Harsh Thakkar
← Product Expertise

Virtual Accounts Management

Designing flexible account structures that improve visibility, reconciliation and control.

THE PRODUCT PROPOSITION

Why Virtual Accounts Are Needed

As businesses grow, cash becomes spread across more entities, accounts and transaction flows — increasing the effort required to maintain accounts, reconcile activity and understand cash positions.

Virtual accounts organize activity through identifiable sub-ledgers linked to underlying physical accounts, improving visibility and reconciliation while reducing account complexity.

A CHALLENGING ENVIRONMENT FOR CORPORATES AND BANKS
◷30–100 daysLong time to open an account
↗High costsMaintain accounts and administrative relationships
◈32%Corporates not satisfied with cash visibility
◴52%Companies lack confidence in cash-flow forecasts
✎59%Resources manage processes like manual reconciliation
▣95%Effort wasted on items already matched
THE ACCOUNT ARCHITECTURE

One account architecture. Multiple treasury outcomes.

Virtual accounts can be structured by entity, customer, currency or purpose — supporting reconciliation, account rationalization, in-house banking and client money use cases within one architecture.

BUSINESS OBJECTIVESTRUCTUREPRODUCT OUTCOME
Enhanced ReconciliationIdentify incoming and outgoing cash at source.
Single EntityMulti-Entity
Payables & Receivables ManagementDedicated virtual identifiers for counterparties, invoices or cash-flow types.
Account RationalizationReduce dependency on large physical-account estates.
Single EntityMulti-Entity
Purpose-Based Account StructuresAP, AR, payroll, business unit or legal-entity virtual account hierarchies.
Multi-Currency StructuresOrganize cash visibility across currencies and entities.
Single EntityMulti-Entity
Currency-Level Virtual AccountsUSD, CAD, EUR and other currency structures under a controlled architecture.
In-House BankingCentralize treasury services for group entities.
Multi-Entity
Intercompany AdministrationSupport centralized funding, internal positions and treasury-led operating models.
Client Money & Embedded FinanceSegregate and attribute third-party funds at scale.
Multi-Entity
Client-Level VAs & Virtual WalletsThird-party fund management, escrow-style structures and embedded payment propositions.
THE TREASURY TRANSFORMATION

From fragmented accounts to a connected treasury structure.

Traditional growth can create layers of physical accounts, leaving cash and transaction information fragmented across the organization.

Virtual accounts preserve transaction-level identification while consolidating underlying balances, giving treasury clearer visibility, simpler reconciliation and greater control.

WITHOUT VAMFragmented physical account structure
Corporate ABC
↓
Business Unit A
Business Unit B
Business Unit C
↓
Vendor 1Vendor 2Vendor 3
Vendor 1Vendor 2Vendor 3
Vendor 1Vendor 2Vendor 3
↓
Physical A/C 1
Physical A/C 2
Physical A/C 3
↓
TREASURYComplex Treasury Operations
WITH VAMVendor-level detail with centralized cash
Corporate ABC
↓
Business Unit A
Business Unit B
Business Unit C
↓
Vendor 1Vendor 2Vendor 3
Vendor 1Vendor 2Vendor 3
Vendor 1Vendor 2Vendor 3
↓
VA 001VA 002VA 003
VA 004VA 005VA 006
VA 007VA 008VA 009
↓
↓
TREASURYSimplified Treasury Operations
MULTI-CURRENCY APPLICATIONS

Extending the model across currencies and markets.

For multinational businesses, cash can become fragmented across entities, currencies and local banking relationships.

Multi-currency virtual accounts keep flows identifiable while supporting a more centralized view of global cash positions.

Multi-currency virtual accounts use case showing decentralized and centralized treasury operations across a world map
Multiple local accounts Local borrowing Delayed visibility Manual reconciliation
Optimized intercompany lending Fewer multi-currency accounts Real-time cash visibility Auto-reconciliation
CHALLENGECash dispersed across subsidiaries, currencies and local bank accounts.
VAM SOLUTIONCentral account supported by currency-level virtual accounts.
OUTCOMEBetter visibility, reconciliation and liquidity control.