For a bootstrapped small business, which has 4 stockholders, money is lended by them often, to make some cash flow.
I like to capture the incoming money from them, with some receipts so that we can maintain records their investments.
How to do this as a purchase invoice way?
I dont want to do as adhoc payment entry.
The right way to capture this would be to create Capital Account for each Shareholder under Liabilities and then pass a Journal Entry
Capital Account Cr
Bank/Cash A/C Dr
For proof (receipt) you can take a Print of the Journal Entry
This transaction should not be recorded as a Purchase
Thanks for the info @Manan_Shah
It worked well.
I was trying to add the same at “Payment Entry” instead of “Journal Entry”.
Thanks for your neat guidance.
Payment Entry is for Debtor or Creditor only.