Financial consolidation is the act of combining financial data from the various departments or subsidiaries of a business into one single set of financial statements. It is also the process that is followed in the preparation of both financial and cost accounts for more than one element or unit of an organization. This implication has serious importance for a business as it furnishes a complete picture of its financial efficiency and eliminates the confusion which may arise when different methods are used in financial statements. Moreover, the use of financial consolidation allows companies to align with accounting standards and regulatory requirements while ensuring compliance, and those are crucial steps for servicing transparency with stakeholders. It also has the benefit of contributing to the decision-making process of management through the insights it provides about the economic situation of the different segments of the business. The information that is supplied can be used for growth by providing it to support the budget and the strategy is one of the other major components of financial consolidation. Without correct financial consolidation, the enterprises can come across situations where they are unable to determine their actual condition or manage the risks effectively, thus causing a blow to their strategic planning and growth.