I opened my business 4-1-09 but didn't have a business checking account until a few wks later. I spent $1029.42 of my personal cash to buy software, office supplies, etc. for the start up. How do record that in QB contractors edition 2009. How do i show as personal investment or can it be reimbursed back to me?
Yes--you can write a check for reimbursement to yourself and post it to the appropriate accounts (office supplies, etc.).
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Michelle L. Long, CPA, MBA
Author of the book "Successful QuickBooks Consulting: The Comprehensive Guide to Starting and Growing a QuickBooks Consulting Business"
National Trainer for Intuit Accounting Professionals Trainer/Writer Network
http://www.LongforSuccess.com
http://community.intuit.com/me...
You could write a check to reimburse yourself for such expenses. However, my experience has been that most small business owners do not have the cash flow to reimburse themselves.
Therefore, you can simply create an equity account called Working Capital Investment and then create a journal entry that debits the office supplies account $1,029.42 and credits the Working Capital Investment account $1,029.42.
You can then use the Working Capital Investment account each time you spend your personal funds to purchase items for the business.
This should solve your problem. Please click on the button in the lower-right corner to mark this answer as SOLVED. Otherwise, please post additional questions and I will respond accordingly. Thanks.
Randy Anderson, CPA
