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AnneN
February 23, 2021
Solved

To record business expenses made by a partner company

  • February 23, 2021
  • 1 reply
  • 0 views

Our partner company made some business expenses on our behalf. 

 

They sent us a global invoice where they included the amounts (by vendor),  together with the reimbursement request. We have  received, as well, detailed invoices they got from each of their vendors for these business expenses. These invoices don't mention our company name but only theirs.  

 

Do I need to make a separate entry for each of their vendors ?  Or it's only necessary to record the whole amount of our partner's business expenses ?   The important point is that these are also our vendors, we work with them as well.  They also reimbursed one of their employees for the expenses made on our behalf. 

 

I am thinking about making a following entry for each of these vendors / employee - before the reimbursement :

 

Liability account (our partner company) - credit

Expense account (their vendor / employee) - debit

 

Maybe it's not necessary ? Many thanks in advance for your prompt replies.

 

 

 

Best answer by Maybelle_S

Hello there, @AnneN.

 

We can enter a Bill/Expense for each vendor paid by the partner company. Then, create an account that will stand as the partner company. This way, the payments of each Bill/Expense can be recorded to the account.

 

When the company pays the partner company, you can write a check or expense using the partner company account.

 

To create a bill/expense:

  1. Go to the +New button.
  2. Choose either Expense or Bill.
  3. Click the Payee drop-down arrow, and then choose the vendor.
  4. Enter the other information needed.
  5. Click Save.

You can check this link to create an account for the partner company: Add an account to your chart of accounts.

 

I've also added this article about creating a check in QBO: Create and record checks.

 

Please know that I'm always here if you need anything else. Have a great day!

1 reply

M
Maybelle_SAnswer
February 23, 2021

Hello there, @AnneN.

 

We can enter a Bill/Expense for each vendor paid by the partner company. Then, create an account that will stand as the partner company. This way, the payments of each Bill/Expense can be recorded to the account.

 

When the company pays the partner company, you can write a check or expense using the partner company account.

 

To create a bill/expense:

  1. Go to the +New button.
  2. Choose either Expense or Bill.
  3. Click the Payee drop-down arrow, and then choose the vendor.
  4. Enter the other information needed.
  5. Click Save.

You can check this link to create an account for the partner company: Add an account to your chart of accounts.

 

I've also added this article about creating a check in QBO: Create and record checks.

 

Please know that I'm always here if you need anything else. Have a great day!

    M
    Maybelle_S
    February 24, 2021

    Hi, @AnneN.

     

    Hope you’re doing great. I wanted to see how everything is going about recording the business expense you had the other day. Was it resolved? Do you need any additional help or clarification? If you do, just let me know. I’d be happy to help you at any time.

     

    Looking forward to your reply. Have a pleasant day ahead!

      A
      AnneNAuthor
      February 26, 2021

      Hi, @Maybelle,

       

      I hope you are doing well and thanks for your replies.   I marked this as solved.

       

      Have a good day.

       

       

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