The Book-keepers Forum (BKF)
The Book-keepers Forum (UK) -> General Book-keeping & Accounting -> Capital introduced into Ltd Co
Post Info TOPIC: Capital introduced into Ltd Co
Amanda


Expert

Status: Offline
Posts: 1991
Date:
Capital introduced into Ltd Co
Permalink Closed

Hi Everyone,

I have a client who is a Ltd Co and he has paid in some money to the company (Capital introduced) do I stick it in the Directors Loan account or set up a new Capital introduced a/c in the COA?

I know in the past for a S/T I have set uo a new Capital introduced a/c in COA but I think it should be the DLA for LTD?  Can someone just clarify this for me please.  Having a brain dead moment today!

 

many thanks



__________________

Amanda
Susie Sue


Senior Member

Status: Offline
Posts: 345
Date:
Permalink Closed

I always put it through DLA - rightly or wrongly!!

__________________
Sue
Assist Office Services - Bradford Bookkeeper
Robert Pearce


Senior Member

Status: Offline
Posts: 266
Date:
Permalink Closed

Yes, you should credit the director's loan account.

__________________

Pearce & Co - Chartered Accountant and Chartered Tax Adviser 

www.pearceandcoaccountants.co.uk

These comments are outline only and are not a substitute for specific professional advice.
Robert Pearce


Senior Member

Status: Offline
Posts: 266
Date:
Permalink Closed

Yes, you should credit the director's loan account.



__________________

Pearce & Co - Chartered Accountant and Chartered Tax Adviser 

www.pearceandcoaccountants.co.uk

These comments are outline only and are not a substitute for specific professional advice.
MarkS


Expert

Status: Offline
Posts: 1501
Date:
Permalink Closed

Doesnt really matter what you call the account.

At the end of the day it is a loan the company owes a 3rd party.  Important thing is you can show at any point in time how much the company owes the 3rd party.

Regards

MarkS



__________________

Mark Stewart CA

http://stewartaccounting.co.uk/

Providing accounting, bookkeeping, payroll and tax services to small and medium sized businesses across Central Scotland and beyond.
kjmcculloch83


Expert

Status: Offline
Posts: 2085
Date:
Permalink Closed

To keep things right I would call it a DLA.

Kris

__________________

BKN Most Innovative Accountancy Firm 2012

Director and Co-Founder of The Bookkeepers Alliance

 
ADAS


Guru

Status: Offline
Posts: 827
Date:
Permalink Closed

I'd agree with Kris and Sue, it's a directors loan. Introducing capital into a limited company means buying shares to me.



__________________
Tony

Responses are intended as outline only. Formal advice should be sort from your Institutes Technical Department or a suitably qualified Accountant.
.
Amanda


Expert

Status: Offline
Posts: 1991
Date:
Permalink Closed

Many thanks to everyone, I'll stick it in the DLA, its nice to know what I thought was correct.

cheers,

__________________

Amanda
HendyPhilhendy


Guru

Status: Offline
Posts: 518
Date:
Permalink Closed

Disclosure on the company accounts is the key issue at year end also.

__________________

Phil Hendy, The Accountancy Mentor

Are you thinking of setting up your own practice or have you set up and need some help?

If so a mentor may be the way forward - feel free to get in touch and see how I can assist you. 

 
Page 1 of 1  sorted by
 
Quick Reply

Please log in to post quick replies.
The Book-keepers Forum (UK) -> General Book-keeping & Accounting -> Capital introduced into Ltd Co
Tweet this page Post to Digg Post to Del.icio.us
Members Login
Username 
 
Password 
    Remember Me  
©2007-2024 The Book-keepers Forum (BKF). All Rights Reserved. The Book-keepers Forum (BKF) is a trading division of Bookcert Ltd. Registered in England Company Number 05782923. 2 Laurel House, 1 Station Rd, Worle, Weston-super-Mare, North Somerset, BS22 6AR, United Kingdom. The Book-keepers Forum and BKF are trademarks of Bookcert Ltd. This forum is a discussion forum only. There will usually be more than one opinion to any question and any posting should not be viewed as a definitive solution. No responsibility for loss occasioned to any person acting or refraining from action as a result of any posting on this site is accepted by the contributors or The Book-keepers Forum. In all cases, appropriate professional advice should be sought before making a decision. We reserve the right to remove any postings which are offensive, libellous, self-promoting or engaged in covert marketing. We will not notify users of removals. The views expressed in the forum posts are those of the individual and do not necessary reflect or agree with those of The Book-keepers Forum. Any offensive or unsuitable posts will be removed by the moderators. Any reader of this forum can request for a post to be looked into by sending an email to: bookcertltd@gmail.com.

Privacy & Cookie Policy  About