Discussion:Separate books for separate business operations?
From TaxAlmanac, A Free Online Resource for Tax Professionals
Note: You are using this website at your own risk, subject to our Disclaimer and Website Use and Contribution Terms.
From TaxAlmanac
(Difference between revisions)
| Revision as of 06:40, 21 October 2008 Natalie (Talk | contribs) (? Thinking of s) ← Previous diff |
Revision as of 16:46, 23 October 2008 Bean (Talk | contribs) (ABC Corp owns th) Next diff → |
||
| Line 9: | Line 9: | ||
| {{ForumReplyPost|UserID=Natalie|Date=October 21, 2008|Text=? Thinking of setting up separate books for each franchise yet using classes in the P&L? At first I thought you meant you were going to set up separate company files. What kind of businesses are these? It may make sense to have separate companies rather than try to use classes.}} | {{ForumReplyPost|UserID=Natalie|Date=October 21, 2008|Text=? Thinking of setting up separate books for each franchise yet using classes in the P&L? At first I thought you meant you were going to set up separate company files. What kind of businesses are these? It may make sense to have separate companies rather than try to use classes.}} | ||
| + | |||
| + | {{ForumReplyPost|UserID=Bean|Date=23 October 2008|Text=ABC Corp owns three home care service franchises (same name and same EIN) that are operating separately in three different locations. Either I can set them up in separate files in QuickBooks OR one file using different classes. I think the latter approach will be easier and more logical. I like TTMM's advice in subcategorizing the Balance Sheet items. All three will be combined for tax purposes. Thanks for your inputs!}} | ||
Revision as of 16:46, 23 October 2008
Discussion Forum Index --> Accounting Questions --> Separate books for separate business operations?
| 21 October 2008 | |
| Several franchises are owned by my client (same federal ID#). Client is C-Corp, just formed this year. I'm thinking of setting up separate books (in QuickBooks) for each franchises, should one day they want to sell a portion of their business - wouldn't this make the books easier to follow? I could just separate them in terms of classes in the P&L section (but still in one QB file), though might not be able to in Balance Sheet. Has anyone run into this? Please share your thoughts!! | |
| 21 October 2008 | |
| Although you can't do classes for the Balance Sheet, you could set up sub accounts for each Balance Sheet account to differentiate each franchise. You could then set up a memorized Balance Sheet that just shows the assets/liabilities for franchise #1, another for franchise #2, etc. Then it would be pretty straight forward to export to excel and format each with a separate P&L. How many franchises are we talking about? It might be more tedious to have separate companies than to do one company.
By the way, you will get more responses if you complete your profile. | |
| October 21, 2008 | |
| ? Thinking of setting up separate books for each franchise yet using classes in the P&L? At first I thought you meant you were going to set up separate company files. What kind of businesses are these? It may make sense to have separate companies rather than try to use classes. | |
| 23 October 2008 | |
| ABC Corp owns three home care service franchises (same name and same EIN) that are operating separately in three different locations. Either I can set them up in separate files in QuickBooks OR one file using different classes. I think the latter approach will be easier and more logical. I like TTMM's advice in subcategorizing the Balance Sheet items. All three will be combined for tax purposes. Thanks for your inputs! | |
