Set Up Your Company

Maintaining your business transactions on a day-to-day basis is critical to your business. To keep a record of all your business transactions, you need to first create a company in TallyPrime. Through the company, you can also view and update all your transaction entries, as needed, and go through the financial reports based on the transactions that you maintain.

Create company: To create the company, just enter the company name, address and other details, such as financial year, security, and base currency information. Once you have created your company, based on your business preferences, you can use the accounting, inventory, payroll, and taxation features. You can also specify the tax registration details as applicable, such as GST, VAT, Excise, TCS, or TDS, which can be accounted for your transactions.

Security: All the business transactions that you maintain in the company remain safe. You can enable additional security options for your company to prevent unauthorised access to your transaction records.

If you have more than one user accessing your company, you can set up security for each user based on their roles.

You can create an account in TallyPrime for each user. Based on the user’s roles, you can access to the tasks the user can perform.

Multiple companies: Do you have more than one business? If yes, you can create multiple companies in TallyPrime, maintain transactions separately for each business, and also manage the returns for each company accordingly.

Group company: If you are maintaining multiple companies, you can get a consolidated view of such business reports by using the Group Company feature. Viewing the financial reports separately for each business and consolidating the accounts manually can be a tedious task.

Once you have set up your company in TallyPrime based on your business requirements, you can record and manage your day-to-day transactions, and track them – even remotely.

Create a Company to Record Business Transactions

You need to create a company to keep record of all your business transactions and view related financial reports. To create the company, just enter the company name and address and update other details, such as contact and financial year information.

Create a company

1. On launching TallyPrime, select Create Company.
   • If you already have one company open and would like to create another company, press Alt+K (Company) > Create.
2. Provide the Company details.
   1. Enter the Name, Mailing name, and Address. For more information, click here.

      By default, your company data will be saved in the location specified under Company Data Path, which is the same as the folder where TallyPrime is installed. For more information on configuring your data path, refer to Manage Your Company Data.

   2. Enter the State, Country, and other contact details. A sample image is shown below. These details can be printed on your invoices, if needed.  
   3. Accept the screen. As always, you can press Ctrl+A to save the details and create the company. You can set up the remaining company details (steps 3 and 4 below) anytime later.

      The name of new union territory Dadra & Nagar Haveli and Daman & Diu is provided in Release 6.6.3. All masters with Daman & Diu and Dadra & Nagar Haveli are automatically updated with the name of new union territory. The state/union territory name before merger is captured in State (before reorganisation) field. Retaining the pre-merger state/union territory name helps in managing transactions and tax returns from that period.

3. Set up financial year details and security options.
   1. Financial year beginning from: TallyPrime pre-fills this field based on the date settings of your computer and the Country selected in the Company Creation screen. For more information, click here.
   2. Books beginning from: By default, TallyPrime fills this field with the Financial year beginning from date. You can update this, as needed. Say you started your business and have maintained all business transactions since 1-Oct-2020. You can update the Books beginning from date to 1-Oct-2020, while the financial year will be 1-Apr-2020.
   3. Enable Edit Log: This is optional, available from TallyPrime Release 2.1 onwards. You can enable Set Edit Log applicability under F12 and enable Edit Log for the Company. This will help you to view Edit Log for the future activities that you will perform in masters and transactions.
      Furthermore, Company-level activities such as enabling or disabling the Edit Log feature, data migration, or data split that affect the Edit Log report of masters and transactions will be recorded in the Edit Log report under Company.
   4. Security: This is optional. You can enable security features such as TallyVault and User controls for your company anytime later.
      If you do not see the Security option, press F12 (Configure) > set the following options to Yes:
      • Use TallyVault Password to encrypt Company Data
      • Use User Access Control
4. Specify the Base Currency Information.
   You can set up the base currency depending on the currency used in your business to record transactions.
   To view all the options related to base currency, press F12 (Configure) > set Provide Additional Base Currency details to Yes.
   • If your business includes transactions in multiple currencies, refer to the Multi-currency topic.
5. Accept the Company Creation screen. As always, you can press Ctrl+A to save.
   Saving the company takes you to the Company Features screen, which displays that the company is created successfully.