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How do we set up subsidiaries and locations based on acquisitions?

edited Nov 25, 2025 11:52PM in Ask A Guru 5 comments

In NetSuite, how can we handle acquisitions where each acquired company initially retains its own EIN (and therefore needs to be set up as a separate subsidiary), but once the EIN is dropped, the company should no longer be treated as a subsidiary and instead be tracked as a location under the parent subsidiary?
Can we accommodate the following approach in NetSuite for this case?

  • Set up separate subsidiaries while each acquired company retains its EIN.
  • Once the EIN is dropped, mark the subsidiary inactive and continue operations using a location under the parent subsidiary.

Any inputs or suggestions would be greatly appreciated.

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