--- description: This is a 2 Step Process Define Company Code Assign Company to Company Code Define Company Code Enter Transaction code SPRO in the command field In the next screen Select SAP reference IMG In next sc title: How to Create a Company in SAP & Assign Company Code image: https://www.guru99.com/images/assign-company-code-to-company-in-sap.png --- [Skip to content](#main) **โšก Smart Summary** Company code in SAP is the central organizational unit of Financial Accounting that represents an independent legal entity, created in two steps that define the company code and then assign it to a company. * ๐Ÿข **Company Code:** The smallest unit for which a complete set of legal financial statements is drawn. * ๐Ÿ”ง **Transaction OX02:** OX02 defines the company code; the assignment step links it to a company. * ๐Ÿ”— **Two-Step Setup:** First define the company code, then assign it to a company for consolidation. * ๐Ÿ’ฑ **Own Currency:** Each company code carries its own local currency, address, and country for legal reporting. * โœ… **Customizing Request:** Creating and assigning the company code is saved under a customizing request. * ๐Ÿค– **AI Assistance:** SAP Joule helps configure enterprise structure and answer company code questions. [ Read More ](javascript:void%280%29;) ![Assign Company Code to Company in SAP](https://www.guru99.com/images/assign-company-code-to-company-in-sap.png) ## What is a Company Code in SAP? A company code is the central organizational unit of Financial Accounting in SAP. It represents an independent legal entity for which a complete set of accounts and statutory financial statements, such as the balance sheet and profit and loss statement, can be prepared. Creating a company code is a two-step process: first define the company code, then assign it to a company. ## Company Code vs Company: What Is the Difference? The two units are often confused. The table below shows how they differ: | Aspect | Company Code | Company | | ------------ | ------------------------------------ | -------------------------------------- | | Purpose | Legal entity with statutory accounts | Consolidation of several company codes | | Level | Financial Accounting unit | Highest organizational unit | | Relationship | Many company codes | One company groups them | | Transaction | OX02 | OX15 | ## Define Company Code **Step 1)** Enter Transaction code SPRO in the command field. [](https://www.guru99.com/images/sap/2012/04/comcr01.png) **Step 2)** In the next screen, select SAP Reference IMG. [](https://www.guru99.com/images/sap/2012/04/comcr02.png) **Step 3)** In the next screen, Display IMG, follow the menu path: SAP Customizing Implementation Guide -> Enterprise Structure -> Definition -> Financial Accounting -> Edit, Copy, Delete, Check Company Code. [](https://www.guru99.com/images/sap/2012/04/comcd03.png) **Step 4)** In the next screen, select the activity Edit Company Code Data. [](https://www.guru99.com/images/sap/2012/04/comcd04.png) In the Change View Company Code screen: **Step 5)** Select New Entries. [](https://www.guru99.com/images/sap/2012/04/comcd05.png) **Step 6)** In the next screen, enter the following details: 1. Enter your unique Company Code number. 2. Enter the Company Name. 3. In the Additional Data section, enter the City. 4. Enter the Country for the company. 5. Enter the Local Currency. 6. Enter the Default Language. [](https://www.guru99.com/images/sap/2012/04/comcd06.png) **Step 7)** Click the Address Details button on the same screen. [](https://www.guru99.com/images/sap/2012/04/compcdn3.jpg) **Step 8)** Enter the address details for the company, which appear in print forms: 1. In the Name section, enter Title and Company Name. 2. In the Search Term section, enter Search term 1 and 2. 3. In the Street Address section, enter street, postal code, city, and country. 