How do loan accounts work
Question asked by Keith Charnley 12 years ago
How do I treat a loan to the Company? Interested to know on bank loans but also private loans and loans from another company. Cannot see any relevant help files
Accounting 
Hi,
You need to create a new account code for the loan account at settings > codes > add - type is "other liabilities." Director's loan accounts, and any to the loan account which you will use like a bank account to pay off bills from and received invoices into should be entered using money > banking > new bank account.
Enter money received From: Creditor's name Account Code: Loan Account.
You must 