@Luna1383 If you are issuing the loan by way of a check written to the other company, it would be best to use the Write Checks feature instead of a GJE. Simply set the Loan Receivable account as the account under the Expenses tab to establish the opening balance of the loan.
As far as how to set up the loan item itself, use the Other Current Asset type if you expect to be paid back within a year and the Other Asset type if you expect it to take longer than a year.
You could use a GJE to recognize the paybacks, but it would work just as well to use the Make Deposits window, setting the Loan Receivable and Service Fee accounts in the From Account column.
It's generally best to use the established functions within QB as opposed to GJEs; GJEs are best used when nothing else will work. This is due to some limitations in the way QB sources its reports.
