Overview

As you manage your properties, there will likely come a time when funds need to be put into the property business. For example, major repairs that can't be covered by incoming rent revenue will get paid for directly by the property owners. Or your agreement might have owners pay for utilities directly every month.

These costs still get recorded as expenses or bills for the property, but you'll also record an Owner Contribution showing that the owners put funds into the property to cover these costs.

If you are the property owner and you transfer money into the property's bank account, you still need to record this using an Owner Contribution. After that, these funds are tracked on the property's balance sheet and your accounting will be correct.

The Steps

Note that in order for you to be able to record an Owner Contribution for a property, you need to have already added that owner to the property.

Step 1

From anywhere in DoorLoop, click on the + Create New button in the upper left and select Owner Contribution in the Owner Transactions section.

You can also click on the owner in the People < Owners section and add an Owner Contribution using the button there. If you do this, the Owner will already be selected in Step 2.

Step 2

Complete the relevant fields as follows:

  • Select Owner: select the Owner making the contribution.

  • Contribution Date: select the date the owner made the contribution.

  • Property: choose the property receiving the contribution on its balance sheet.

  • Deposit Account: choose the bank account receiving the contribution.

  • Contribution Amount: enter the amount of the contribution.

  • Payment Method: choose the payment method for the contribution.

    • The Check payment method allows for entering an optional check number.

Step 3

Add any additional information in the Notes section, or relevant files by using the Click here link and then click Save.

Step 4

Great work, creating the Owner Contribution, now you need to record that this money was actually deposited into your bank account. For example, if an owner gives you a check, they've made a contribution for you to record, but the money is currently undeposited until you deposit the check.

Use the instructions in this article to refresh your memory on how to record a bank deposit.

Congratulations, now your balance sheet and accounting for this property will accurately reflect this owner contributed money!

Next Steps

Did this answer your question?