Invoicing regarding owner's part-payment to pay the invoice.
- 5 years ago
Hi Ash_Rainer
Thanks for your post. Generally speaking you could create an Owner Loan account. As the company owes the Owner it would generally be a liability account and you would need to set the Account Type as Credit Card so that you can select it as the Pay From Account.
You could then record the payment of the 4th instalment in Pay Bills and select that owner loan account as the Pay From Account.
When the company reimburses the owner you would record a Transfer Money transaction. The Transfer Money From account would be the bank account you withdraw the money from and the Transfer Money To account would be the owner loan account. This will leave the owner loan account with a zero balance.
If you are unsure about creating the loan account or recording these transactions I do recommend speaking to your accountant.
Please let me know if you need further help.
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