Not advice but in accounting terms if LLC-b needs to raise cash it can be done either through equity finance or debt finance.
LLC-b sells common stock at par (amount above par goes into Additional Paid-in Capital account) to LLC-a in exchange for cash OR LLC-a lends cash to LLC-b in the form of a note payable You are correct that the balance sheet would be adjusted to account for the new cash. Not wise to mix up the expenses of separate entities (some would call this "piercing the corporate veil"). On Sun, Apr 28, 2024 at 9:18 AM Fred Tydeman <tydeman.f...@gmail.com> wrote: > If LLC-a pays an expense of LLC-b > ie, cash from LLC-a goes to expense of LLC-b, > should I also show a transfer of equity from LLC-a to LLC-b? > It seems that needs to be done so that the Balance sheet for LLC-b is > correct. > _______________________________________________ > gnucash-user mailing list > gnucash-user@gnucash.org > To update your subscription preferences or to unsubscribe: > https://lists.gnucash.org/mailman/listinfo/gnucash-user > ----- > Please remember to CC this list on all your replies. > You can do this by using Reply-To-List or Reply-All. > _______________________________________________ gnucash-user mailing list gnucash-user@gnucash.org To update your subscription preferences or to unsubscribe: https://lists.gnucash.org/mailman/listinfo/gnucash-user ----- Please remember to CC this list on all your replies. You can do this by using Reply-To-List or Reply-All.
