Invoicing a company for services

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Hi, I am a Director of a company (A) that offers Design and Prototyping. I am also a Director of another company (B) that I provide services to. Is it possible to invoice company B for products and services from company A despite the fact that I am a Director of both. Is there a conflict of interest? 

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By Duggimon
15th Jun 2017 14:52

There's probably no reason you can't invoice one company from the other. The requirements for disclosing this in the accounts will depend on the nature of the transactions. Your accountant should be able to give you all the detail you need on this.

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By Alan1030
15th Jun 2017 15:45

I'm using my purchasing power and my network of suppliers to buy components through Company A and pay for them accordingly. I am then invoicing Company B for the exact amount as it is a start up company but I am also a Director of both companies. Company A is 100% owned by me and Company B has a smaller share of less than 20%. Within the accounts of Company B I will be a supplier so It should be registered as a legitimate business expense. Am I correct in my assumption?

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