If you`re running a business that sells goods on hire purchase, it`s important to keep track of the agreements you`ve made with customers. With QuickBooks Online, you can easily record hire purchase agreements and ensure your records are accurate. Here`s a step-by-step guide to recording hire purchase agreements in QuickBooks Online:

Step 1. Create a customer profile

Before you can record a hire purchase agreement, you`ll need to create a customer profile for the person or business you`re selling to. To do this, go to the “Sales” tab in QuickBooks Online and click “Customers” on the left-hand side. Then click the “New Customer” button and fill in the required information.

Step 2. Create an invoice

Once you`ve created a customer profile, you can create an invoice for the hire purchase agreement. To do this, go to the “Sales” tab and click “Invoices” on the left-hand side. Then click the “New Invoice” button and fill in the required information.

When creating the invoice, make sure to enter the total amount of the hire purchase agreement in the “Amount” section. You should also include any down payment or deposit that was made as part of the agreement.

Step 3. Record the payment schedule

After you`ve created the invoice, you`ll need to record the payment schedule for the hire purchase agreement. To do this, click on the invoice you just created and then click the “Receive Payment” button.

In the “Receive Payment” window, enter the amount of the down payment or deposit that was made. Then click the “Save and Close” button.

Next, click the “Create Payment Plan” button at the bottom of the invoice. This will bring up a window where you can enter the details of the payment schedule.

Enter the amount and due date for each payment, and then click the “Save” button.

Step 4. Track payments

As your customer makes payments on the hire purchase agreement, you`ll need to track those payments in QuickBooks Online. To do this, go to the “Sales” tab and click “Customers” on the left-hand side.

Click on the customer`s name and then click the “Receive Payment” button. Enter the amount of the payment and the date it was received, and then click “Save and Close.”

Repeat this process each time your customer makes a payment on the hire purchase agreement.

By following these steps, you can easily record hire purchase agreements in QuickBooks Online and ensure your records are accurate. This will help you keep track of your accounts receivable and make sure you`re getting paid on time for the goods you sell.