First Entity and Org Chart
Entity Management

Updated:

Let’s add a simple Corporation with a couple of founders.

Step 1. Add Entity

Select the + Add Button

On the Entities tab, select the + Add button to start the process. Lextree will display the Add Entity page.

Complete the Add Entity Page

In the Legal Name field enter the entity’s registered name in the jurisdiction of incorporation. Select the place of incorporation in the Jurisdiction field. This field will display in jurisdictions created in Settings > Lookups, Folders, & Fields.

You can also add a new Jurisdiction by selecting the Add a new option link under the field. Lextree will pop up a form to capture the new jurisdiction. You only have to do that once. The new jurisdiction will be added to the list of jurisdictions.

Select the Form of Organization. The options come from Admin users in Settings > Lookups, Folders, & Fields.

You can add an optional Legal Address and Headquarters Address. To make them the same, check the Headquarters address same as legal address? checkbox. Lextree will hide the headquarters address fields and populate them with the data in the Legal Address field.

Choose a Registered Agent or add a new one with the Add a new option link. Enter the Incorporation Date.If the entity has any trade names, you can enter them in the Other Names field. However, there will be a place to record DBA filings later.

Any custom fields created by an Admin user will appear next. Otherwise, you can select or create Tags.Add any Notes to the entity record.

Finally, it is important to select a Group. Groups determine which users have access to the entity record. Admin users create groups and assign users to Groups in the Settings area.Select Submit to save. Lextree will display the Entity Details page for the new entity.

Step 2. Add Owners

We want to add two founders. In this example, they are both individuals, but they could be other entities.Navigate to the Ownership tab for our new entity. Here you will see a table for Parents and Subsidiaries.

IMPORTANT NOTE: Only add immediate parents and subsidiaries. Lextree will automatically create the relationships to build complex org charts.

To add immediate parents – the two founders in this example – select the + Add button. Lextree will display the Add Ownership page.

In the Type field, leave the default Parent option. If you want to add a subsidiary, change the value to Subsidiary.

The Entity field is powerful. First, it will display any entity, including individuals, to which you have access based on your Group assignments. Second, it will display both related and unrelated entities in the list. You can search in the field to see if the individuals are already added.

In this example, we want to add two founders who are not already in Lextree. We will select the Add a new option link. Lextree will display an Add Entity page.

At the Manage this entity? field select No, this entity is only for the org chart. We want this option because we do not want to track registrations and filings for these individuals. They are simply the owners.If the owner is an entity which we want to manage like our other entities, then we would choose Yes, this entity will have documents and details added later. But for now we choose No.

In the Legal Name field enter the first and last name of one of the founders. We will leave the rest of the fields blank for now, except the required Groups field.

Select Submit. Lextree will save the owner and return to the Add Ownership page in process. Notice that the name of the founder now appears in the Entity field.

Enter the Ownership Percentage as a whole number or a decimal number.

If you want to track the Acquisition Date or Disposition Date enter those values. You can also add any Notes about the ownership.

Select Submit to save this founder’s ownership.

We need to repeat this for the second founder. Now the Ownership tab displays both founders and their percentage.

Step 3. Generate the Org Chart

To view the Org Chart, select the Chart button at the top of the entity record. This org chart is fairly simple, because it only has two owners.

Here is an example of a more complex corporate family and ownership structure. The key to org charts is to enter the immediate parents and subsidiaries of each entity. Lextree will keep track and automatically build the connections for the org chart.