How to create a company in Business Central, with the choices explained
Here is how to create a company in Business Central. Open the Companies page and choose Create New Company. Name it, pick the starting data and add users. But the clicks take only a minute. The choices behind them matter more. You can begin empty, with setup data or as a copy, and that choice decides how much work follows. This guide covers both the steps and the choices.
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Before you create a company in Business Central
A company is a separate set of books inside an environment. It has its own chart of accounts, customers, vendors, items, postings and setup. Users, permission sets and extensions belong to the environment. All companies share them. So one person can switch between companies without signing in again.
Create a company for a distinct legal entity, or for a test copy. Do not create one for a branch, a department or a product line. Dimensions, locations and responsibility centers handle those inside one company. So reporting stays far easier that way. Splitting books across companies would force you to consolidate just to see one result.
Ask about company structure →
- ✓Its own ledger
- ✓Its own master data
- ✓Its own number series
- ✓Its own posting setup
- ✓Its own base currency
How to create a company in Business Central step by step
Search for Companies and open the page. Choose Create New Company, and a guide starts. Type the company name. Keep it clear, because users pick it from a list. Also avoid abbreviations that new staff will not know. Next, choose the type of starting data. Then add the users who need access and choose Finish.
First, Business Central builds the company in the background. The Setup Status column on the Companies page shows when it finishes. To work in the new company, open My Settings and change the Company field. You need an administrator role, or similar permissions, to create a company.
Get a hand creating →- ✓Open the Companies page
- ✓Choose Create New Company
- ✓Name the company
- ✓Select the data option
- ✓Add users and finish
Starting data when you create a company in Business Central
The guide offers several starting points. The evaluation options include sample customers, items and postings. They suit people who want to explore. The production option with setup data gives you a chart of accounts, posting groups and other basics, with no transactions. The option with no data gives you an empty shell for teams that load everything themselves.
For a real entity, pick setup data if the standard chart is close to what you want. Pick no data if you will import your own structure with a configuration package. Do not start a live company from an evaluation option. Removing the sample data later costs more effort than starting clean.
Pick the right option →- ✓Evaluation with sample data
- ✓Production with setup data
- ✓New with no data
- ✓Copy of another company
- ✓Configuration package load
Copying an existing company
On the Companies page, select a company and choose Copy. Give the copy a name. Business Central then duplicates setup, master data and posted transactions. It makes a handy training or test company that looks exactly like the real one on a given day.
However, a full copy is the wrong tool for a new legal entity that should share setup but not history. You would have to remove every transaction. Instead, export the setup tables from the existing company as a configuration package. Then apply that package to a fresh, empty company. This way the new entity gets your rules but starts with clean books.
Clone setup the clean way →- ✓Training companies
- ✓Testing a process change
- ✓Trial data loads
- ✓Year-end rehearsal
- ✓Troubleshooting a posting
After you create a company in Business Central
A new company needs more work before anyone posts. Complete Company Information. Create the accounting periods. Check General Ledger Setup, number series and posting groups. Add bank accounts. Give each user the right permission sets for this company. Then load master data and opening balances.
If the new company joins a group, plan intercompany partners and consolidation from the start, so the charts of accounts line up. If you want that designed well, or want several entities set up the same way, our consultants can work beside your finance team by screen share.
Plan a new entity →- ✓Company Information page
- ✓Accounting periods
- ✓General Ledger Setup
- ✓Bank accounts
- ✓User permissions per company
How to create a company in Business Central: FAQ
How many companies can I create in Business Central?
An environment can hold many companies. Your users' licenses cover access to all of them. The real limit is the storage your tenant includes. Check Microsoft's licensing guide for current capacity rules, or ask us to look at your tenant. So plan the number of companies with your storage in mind.
Do I need extra licenses to create a company in Business Central?
No. Business Central licenses each named user, not each company. The same people can work in every company in the tenant's environments. Extra storage or extra environments may cost more. Microsoft publishes those terms, so check them before you add environments.
Can I rename a company after creating it?
Yes. On the Companies page you can change the name. The Display Name field gives a friendlier label without a rename. A rename touches many records, so do it outside working hours. But also check integrations and scheduled jobs that call the company by name.
How do I delete a company I created by mistake?
Select it on the Companies page and choose Delete. This removes the company and all its data for good. Make sure it is the right one, and that you are not signed in to it. Teams often remove evaluation and test companies this way. If you only want to clear sample data, think about whether a clean new company is simpler. In many cases it is, and it keeps your numbering and setup tidy from day one. Because deletion is final, take a backup copy first if anything in it might matter.
Should I create a test company in production or in a sandbox?
A sandbox is the better place for anything that involves integrations, extensions or upgrades. It stays apart from live data. A copied company inside production works for simple training. Just make sure users can tell which company they are in. For example, give test companies a clear name such as Training.
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