4. In the PO Box Address section, enter PO Box and postal code. 5. In the Communication section, enter the appropriate details. [](https://www.guru99.com/images/sap/2012/04/comcd071.png) **Step 9)** After completing this information, press Save ![Define Company Code in SAP]() and enter your Change Request number. [](https://www.guru99.com/images/sap/2012/04/comcd08.png) You have successfully created a new Company Code. ### RELATED ARTICLES * [How to Define Retained Earnings Account in SAP ](https://www.guru99.com/how-to-create-retained-earnings-account.html "How to Define Retained Earnings Account in SAP") * [How to Create One Time Customer FD01 in SAP ](https://www.guru99.com/how-to-create-one-time-customer-master.html "How to Create One Time Customer FD01 in SAP") * [Posting Rounding Differences in SAP Tutorial ](https://www.guru99.com/posting-rounding-differences.html "Posting Rounding Differences in SAP Tutorial") * [How To Create a Vendor Account Group in SAP FICO ](https://www.guru99.com/how-to-create-a-vendor-account-group.html "How To Create a Vendor Account Group in SAP FICO") ## Assign Company Code to Company **Step 1)** In the SAP Reference IMG, select the menu path: SAP Customizing Implementation Guide -> Enterprise Structure -> Assignment -> Financial Accounting -> Assign Company Code to Company. [](https://www.guru99.com/images/sap/2012/04/comas04.png) **Step 2)** In the next screen, enter the unique Company ID against the company code you want to assign to this company. [](https://www.guru99.com/images/sap/2012/04/comas03.png) **Step 3)** Press Save ![Assign Company Code to Company]() and enter the Customizing request number. [](https://www.guru99.com/images/sap/2012/04/comcd08.png) You have assigned the desired company code to the company. ## FAQs ๐Ÿ”ง Which transaction creates a company code in SAP? Transaction OX02 creates and edits a company code, reached in SPRO under Enterprise Structure, Definition, Financial Accounting, Edit Copy Delete Check Company Code. Many teams copy an existing company code with EC01 to inherit its settings. ๐Ÿ”ข Can one company have multiple company codes? Yes. A company can group many company codes in a one-to-many relationship. Each company code is an independent legal entity with its own accounts, while the company consolidates their financial statements for group reporting. ๐Ÿ’ฑ Why does each company code have its own currency? Each company code represents a separate legal entity that reports in its countryโ€™s currency. This local, or company code, currency is used for statutory financial statements, while group currency is handled at the company or controlling level. ๐Ÿค– Can AI speed up enterprise structure configuration in SAP? Yes. The SAP Joule AI copilot can explain company code settings, recommend copy templates, and answer enterprise structure questions in natural language, helping consultants configure organizational units faster and with fewer errors. ๐Ÿง  How does the SAP Joule AI copilot assist FICO consultants? SAP Joule, the generative AI copilot in S/4HANA Cloud, locates customizing steps, explains configuration fields, and answers natural-language questions about Financial Accounting, giving consultants intelligent, context-aware guidance during setup. #### Summarize this post with: ChatGPT Perplexity Grok Google AI **Stay Updated on AI** **Get Weekly AI Skills, Trends, Actionable Advice.** ##### Sign up for the newsletter Subscribe for Free You have successfully subscribed. Please check your inbox. ![AI-Newsletter]() Chosen by over **350,000+** professionals [Scroll to top ](#wrapper)Scroll to top ร— Toggle Menu Close Search for: Search ```json {"@context":"https://schema.org","@graph":[{"@type":"Organization","@id":"https://www.guru99.com/#organization","name":"Guru99","sameAs":["https://www.facebook.com/Guru99Official","https://twitter.com/guru99com"],"logo":{"@type":"ImageObject","@id":"https://www.guru99.com/#logo","url":"https://www.guru99.com/images/guru99-logo-v1-150x59.png","contentUrl":"https://www.guru99.com/images/guru99-logo-v1-150x59.png","caption":"Guru99","inLanguage":"en-US"}},{"@type":"WebSite","@id":"https://www.guru99.com/#website","url":"https://www.guru99.com","name":"Guru99","publisher":{"@id":"https://www.guru99.com/#organization"},"inLanguage":"en-US"},{"@type":"ImageObject","@id":"https://www.guru99.com/images/assign-company-code-to-company-in-sap.png","url":"https://www.guru99.com/images/assign-company-code-to-company-in-sap.png","width":"700","height":"250","caption":"Assign