My friend is starting a new company & asked me to start the bookkeeping. I have encountered a problem for the first time in 20 years of bookkeeping & not sure if it just still 'holiday brain', or whatever... but I can't seem to wrap my brain around this one.
He has done work for the company for the last year without claiming a salary but wants the salary owed to him recorded as "Working Capital" or as a "Loan" which the company must pay back either way. How do I record this in the books?
Thank you in advance for any help in this regard!