What Are Loans

Learn how Officaid helps you track business loans, monitor repayments, and stay on top of what you owe.

Track Your Business Borrowing in One Place

Whether it's a bank loan, line of credit, or financing from a supplier, keeping track of what you owe can get complicated. The Loans feature in Officaid gives you a clear view of your outstanding balances, payment history, and how much you've paid off.

What Loans Tracks

The Loans module focuses on the principal amount you've borrowed. This is the original sum you received from the lender, and each repayment you record reduces your outstanding balance.

Officaid tracks principal and interest separately. Interest payments are recorded in Expenses using the Interest Expense category. This separation gives you clearer financial records and makes reporting easier. Learn more in Understanding Liabilities and Expenses.

Key Features

Here's what you can do with Loans in Officaid:

  • Record multiple loans from different lenders, each with its own reference and account
  • Track repayments and see your remaining balance update automatically
  • View payment history for every loan with dates, amounts, and notes
  • Monitor loan status to see which loans are active and which are fully paid
  • Support for multiple currencies if you have loans in foreign currencies

Loan Statuses

Each loan in Officaid has one of two statuses:

  1. Active means the loan still has an outstanding balance. You'll see this status while you're making repayments.
  2. Paid means the loan has been fully repaid. The status changes automatically when your balance reaches zero.

Before You Begin

To start tracking loans, make sure you have a payment account set up in Officaid. This is the account you'll link to each loan, typically where the loan funds were deposited or where repayments are made from.

If your loan is in a foreign currency, set up a dedicated account for that currency first. See Multi-Currency Accounts for guidance.

Frequently Asked Questions

This approach keeps loan tracking simple and puts you in control. You can record interest payments as they occur, in the amounts that match your actual statements, without needing to configure complex interest calculations. It also gives you clearer records since your loan balance shows exactly what you still owe, while your expenses show what borrowing has cost you.

Yes. You can add as many loans as your business has, each with its own lender, reference, currency, and linked account. Use the search bar and status filters on the Loans dashboard to find specific loans quickly.

Once your total payments equal the principal amount, the loan status automatically changes from Active to Paid. The loan remains in your records for reference, and you can filter by status to view only active or paid loans.

What's Next?

Now that you understand how Loans works in Officaid, explore these guides: