How do I classify our investor?
Is our primary investor considered a vendor, customer, employee or other? I'm trying to set him up in qb to post the initial equity deposit. Please advise.
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de4APgJPar3PKzacfA8pyY
08/21/09 1:26pm PDT
Viewed by asker 09/04/09 8:20am PDT
Viewed by asker 09/04/09 8:20am PDT
3 Replies
grrepovschcpa
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Allstar
Advisory council of community power users.
08/21/09 3:43pm PDT
Best Answer - Chosen by the Community
Hold the phone! What is the entity type? Is this an existing owner contributing capital? Or a new investor? If so, is this person buying stock in the company? And what percentage does this represent?
You would be best served to contact the accountant who will prepare the tax return. Once you determine all the above, you would create a journal entry and debit the bank account and credit the equity account.
Marc Barnes
Copper Canyon Tax
08/24/09 8:47am PDT
Latest post
Sorry, I should have been more clear. We are a startup S Corporation and this gentlemen is currently our only investor.
