# Partners investment

**URL:** <https://forum.manager.io/t/partners-investment/27632>\
**Category:** Uncategorized\
**Created:** [April 5, 2020, 5:27pm UTC](https://forum.manager.io/t/partners-investment/27632 "2020-04-05T17:27:06Z")\
**Posts on this page:** 6\
**Page:** 1

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**Author:** ![mick](https://avatars.discourse-cdn.com/v4/letter/m/f04885/32.png) [@mick](https://forum.manager.io/u/mick)\
**Post date:** [April 5, 2020, 5:27pm UTC](https://forum.manager.io/t/partners-investment/27632/1 "2020-04-05T17:27:06Z")

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Hi my partner and I invested money into the business. Every month, we repay ourselves an amount based on how much profit we make. How do I capture this on the package as I need to monitor how much we pay back pm, the total invested and once it’s fully paid. I created loan accounts under liabilities but it’s looking all wrong.

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**Author:** ![Tut](https://sea1.discourse-cdn.com/flex019/user_avatar/forum.manager.io/tut/32/3286_2.png) [@Tut](https://forum.manager.io/u/Tut)\
**Post date:** [April 5, 2020, 6:01pm UTC](https://forum.manager.io/t/partners-investment/27632/2 "2020-04-05T18:01:50Z")

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You should be using capital accounts. Read the Guide: [Set up and use capital accounts | Manager](https://www.manager.io/guides/8936). Also read [Use capital subaccounts | Manager](https://www.manager.io/guides/14397).

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**Author:** ![mick](https://avatars.discourse-cdn.com/v4/letter/m/f04885/32.png) [@mick](https://forum.manager.io/u/mick)\
**Post date:** [April 6, 2020, 1:08pm UTC](https://forum.manager.io/t/partners-investment/27632/3 "2020-04-06T13:08:31Z")

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Hi there thank you so much. Can you please clarify for me in the following situation : My partner and I invested R 100 000 each to purchase the business so we paid it to the person we bought the business from. We now draw R 10 000 each to repay ourselves for the investment amount. Would I capture R 10 000 each month under drawings until we reach the R 100 000 each?

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**Author:** ![Tut](https://sea1.discourse-cdn.com/flex019/user_avatar/forum.manager.io/tut/32/3286_2.png) [@Tut](https://forum.manager.io/u/Tut)\
**Post date:** [April 6, 2020, 2:06pm UTC](https://forum.manager.io/t/partners-investment/27632/4 "2020-04-06T14:06:09Z")

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Recording your initial contribution of capital depends on how it was actually transacted. If you and your partner paid the former owner directly with personal funds, you should record expense claims. See [Use expense claims | Manager](https://www.manager.io/guides/6898). You would post the amounts to your capital accounts and the _Funds contributed_ subaccounts.

If you contributed your funds to a company bank account and then purchased the business from that, you would record your contributions with receipts, posted the same way.

Each month, you will record your drawings on a payment form, posted to your capital accounts and the _Drawings_ subaccounts. The question of how much you draw is not one for Manager. That depends on your personal choices. You can leave the capital in the business or take it out. Assuming the business is profitable, you will also probably transfer capital from _Retained earnings_ to your capital accounts and your _Share of profits_ subaccounts periodically. So hopefully, you will not stop at R 100 000. (Or perhaps your plan is to recover your initial investment and let additional capital from profits build up within the business.) Again, that is a business choice, not an accounting issue.

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**Author:** ![mick](https://avatars.discourse-cdn.com/v4/letter/m/f04885/32.png) [@mick](https://forum.manager.io/u/mick)\
**Post date:** [April 7, 2020, 12:03pm UTC](https://forum.manager.io/t/partners-investment/27632/5 "2020-04-07T12:03:20Z")

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Perfect thanks

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**Author:** ![Ealfardan](https://sea1.discourse-cdn.com/flex019/user_avatar/forum.manager.io/ealfardan/32/63166_2.png) [@Ealfardan](https://forum.manager.io/u/Ealfardan)\
**Post date:** [January 18, 2023, 2:56pm UTC](https://forum.manager.io/t/partners-investment/27632/6 "2023-01-18T14:56:16Z")

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Closed on January 18, 2023, 2:56pm UTC


