Entity-level bookkeeping allows you to organize your properties, bank accounts, transactions, and reports by business entity for cleaner financial visibility and more accurate reporting.

This is especially useful for real estate investors managing multiple LLCs, partnerships, or business structures.

In this article, we will cover:

• What is an Entity
• Why Use Entity-Level Bookkeeping
• How to Create and Manage entities
• How to Create an Entity in Baselane
• How to Assign an Entity to a Property
• How to Link External Accounts to an entity
• How to Tag Transactions to an Entity and Automate
• Frequently Asked Questions

What is an Entity?

In real estate investing, an entity is a legal business structure that owns or operates property. Common examples include:

• LLC (Limited Liability Company) — the most common structure for rental investors; separates personal and business liability
• Partnership — two or more investors share ownership and responsibility
• S-Corp or C-Corp — less common for rental properties, but used in some portfolio structures
• Sole Proprietorship — no formal business structure; the investor owns property directly under their own name

Most investors start out owning properties in their own name. As their portfolio grows, they often move properties into one or more LLCs for liability protection, tax planning, or to keep the finances of different properties or investment strategies separate.

For example, if you own five properties across two LLCs, those are considered two separate entities. Each entity may have its own bank accounts, income, expenses, and tax obligations. Keeping your books organized at the entity level isn't just a best practice—it's often important for maintaining clear financial separation between business structures.

That's where Entity-Level Bookkeeping in Baselane comes in.

Entity-Level Bookkeeping allows you to organize your properties, bank accounts, transactions, and reports by entity, making it easier to manage multiple LLCs, partnerships, or business structures from a single platform.

Why Use Entity-Level Bookkeeping?

Entity-level bookkeeping allows you to organize your books by entity instead of only by property.

With entity bookkeeping, you can:

• Create entities.
• Group properties under entities.
• Associate external accounts with entities.
• Tag transactions directly to entities.
• Generate reports and tax packages by entity.

This is especially helpful for expenses or income not tied to a specific property, such as:

• Travel
• Legal expenses
• Administrative costs
• Business operations

How to Create and Manage Entities

You can create and manage entities directly within Baselane.

Entities can be created:

• From an existing Baselane Banking entity.
• By opening a new Baselane Banking account.
• As a standalone bookkeeping entity.

Once created, you can:

• Link properties.
• Associate external bank accounts and credit cards.
• View grouped properties and accounts by entity.

How to Create an Entity in Baselane

You can create an entity from the Properties or Banking section.

To create an entity from Properties:

1. Go to the Properties tab.
2. Click Add Entity.
3. Select the account type you would like to apply for:
   • Individual (Sole Proprietor)
   • Business Entity (LLC, Corporation, Partnership, etc.)
4. Complete the application.
5. Once approved, the entity bank account will be created.

To create an entity from Banking:

1. Go to the Banking section
2. Click Add Account
3. Select the account type you would like to apply for
   • Individual (Sole Proprietor)
   • Business Entity (LLC, Corporation, Partnership, etc.)
4. Complete the application.
5. Once approved, the entity bank account will be created.

After opening a Baselane Banking account:

You can create additional virtual accounts and assign them to specific properties to help organize income, expenses, and cash flow.

How to Assign an Entity to a Property

1. Go to the Properties tab.
2. Properties that are not currently assigned to an entity will appear under Not linked to any entity.
3. Click Link to entities.
4. Select the property you would like to assign.
5. Under Owned by, select the entity that owns the property.
6. Under Banking account, select the bank account associated with that entity.
7. Save changes.

Once assigned, the property will appear under the selected entity and be grouped accordingly throughout Baselane.

How to link external accounts to an entity

You can associate external bank accounts and credit cards with an entity to keep transactions and reporting organized.

1. Go to the Properties page.
2. View the properties not currently assigned to an entity under (Not linked to any entity).
3. Select View Details.
4. Select Link bank account within Set up a dedicated bank account.
5. Choose the external accounts you would like to associate with that property.
6. Save changes.

Once linked, transactions imported from those accounts can be filtered and reported at the entity level.

Tag Transactions to an Entity

Transactions can be tagged directly to an entity when they are not associated with a specific property.

Examples include:

• Travel expenses
• Legal fees
• Administrative costs
• General business operations

How to manually tag transactions

1. Go to the Transactions tab.
2. Locate the transaction.
3. Under Select property, the drawer will open to the Properties or Entities tab.
4. Select either a Property or an Entity to tag to the transaction.

How to bulk tag transactions

1. Bulk select multiple listed transactions, or search for transactions in the search bar.
2. Check the small box next to Date.
3. All transactions will be selected.
4. Click Edit.
5. Choose either the property or the entity for the selected transactions.
6. Click Save & Close.

How to tag transfers and money movements

1. Select Move Money under Banking or Transfers and Payments.
2. Select your transfer option (send, transfer, or add).
3. Navigate to the bookkeeping section (step 4).
4. Under the Property drop-down, select the Entities tab.
5. Choose the entity.
6. Select Next.

Automate Entity Bookkeeping

You can create bookkeeping rules that automatically tag transactions to a specific entity with Baselane Smart.

How to create entity tagging rules

1. Go to the Transactions tab.
2. Select Manage Automations.
3. Select Create New rule.
4. Define the transaction conditions.
5. Toggle Tag property or entity.
6. Select the entity.
7. Save the rule.

Rules can automatically categorize transactions based on:

• Account/card
• Description
• Amount

Filter Reports by Entity

Reports can be filtered and grouped by entity for cleaner financial reporting and tax preparation.

How to filter reports by entity

1. Go to the Reports tab.
2. Select the Properties dropdown.
3. Select Entities.

You can then:

• View income and expenses by entity
• Generate tax packages
• Review entity-level performance
• Download reports

Frequently Asked Questions 

Can I link multiple properties to one entity?

Yes. Multiple properties can be grouped under a single entity.

Can I link external bank accounts to entities?

Yes. External accounts can be associated with entities for cleaner bookkeeping and reporting.

Can I tag transactions to an entity instead of a property?

Yes. Transactions that are not property-specific can be tagged directly to an entity.

Can I automate entity tagging?

Yes. You can create bookkeeping rules to automatically tag transactions to entities.

Can I generate reports by entity?

Yes. Reports and tax packages can be filtered and grouped by entity.