Hi we are a general contractor. We have a small company working under our license. After this small company did their work, they sent us the credit card info of their client and we charge the card via Square website. When we receive the payment to our bank, we get to keep the 10% commission (for them using our license) and we give them their 90%.
For example..
1. Small company did their job and was allowed to charge $1,000 .
2. My company will charge their client's card $1,000. Square charges some fees so we get an actual payment less fees around $990.
3. When we receive the payment on our bank, we get to keep the 10% of the payment received which is $99 then we issue the remaining amount $891 to the the small company by issuing a check.
What accounts and how should I record this using Quickbooks Desktop?
