Spend money using different company bank account
Hi Everyone, Currently running 2 companies: Company A and Company B. However there's always some mistaken making payment through wrong company bank account. For example, Company A has an invo...
Hi MichelleC11
As explained by Keen, creating loan accounts for both companies is an easy way to deal with these situations.
In your example:
- In Company Y enter a Pay Bills transaction to pay that invoice, but change the Pay From Account to the Company Z loan account.
- In Company Z enter a Spend Money transaction for the amount of the invoice payment, the Pay From Account will be Company Z's bank account, and allocate to Company Y's loan account.
You can either transfer the money or leave it for the accountant to work out at the EOY. If you did transfer the money you would the need to record Transfer Money transactions. I answered another post on this recently which has a more detailed explanation of how this all works: Customer payments made into incorrect entities
Please let me know if you need further help.
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