My business loaned money to another business how do I record this in my books?

Hi there stopattheoffice,

It's important that all your transactions be entered correctly for your books to be well balanced. QuickBooks Online is a great tool able to help you keep track of transactions so you can see reports about the financials of your business. I can point you in the right direction for assistance with entering this loan.

Within QuickBooks Online, there isn't a specific transaction for loans given out to another company, like expenses, bank deposits, or invoices, so you might need to create a journal entry to have this added to your books. To know which accounts you should be affecting, I recommend speaking to your accountant. Their expertise will be able to guide you in choosing the correct accounts, as well as advise if you need to create new accounts in your chart of accounts so that your books will be correctly balanced. You can invite your accountant to your QuickBooks Online account by clicking on the My Accountant tab. There's also an option to find an accountant near you in that section by clicking on the Find a Pro to help button.

If you have any other questions, feel free to reach out here.