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In QuickBooks Online, record intercompany loans by distinguishing between shareholder contributions or distributions and loans to and from the shareholder. When money moves between the owner and the company, it can be categorized as either equity (contributions or distributions) or a loan. Contributions or distributions are classified as equity accounts, suggesting a direct investment or withdrawal from the business, while loans are recorded as a liability on the balance sheet. John Wick, a professional hitman with two companies, For Hire Inc and On Target Inc, may need to manage intercompany loans across the three entities.
