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  Diirector’s loan is when   director withdraw money from their company that   isn’t related to dividends, remuneration and benefits. Director must keep a record of any money they borrow from or pay into the company – this record is usually known as a ‘director’s loan account. If no money is introduced ( in the form of capital) or taken ( for private use other than dividend , wages and benefits in kind)   from a company, a director’s loan account will be nil. In most cases Directors loan account (DLA)   be in credit as directors invest their own savings into a company to cover revenue expenses or capital expenditures ( buying company assets such as plant and machinery, motor vehicle, land & buildings or any others assets) What is Debit & credit in directors loan account ? Directors loan account in Cr (Credit) : When the Limited company is formed and   business is starting up , the directors may lend money to the company for initial investment. ...

  Company directors and shareholder pay themselves salary and dividends. Company must set up a PAYE scheme with HMRC before paying salary to any employee including directors. A dividend is a payment made by a company to its shareholders, usually as a distribution of profits. Limited companies are only allowed to pay dividends if they have enough profit available to do so – and the dividend comes out of after tax profit. Company can not pay dividend to the shareholder despite holding huge cash balance. ·         Accounting And Bookkeeping Services Dartford ·         Accountants In South East London Uk ·         Chartered Accountant In Gravesham ·         Financial Planning London Budgeting And Forecasting London ·         Limited Company Accounting Services Uk Company must hold the meeting to of the...