[GNC] Can I add to Equity?

[Dr. David Kirkby]

Hi,
When a company is set up in the UK, if by just one person, they get a share
which has a nominal value of £1.

I'm trying to put my accounts starting this financial year into GnuCash. I
was not sure where this £1 should go - if anywhere. So I asked my
accountant. See below my question in bold, and his answer in red.

* "4) Where should the initial nominal £1 share when the company is set up
be recorded?  Should that show as £1 equity in the company as an opening
balance, or is it ignored in accounts submitted after the first submission?
*

*The opening £1 share is shown and brought forward share capital in the
accounts under the ‘capital and reserves’ section."*

I assumed this meant I added £1 to the Equity, so I created an account

Equity -> Capital and Reserves -> Share Capital

with the intention of adding the £1 share there as an opening balance. But
it is not possible to edit the opening balance of that account.

I assume it's me, as the director, that owns that £1 share. I guess, since
it's only a very small amount, I can ignore it, but it would be nice to
know where it should go.

Any thoughts on where this should go?

Dr David Kirkby Ph.D
Email: drkirkby at kirkbymicrowave.co.uk Web:
https://www.kirkbymicrowave.co.uk/
Kirkby Microwave Ltd (Tel 01621-680100 / +44 1621-680100)
Stokes Hall Lodge, Burnham Rd, Chelmsford, Essex, CM3 6DT.