. A typical medium-to-large business might have groups such as:

 

· Vehicles

· Buildings

· Office furniture

· Fittings

· Equipment

 

Minor groups are used to add more detail to groupings if necessary. For example, an Equipment major group might have minor groups such as:

 

· Computers

· Printers

· Network equipment

· Accessories

· Software

 

Branches would usually be set up to reflect different locations your business has. If your business only has one office, you'll probably just want to create a single branch record (such as "Head office"), but in other cases you should create a branch for each office.

 

Departments are used to reflect separate financial parts of your company. A company might have a set of departments such as the following:

 

· Administration

· Information technology

· Manufacturing

· Sales and marketing

 

However you decide to set up the three different types of grouping (groups, branches, and departments), bear in mind that the simpler they are, the easier they'll be to use. Having your groups defined so narrowly that you have only two or three assets in each minor group, for example, might let you create reports with a very fine level of detail, but could also make it difficult to find the groups in amongst all the others.

 

 

Creating groups

 

Once you've got some idea of how you want to organise your groups, you're ready to use the Groupings window to set them up. Select the Groupings command from the Administration menu.

 

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All of these can be renamed later, if necessary, and the Administration options can be set to allow assets to be moved between groups. If your company starts small and you've only created a single group, a single branch, and a single department, you can always add more and reassign assets as you grow!

 

 

What next?

 

Once you've set up the company details and prepared the groups, you're ready to begin entering assets. The Entering assets section describes how.