I own and run a small one man business and use Quick Books to send out the invoices and statements. One of my problems is that the way VAT works, it is in my interests to write-off debts that are old and unlikely to be recovered. However, I (my business) is not so forgiving and I want to continue chasing these bad debtors for payment despite the accounting write-off. My question is, these bad debtors no longer form part of the debtors book in the accounts and therefore I cannot send statements or credit notes from the system, but I still need a way to send statements and track these accounts. The only way I can think of is to open a separate company, but this seems a bit cumbersome. Does someone have any bright ideas or have a neat way of dealing with this?
Thanks in advance!