Hi I purchased a hot tub for my holiday rental business. i paid for this out of private funds because the business could not afford it. now i want to introduce the transaction into quickfile and reimburse my self the cost how would i go about this? Operating as a sole trader
You can just record this as a normal purchase, but mark is as paid from the Proprietor’s Drawings Account.
This account is basically an “IOU” account for the sole trader. If the balance on the account is negative, the business owes you money. If it’s positive, you owe it.
When you take the money out of the business, you would just treat it as a bank transfer between the current account and the drawings account, and it should eventually balance out again.
This guide goes into it in a bit more detail: Sole Trader Bookkeeping - The Basics
Thank you so much for your quick reply!