QuickBooks Capital?

Q: How do I record paid-in capital in QuickBooks?

To record paid-in capital in QuickBooks, first create a new Equity account called 'Paid-in Capital' in the Chart of Accounts. Then, when you receive an investment in the form of paid-in capital, record the transaction using the 'Make Deposits' window, selecting the 'Paid-in Capital' account and entering the amount of the investment.

QuickBooks Capital Review: Assessing Your Small Business Eligibility for QuickBooks Capital Loans

QuickBooks Capital offers financing solutions to QuickBooks Online (QBO) and QuickBooks Desktop users, based on their QB data. Find out if your small business is eligible for QuickBooks Capital loans.

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QuickBooks Capital Overview

Rates & Fees: Excellent

Application Process: Excellent

Sales & Advertising Transparency: Excellent

Customer Service: Good

User Reviews: Fair

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QuickBooks Capital Features

Short-term business loans up to $150,000 for QuickBooks Online and QuickBooks Desktop users
Get Paid Upfront program offers lines of credit up to $50,000 for QuickBooks users with unpaid invoices
Loan rates can reach 34%, but no hidden fees, prepayment fees, or closing costs
QuickBooks Capital Marketplace offers additional funding options through partners for customers who don't qualify for QuickBooks Capital
Loan repayment terms up to 18 months, not suitable for businesses seeking long-term funding

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Pros:

Easy application process
Typical funding time is one to two days
No origination fee
No prepayment penalty

Cons:

Only available to QuickBooks users
No long-term financing options
Inconsistent customer service
Financing unavailable in Nevada and Alaska

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QuickBooks Capital Borrower Qualifications

Installment Loans:

6 months of activity on a QuickBooks account
Credit Score: 620
Revenue: $50,000/year
Active QuickBooks user
Primary business bank accounts connected to QuickBooks Online
No bankruptcies in the past two years

Get Paid Upfront:

Active subscription to QuickBooks Payments
Business history in QuickBooks software
Transactions in business bank accounts
Invoice history
Personal & business credit profiles
Unpaid invoices required to qualify for the line of credit

QuickBooks Capital Marketplace:

Requirements vary by partner and may include time in business, annual revenue, ability to repay, personal credit score and history, and business and personal bankruptcies, liens, and late payments

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QuickBooks Capital Rates & Fees

Term Loans:

Borrowing Amount: $1,500 - $150,000
Term Length: 6-18 months
Origination Fee: None
APR: 9.99% - 34%
Collateral: Personal guarantee

Get Paid Upfront Invoice Financing:

Line of credit up to $50,000
Fee of up to 3% deducted from approved invoices
Payment within 1-2 business days
No additional fees if customers pay their invoices through QuickBooks Payments within 30 days
Interest accrues after 30 days, but rates are not specified
No prepayment penalties or late fees
No payments required if the line of credit is not used

QuickBooks Capital loans are a suitable option for existing QuickBooks users seeking an easy application process and fast funds. Businesses that are newer or have fair credit can qualify for funding if their revenues are adequate for loan payments. A QuickBooks loan can also help improve your business credit score. These loans are ideal for inventory purchasing and working capital but may not be suitable for long-term needs such as business expansion. The recently added invoice funding is an excellent option for businesses struggling with cash flow due to unpaid invoices

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QuickBooks Capital FAQs

What is QuickBooks Capital?

QuickBooks Capital is a lending service offered to QuickBooks Online and QuickBooks Desktop users. It provides short-term business loans up to $150,000 and a Get Paid Upfront program that offers lines of credit up to $50,000 for users with unpaid invoices. QuickBooks Capital simplifies the application process by using your QuickBooks data to assess your eligibility for loans.

What is the interest rate on QuickBooks Capital?

Interest rates on QuickBooks Capital loans range from 9.99% to 34%, depending on factors such as loan term length, credit history, and loan amount. There are no hidden fees, prepayment fees, or closing costs. While interest rates can be high, QuickBooks Capital loans can be an excellent source of fast funding for small businesses.

How do I call QuickBooks Capital?

To contact QuickBooks Capital, you can call their customer support at the phone number listed on their website. Alternatively, you can access live chat support directly from your QuickBooks Online dashboard or browse their extensive knowledge base and community forums for answers to common questions.

How do I record paid-in capital in QuickBooks?

To record paid-in capital in QuickBooks, follow these steps:

Click on the "Lists" menu and select "Chart of Accounts."
Click the "Account" button at the bottom of the window, and choose "New."
Select "Equity" from the "Type" dropdown menu.
Name the account "Paid-in Capital" or something similar to represent the capital invested by the owners or shareholders.
Click "Save & Close."

Now, when you receive an investment in the form of paid-in capital, record the transaction using the "Make Deposits" window:

Click on the "Banking" menu and select "Make Deposits."
Choose the bank account you want to deposit the funds into.
Enter the investor's name in the "Received From" column.
In the "From Account" column, select the "Paid-in Capital" account you created earlier.
Enter the amount of the investment in the "Amount" column.
Click "Save & Close" to record the transaction.

By following these steps, you can accurately record paid-in capital in your QuickBooks software, ensuring your financial records are up to date and accurate.

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