Firstly, this is my first post at this forum. I've read through many posts and have been very impressed with the quality of the responses, particularly from the likes of James Smith who I'll no doubt be contacting soon!

Here's my question, I am the MD of a small Limited Company (myself as sole director and employee - I chose the Ltd route as initial clients wouldn't deal with a sole trader and I have plans to scale the company). I have made the mistake of doing the books myself and not (as yet appointing an accountant) and use Quickbooks 2004 for recording income/outgoings. So far, I have not paid myself a salary nor taken any dividends from the company which has been operating for about a year. This was due to having another job paying 40% tax. I have now gone full-time with the venture and need to start claiming a salary/dividends (and will be seeking an accountant).

During the year, I've had lean months when I've needed to purchase equipment (software, books) and pay some bills (phone mainly) for the business. To do this, I have used my own personal finances (debit card, credit card) and overtime paid myself back as a loan repayment. Firstly, is this legitimate? I read an article that said that as long as all transactions were recorded that this was ok. If it is ok, how do I record these transactions in my accounts, particularly in Quickbooks?

I have no doubts that I am in a situation where I've not made the most of tax advantages and need to get things in order as soon as possible and certainly before my accounts need to be published in Jan/Feb time.

Any advice gratefully received.

Thanks James