When i set up my company, i made an initial payment to start it off. How do i show this payment and show the bank balance reporting this?
Hi Steve,
I assume you are a company director? In that case, click menu File > New > General Transaction, then:
- Set the memo to 'Initial Capital Investment'
- Tick the 'Multiple Accounts' checkbox.
- In the To Account table enter 'Cheque Account' with the amount you deposited
- In the From Account table enter 'Share Capital' account with the amount of the registered share capital for the company
- Add a second line in the From Account table for the 'Directors Loan' account for the balance of the investment
I hope this makes sense - please let me know if you need more information.
Thanks Mark
How would i then record payments back of the directors loan?
Hi Steve,
Just create a General Transaction from the Cheque Account to the Directors Loan account.
Cheers,
Hello!
I would appreciate some further clarification on this please. I am a start-up ltd company sole director. I just recently opened my business account and deposited £1000 into this account from my own funds. Number of Shares held by me = 1 for which I paid £1. How do I account for this £1,000 investment by me into the business?
In addition, I paid for a few expenses prior to my business account being opened. This was paid from my personal funds - how would I show this in solar?
Thanks for your help
Hi Nick,
Create two General Transactions:
1. From the Share Capital account to the Cheque Account for £1
2. From the Directors Loan Account to the Cheque Account for £999
Record the expenses as normal (ie. Money Paid Out transactions) except set the Paid From Account to 'Directors Loan Account'
Regards,