Freehold company accounts

Posted by mlindup PM | on Fri, 11/05/2012 - 17:02 871 10 comments | report

A friend has set up a freehold company limited by shares to hold the freehold of the block of flats in which they live with another tenant.

There is only £1 of share capital. When the value of the freehold is put on the balance sheet what should the corresponding credit be as the company itself has not acquired the investment with cash. Who should the creditor be?

thanks

Comments

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How was it paid for?

occca | Fri, 11/05/2012 - 17:04

Secret

petersaxton | Sat, 12/05/2012 - 12:09

Basic Double Entry

Gladstone | Sat, 12/05/2012 - 19:32

Well it's two flats and two

mlindup | Mon, 14/05/2012 - 12:41

DLA

mlindup | Mon, 14/05/2012 - 12:43

DLA

petersaxton | Mon, 14/05/2012 - 14:19

"There is only £1 of share capital"

Hansa | Mon, 14/05/2012 - 18:22

50p shares?

petersaxton | Tue, 15/05/2012 - 11:23

You do know the common costs do not go through the company don'

Chris Smail | Tue, 15/05/2012 - 12:34

Do you mean something like this?

petersaxton | Tue, 15/05/2012 - 14:57