Loans to establish a separate business

Highlighted
rcad
2 Posts
User
User

2Posts

0Kudos

0Solutions

Loans to establish a separate business

We are using Accountright.

We have established a second business (Company B).

Company A has loaned cash and also made payments (such as rent, showroom fitout, etc.) on behalf of Company B.

For Company A - if I setup an Asset account (Company B Loan Account) this will look after the cash loans and repayments.

My question is.... is it possible to get the payments on behalf of Company B (minus GST) into the same Asset account?

 

Thank you, 

3 REPLIES 3
Highlighted
Ultimate Partner IanChait
1,037 Posts
Ultimate Partner
Australia
Ultimate Partner

1,037Posts

751Kudos

191Solutions

Re: Loans to establish a separate business

Hi @rcad 

 

Each company should have it's own data file.

 

Create Inter-company Loan accounts in each file. Make them Banking or Credit Card Type accounts, and then you can record Receive Money and Spend Money transactions in them. Each time you pay something in Co A for Co B, record a spend money in Co A to the loan account. In Co B record a spend money from Co A loan account.


Regards
Ian Chait CA
Certified Consultant Melbourne
P/M 0417 479 585
Email ian@myfc.com.au

Highlighted
rcad
2 Posts
User
User

2Posts

0Kudos

0Solutions

Re: Loans to establish a separate business

Thank you Ian, I appreciate your advice.

Is there any easy way to treat payments on behalf of Company B so that Company A can take advantage of the GST paid and only charge the 'excluding GST cost' to the Asset Loan Account?

 

Thank you again.

Highlighted
MYOB Moderator Neil_M
11,863 Posts
MYOB Moderator
MYOB Moderator

11,863Posts

1,405Kudos

1,679Solutions

Re: Loans to establish a separate business

Hi @rcad 

 

This is probably something you will need to speak with your accountant about, as they would be able to advise of any ways that you could use to have company A pay the GST on behalf of company B

Regards,
Neil

MYOB Community Support

Online Help| Forum Search| my.MYOB| Download Page

Did my answer help?

Mark it as a SolutionHelpful? Leave a to tell others

Didn't find your answer here?

Try using advanced search to find a post more easily Advanced Search
or
Get the conversation started and make a new post Start a Post