Director loans
Accounting › Director loans.
A director loan account records money that moves between a director and their company: a director paying a company cost personally, or taking money out other than as salary or dividends.
Set up
Section titled “Set up”Add a company-level director loan account for each director, choosing the Director name. Director loan accounts belong to the legal entity and are recorded once, in the company ledger.
- When you reconcile a bank row that is a payment to or from a director, post it against that director’s loan account.
- Bank rules for outgoing payments to a director use the director in place of a supplier.