Hi @jrjsheard
Reading through your post it sounds like you have a pretty good grasp of how the incorporation works - most people don't realise that a business can't just re-start as a Ltd Company, the value in the assets, order book, etc. have a value which must be accounted for.
Anyway, the Bill from the Sole Trader can simply be entered into QBO as any other & left unpaid (or partially paid) in your Accounts Payable. If the Bill is likely to be paid off within one financial year, this is certainly the easiest option. This way you can enter Bill Payments against it into QBO until the balance is cleared.
Even if the balance is going to be paid off over a year or two there is no real reason that the amount cannot stay in Accounts Payable in QBO. It just looks odd if anyone looks at your end-of-year accounts & you have large AP value (but this can easily be adjusted at year end by your accountant).
If the cost is likely to be paid off over several years, you might prefer to Journal it to a Liability account - simply raise a Journal between the Liability Account & Accounts Payable, then go to Pay Bills & clear the Journal against the Bill.
Hope this helps.
