Cannot allocate opening balance to capital subaccounts

I just noticed that if create a new business file for an already existing company, I cannot use the built-in capital accounts structure for starting balances.

Is this something that the developer is aware of? If so are there any plans to simplify the process of correctly allocating starting capital accounts to their subaccounts?

I don’t understand your question.

First, there is no built-in capital accounts structure. After activating the Capital Accounts tab, you need to create capital accounts for the various members/owners. You enter their starting balances as you do that. Those entries are net positions on the start date.

Second, capital subaccounts apply only to transactions after the start date. The defaults, of course, are Drawings, Funds contributed, and Share of profit. But all they really do is categorize movements between the opening and closing balances during a reporting period. They determine whether a transaction adds or subtracts from the member’s capital account balance. They don’t have starting balances themselves. In that sense, “subaccounts” is probably a poor choice of terminology. The only subaccounts or subsidiary ledgers for the Capital Accounts control account are the capital accounts of the members themselves.

I was referring to capital accounts/subaccounts hierarchy, if it can be called that.

What about share capital? It should be attributable to specific capital accounts, right? Or should I use ordinary accounts?

I guess it could be called that, though in my view it really isn’t a hierarchy, either. It’s more like a refinement of receipts, payments, or account adjustments based on purpose.

That’s a complex group of questions. The answers depend on the legal form of organization under local law. A closely held corporation’s capital (equity) accounting might be very similar to a partnership’s, with capital accounts for all of the stockholders. A big, public, corporate entity could have a very complex accounting structure, with different classes of stock, paid-in capital, and so forth. That discussion is really beyond the scope of this forum.

In my country and many other jurisdictions, to have a limited liability companies have to separately display share capital. I thought that share capital would be an appropriate application of capital subaccounts, but then I will not be able to display it in starting balances.

You can set up a Share capital subaccount. But all it will do is record that the receipt from Capital Account Owner A’s incoming cheque was classified as going to Share capital instead of Funds contributed. And, in your case, you may not want the contribution to be posted to the member’s capital account in the first place. All this gets wrapped up in the legal definition of a limited liability company in your jurisdiction. (That varies substantially around the world.)

I would like to see this implemented too. I think that I already proposed it to be implemented but it was rejected. About your question, yes @lubos was aware of it.

In your company you can activate the Capital Accounts tab and rename the default account:
0000000 Bug 1

Then create a “capital” account for each shareholder and enter their capital “starting” contribution:
0000000 Bug 1a

The share register would record the number of shares issued and the unit price.

Also, being shareholders there are no requirements for the 0000000 Bug 2