Entity Mapping - what is it and who can benefit from it?

What is an Entity Map?

An Entity Map offers a visual overview of your organization. It is created by using LEI codes only. Each LEI code represents a legal entity or business, and by visually charting the connections between these entities, you can gain a deeper understanding of how the company is structured across the board.

This type of mapping is presented as a simple organizational diagram. It allows you to observe the intricate relationships and hierarchies among the entities and identify any gaps or errors in your LEI structures. This is particularly valuable at a time when accurate and comprehensive data is necessary to stay compliant with existing regulations and local authorities.

Who can benefit from an Entity Map?

There are several organizations that can benefit from 'entity mapping' their business:

• Business owners and business managers can gain a deeper understanding of how their organization works. It can help them identify deficient structures and optimize decision-making processes.
• Banks, investment funds, and other financial institutions utilize Entity Maps to assess credit risk and fully comprehend the relationships between different entities in the context of M&A activities.
• Legal departments, including lawyers and auditors, use Entity Maps to monitor and ensure that they’re in compliance with current regulations and legislation. It makes it easier to identify potential risks and structural errors.
• Consultants and auditors can use Entity Maps as an effective tool for analysing and reporting on corporate structures and potential risks for their clients.
• Authorities and public agencies use Entity Maps to monitor and regulate companies within their jurisdictions. Having a clear picture of the company's structure makes it easier to identify individual entities and their interdependencies.

How do you get an Entity Map?

Historically, creating an Entity Map has been a time-consuming and costly process. At Global FinReg, we have developed an online tool that can generate an Entity Map in seconds - by using existing LEI codes only.

We have had numerous conversations with large international companies for whom getting a visual overview of their organization was an eye-opening experience. Once they see the potential flaws in their organizational structure, they realize that they may inadvertently be putting themselves at risk of fines and sanctions from local authorities.

If you want a better understanding of your organization's structure and use it to streamline your operations, we can help you by reviewing your LEI data. It’s free of charge, and this way, we can help you fill out the holes and ensure that your organization is compliant in all geographies and jurisdictions.

If you have 10 or more LEI codes, we would like to offer you a free LEI Entity Map.

Please contact us here, if you have questions or need help registering, renewing, or transferring your LEI code.