Company Code to Company in SAP","inLanguage":"en-US"},{"@type":"BreadcrumbList","@id":"https://www.guru99.com/how-to-create-a-company-code-and-assign-to-a-company.html#breadcrumb","itemListElement":[{"@type":"ListItem","position":"1","item":{"@id":"https://www.guru99.com","name":"Home"}},{"@type":"ListItem","position":"2","item":{"@id":"https://www.guru99.com/sap-fico-training-tutorials1","name":"SAP FICO"}},{"@type":"ListItem","position":"3","item":{"@id":"https://www.guru99.com/how-to-create-a-company-code-and-assign-to-a-company.html","name":"How to Create a Company in SAP & Assign Company Code"}}]},{"@type":"WebPage","@id":"https://www.guru99.com/how-to-create-a-company-code-and-assign-to-a-company.html#webpage","url":"https://www.guru99.com/how-to-create-a-company-code-and-assign-to-a-company.html","name":"How to Create a Company in SAP & Assign Company Code","dateModified":"2026-06-26T16:43:35+05:30","isPartOf":{"@id":"https://www.guru99.com/#website"},"primaryImageOfPage":{"@id":"https://www.guru99.com/images/assign-company-code-to-company-in-sap.png"},"inLanguage":"en-US","breadcrumb":{"@id":"https://www.guru99.com/how-to-create-a-company-code-and-assign-to-a-company.html#breadcrumb"}},{"@type":"Person","@id":"https://www.guru99.com/author/mason","name":"Mason Garcia","description":"I'm Mason Garcia, an SAP CRM, FICO, and HANA Consultant, specializing in configuring and optimizing SAP systems for enhanced business performance.","url":"https://www.guru99.com/author/mason","image":{"@type":"ImageObject","@id":"https://www.guru99.com/images/mason-garcia-author.png","url":"https://www.guru99.com/images/mason-garcia-author.png","caption":"Mason Garcia","inLanguage":"en-US"},"worksFor":{"@id":"https://www.guru99.com/#organization"}},{"articleSection":"SAP FICO","headline":"How to Create a Company in SAP & Assign Company Code","description":"This is a 2 Step Process Define Company Code Assign Company to Company Code Define Company Code Enter Transaction code SPRO in the command field In the next screen Select SAP reference IMG In next sc","keywords":"sap-fi","speakable":{"@type":"SpeakableSpecification","cssSelector":[".entry-title",".summary"]},"@type":"Article","author":{"@id":"https://www.guru99.com/author/mason","name":"Mason Garcia"},"dateModified":"2026-06-26T16:43:35+05:30","image":{"@id":"https://www.guru99.com/images/assign-company-code-to-company-in-sap.png"},"copyrightYear":"2026","name":"How to Create a Company in SAP & Assign Company Code","subjectOf":[{"@type":"HowTo","name":"How to Create a Company Code","description":"Creating Company Code is a 2 Step process","step":[{"@type":"HowToStep","name":"Step 1) Enter Transaction code","text":"Enter Transaction code SPRO in the command field","image":{"@type":"ImageObject","url":"https://cdn.guru99.com/images/sap/2012/04/comcr01.png"},"url":"https://www.guru99.com/how-to-create-a-company-code-and-assign-to-a-company.html#step1"},{"@type":"HowToStep","name":"Step 2) Select SAP reference IMG","text":") In the next screen Select SAP reference IMG","image":{"@type":"ImageObject","url":"https://cdn.guru99.com/images/sap/2012/04/comcr02.png"},"url":"https://www.guru99.com/how-to-create-a-company-code-and-assign-to-a-company.html#step2"},{"@type":"HowToStep","name":"Step 3) Display IMG follow the menu path","text":"SAP Customizing Implementation Guide -> Enterprise Structure ->Definition->Financial Accounting->Edit, Copy, Delete, Check Company Code","image":{"@type":"ImageObject","url":"https://cdn.guru99.com/images/sap/2012/04/comcd03.png"},"url":"https://www.guru99.com/how-to-create-a-company-code-and-assign-to-a-company.html#step3"},{"@type":"HowToStep","name":"Step 4) Select activity - 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