Good Morning
We have just assigned a factoring company to our aged debtors to improve Cash Flow.
I have looked online at the notes regarding creating a factoring bank account etc, but I am a bit confused and hoped someone could assist.
The notes say to create a bank account (which I have), I assume the opening balance would be a minus as we would owe the monies back to the bank.
The opening balance posts the opposite entry to suspense.
It also says to set up a Supplier account.
Can someone walk me through the process please as I don't want a figure in suspense and I am unsure why there is a need for the supplier account.
Thank you in advance.