I have a small business that's incorporated, with me as the only shareholder. I'm currently preparing to give a $20,000 loan to a person I know. Can my corporation legally give her the loan, or do I have to do it personally instead?
I'm charging interest on the loan and will obviously claim that, but I figure it makes more sense to have the business claim it rather than me, if possible. Perhaps there would be other benefits to doing it one way over the other, but I'm not sure.
Thanks for any thoughts you may have!
Phil
I'm charging interest on the loan and will obviously claim that, but I figure it makes more sense to have the business claim it rather than me, if possible. Perhaps there would be other benefits to doing it one way over the other, but I'm not sure.
Thanks for any thoughts you may have!
Phil