How to open a new company file with a negative balance due to paying expenses from another business account

Good day, @junegerhardt.

I appreciate your time posting here with regards to opening a new company file with a negative balance due to paying expenses from another business account. I'm here to provide you with some suggestions to record these entries in the program accurately.

Let's make a journal entry for your new business account. To ensure the correct posting and categorization of your expenses and opening balance equity, I suggest seeking advice from your accountant. They can advise you how to record the expenses of $15,000, whether as a loan for repayment or through other means.

Here's an article to help you add the account's opening balance so QuickBooks matches your bank records from the start: Enter opening balances for accounts in QuickBooks Desktop.

You can check out this reference to learn more about loan payments: Manually track loans in QuickBooks Desktop.

I'm always here whenever you need assistance. Just let me know by commenting below. Take care and have a good one.

If you plan for the new company to pay back the current company, you can use due from and to accounts.

In current company, pay the vendors and use a current asset account called something like "due from new company" instead of an expense account. Then in the new company do a journal entry. Debit the appropriate expense accounts and credit a current liability account "due to current company ".

This will put the expenses in the correct company and track what is owed.

Then when it is paid back, the new company will code the payment to the "due to" account and the current company will code it to the "due from" account so that it does not show as income.