www.loanperformer.com

Table of Contents (Online Help)

Shares Configuration

This module helps you to set the different configurations for shares that will used while dealing with share transactions. This means that the default and compulsory parameters will be defined here to make the entry of share transactions easier.

How to configure Share Transactions

To do this you go to System->Configurations->Shares and a screen like the one below shows up:

• Nominal value of the shares: This is the stated value of the share at the moment of issue, e.g., "10,000". It is different from the Market or Current share value and stays constant.
• Shares Redemption Reserve Account: This is the General Ledger account that will be used to record a buy back of shares from members who sell them back to the company. Select the GL account from the drop down menu, e.g., "330020".
• Members Shares GL Account: Select this account from the drop down list, e.g., "330010". This is the General Ledger account that states the value of shares with members of the company.
• Account Dividend to be Paid: Select the GL account from the drop down list, e.g., "250010".This is the General Ledger (liability) account that states the value of dividend to be paid to the members. It is only used if at calculation of dividend, you state that the dividend should be calculated as a debt to the members (not paid in cash or paid to the members’ Shares accounts).
• Account Dividend Paid: This is the General Ledger (expense) account that states the value of dividend paid to the members. It is only used if at calculation of dividend, you state that the dividend is paid in cash or paid to the members’ Shares accounts.
• Account Withholding Tax on Dividend Paid: This is the General Ledger (liability) account where the withholding tax is posted, e.g., "240010".
• Percentage Withholding Tax on Dividend Paid: If you calculate dividends, a percentage of the dividend might be deducted as withholding tax. Please indicate here the percentage if applicable.

Note that you have to specify the dividend calculation method that you want to use.Loan Performer offers 4 methods of dividend calculation.

1. Calculate dividends based on the lowest monthly outstanding share balance: Dividend calculation is based on the lowest share balance that was on the shareholder's account from the start to the end of the month.
2. Calculate dividends on average monthly share balance; Dividend calculation is based on the average of the share balances on the shareholder's account from the start to the end of the month.
3. Calculate dividends on the end of the period balance; The dividend calculation will be based on the end of period balance.
4. Calculate dividends on the end of month shares balance; Dividend calculation is based on the end of month share balances on the shareholder's account.

• Dividend Period: Here you have to set the period of dividend calculation (in months), e.g., "12".
• Dividend Rate (% per Period): This is a percentage of the total profit made over a period which will be paid to members as dividend, e.g., "10%"..
• Next to be calculated: Enter here the date that you want the dividend calculation to be done, e.g., "31/12/2012". It should be the last day of the first dividend calculation period. Once the first dividend calculation is done you cannot modify this date anymore, it is automatically updated with every dividend calculation.
• Minimum Share Capital: Enter the minimum number of shares a member can subscribe for, e.g., "10".
• Minimum number of shares to earn dividends: Enter the minimum number of shares per member that Loan Performer will use to calculate the dividend payments, e.g., "20".
• Charge VAT?: Tick this check-box if you are to charge VAT on any specified transaction categories.
• Account VAT on Purchases: From the dropdown list, select the GL account for booking the VAT on purchases.
• Account VAT on Sales: Select the GL account for booking the VAT on sales from the Account VAT On Sales drop down list.
• Category: This column shows the different share transaction that can be charged with VAT in Loan Performer. Tick the check box for the different categories upon which VAT should be charged otherwise no VAT will be charged on that transaction category type.

Click on the Save button to save the shares settings.

You can click on the Print command button to view\print the share configuration parameters and keep them for future reference.

Click on theClose command button to exit the menu.

Related Topics

Contact LPF live support for more information
This service requires an Internet connection.