If you have an asset or liability that predates your accounting start date, you'll need to use the Assets & Liabilities dashboard to create it but also account for it in your opening balances. Once you do so, you can track transactions such as payments on a note and the resulting change in the outstanding liability.
To manually creating assets/liabilities that existed before the accounting start date, follow the steps outlined below:
1. Click on the Banking tab in the top menu.
2. Click on the Assets/Liabilities tab in the left-hand menu.
3. Create a new asset or liability using the New button.
4. Choose a General Ledger account.
5. Add a Description and Purchase Price .
Important: Set the Transaction Date to before your accounting state date.
6. Hit Save.
7. Follow up by adjusting the opening balance. To do so, click on the Reports tab in the top menu and then select the General Ledger tab in the left-hand menu.
8. Be sure to choose Opening Balance.
9. Find the row for the account that you chose for the asset or liability in Step 4 above.
10. Add the same amount that was used before (Step 5) in the row and click Save.
You now have an asset or liability successfully created in the system, and you can do things like track payments against it as those transactions are automatically imported through bank sync.