Creating a QuickBooks Account for Inter-Company Loans
A bookkeeper has a client with two separate businesses. The owner frequently takes money from one business and transfers it to the other business (and vice versa) as a temporary loan. They seldom pay each other back, and if they do it is never for the amount that was borrowed. She wants to know if there’s a way to track this in QuickBooks with a single account.
Create a QuickBooks account named Loan To/From [name of other business) in both companies. It doesn’t matter whether you make this a Current Asset or a Current Liability. In both companies post each transaction to that account.