---
title: "Venture Ledger"
canonical: "https://bizcore.refined.site/space/BCKB/1790312449/Venture%20Ledger"
format: markdown
---
> Macro (toc)
# **Overview**
The Venture Ledger tracks and maintains a history of all ledger entries related to the venture, such as loan investments, payments, and other transactions. It provides an overview of the venture balance and helps in monitoring any financial activity associated with the venture.
The ledger is viewable from any venture workspace record, enabling users to track the progress of the investment and monitor the changes in the balance over time.
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# **Ledger Behaviour**
- When the record is opened the ledger will automatically scroll to the current date.
- Entries are sorted in ascending order by ledger date, meaning that the earliest date is displayed at the top of the list.
- To view the exact time of an entry, hover over the date affixed to any individual ledger row.
- Ledger Entries are attributed to either an **Investee** or **Investor** based on which party they are related to, colour-coded with icons on the left-hand side of each entry row:
- Each Ledger Entry in the ledger is expandable, and users can view more details such as the split apportioning of each ledger entry, by clicking anywhere on the entry card:
- After expanding any **Investee** ledger entry, click the **SHOW BALANCE DETAILS **to view the balance splits at the point in time after the entry was created:
> ⚠️ Once a Ledger Entry is submitted, it **cannot be deleted**. It is essential to carefully review and verify the details before submitting an entry to ensure accuracy. Please take extra caution and double-check all information to avoid any mistakes or inaccuracies in the ledger.
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# **Ledger Filters**
There are 4 filters in the ledger header users can check or uncheck:
| **Filter** | **Description** |
| --- | --- |
| **Show Investor Ledger** | Displays all investor ledger entries (checked by default). |
| **Show Investee Ledger** | Displays all investee ledger entries (checked by default). |
| **Show Interest** | Displays the daily interest ledgers (unchecked by default). |
| **Show Reversed Ledgers** | Displays the original ledger entries that were reversed (unchecked by default). |
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# **Ledger Entry Types**
Ledger entries are records of amounts that affect the balance of the venture, they provide a full accounting of financial activity within the venture, including; investments, payments, payouts, fees and adjustments. Depending on their type, ledger entries can be a positive or negative amount.
There are 6 different types of entries that are recorded in the ledger:
| **Ledger Type** | **Description** |
| --- | --- |
| **Principal Investment** | An investment contributed by an investor to the venture. |
| **Loan Investment** | A disbursement made from the venture’s principal investment to the investee.
> ℹ️ When this type of entry is created with a date prior to the current day, interest will be calculated from the date selected until present, and reflected in the venture balance. |
| **Payment** | A payment made by the investee towards any investment or fees.
> ℹ️ When this type of entry is created with a date prior to the current day, interest will be calculated from the date selected until present, and reflected in the venture balance. |
| **Payout** | A payout made to the investor(s). |
| **Reinvestment** | An amount that was available for payout to the investor(s), but instead reinvested to the venture. |
| **Adjustment** | An adjustment made to the balance(s). This ledger entry type is the only one that will allow fees to be increased or decreased. |
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# **Add Ledger Entry**
> ⚠️ Once a Ledger Entry is submitted, it **cannot be deleted**. It is essential to carefully review and verify the details before submitting an entry to ensure accuracy. Please take extra caution and double-check all information to avoid any mistakes or inaccuracies in the ledger.
Users can manually add ledger entries as required to manage the venture. Each investor in the venture is handled separately when creating a new entry. Users have the flexibility to allocate ledger amounts to a single investor or split them among multiple investors as needed. From any venture workspace record click the **Add Ledger **button, located above the venture ledger:
From the popup wizard, select a Ledger Type from the dropdown box:
The popup wizard will change to display fields that are relevant to the Ledger Type the user has selected. Any text that is pre-filled in grey represents either the balance owing or the maximum amount users can enter in that field.
Fill out the fields and then click the **SUBMIT **button, the new entry will now be reflected in the venture ledger.
When adding ledger types that will be attributed to the **Investor** enable the toggle **Add to Interest Free Amount** to allocate the investment amount to the interest free balance, where it will be excluded from interest charges:
> ℹ️ Any text added to the Comments field will be visible under the Reason header when users click to expand the newly added ledger entry.
## **Common Ledger Entry Workflows**
When adding certain ledger types, the system will automatically move to the next ledger to guide the user through a standard workflow. Rather than opening the Add Ledger popup wizard multiple times, the system provides the option to move directly to a related ledger type with pre-filled information.
The ledger types that provide this functionality are outlined below:
### **Move Principal Investment → Loan Investment**
When adding an increasing Principal Investment ledger users have the option to select **MOVE TO LOAN INVESTMENT **instead of **SUBMIT** in the popup wizard after filling out the required fields. Using this option will automatically:
1. Add the Principal Investment to the ledger,
2. Launch the popup wizard for a Loan Investment,
3. Pre-fill the Loan Investment amount with the Principal Investment amount.
Essentially, the system is aiding the user to immediately record the Principal Investment being disbursed as a Loan Investment within the ledger. As the rest of the fields will be automatically pre-filled from the Principal Investment ledger entry, the user is only required to enter the Loan Investment date and click **SUBMIT**. This Loan Investment will now be added to the ledger.
### **Move Payment → Payout **
When adding a Payment ledger users have the option to **MOVE TO PAYOUT **instead of **SUBMIT** in the popup wizard after filling out the required fields. Using this option will automatically:
1. Add the Payment to the ledger,
2. Launch the popup wizard for a Payout,
3. Pre-fill the Payout splits based on the total Payment amount.
Essentially, the system is assisting the user to immediately record the investee’s Payment to the investor as a Payout within the ledger. As the rest of the fields will be automatically pre-filled from the Payment ledger entry, the user is only required to enter the Payout accounting date and click **SUBMIT**. This Payout will now be added to the ledger.
## **Accounting Date**
Adding ledger entries for Principal Investment and Payouts allow users to input an accounting date to reflect the correct date funds landed into the respective bank accounts. This will only impact the reports and exported .csv files, ensuring their accuracy.
## **Adding Interest Accruing Ledger Entries in the Past**
When adding any ledger entry types that accrue or decrease interest for a date prior to the present day, the system will automatically calculate and adjust the interest and balance to reflect this new entry. While the new entry will be added to the bottom of the ledger, the actual payment date will be recorded against it.
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# **Reverse Ledger Entry**
The reverse ledger function will allow the user to roll-back any ledger entries, reverse the splits associated with them and record the reversal as a seperate ledger entry. Essentially after clicking the **Reverse Ledger** button, a reversal will be recorded as a new entry in the ledger, also it will be noted on the original entry that was reversed, and an adjustment ledger will be added to correct any fees that will change based on the reversed payment.
To reverse a ledger, click the **Reverse Ledger **button attached to the respective ledger entry:
Then confirm by clicking **Yes** in the popup window:
After conducting a reversal a new ledger entry recording it will be added to the venture ledger. If the user clicks to expand the new entry, the original ledger date it is connected to will be shown:
An Adjustment ledger entry will be automatically applied to bring the splits back in line after the entry has been reversed:
Finally, the initial ledger entry that was ultimately reversed will be tagged as Reverted and the date of reversal:
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# **Ledger Splits**
The total amount of each ledger entry is divided into principal and fees owing. This division is solely for reporting and accounting purposes.
The principal owing is calculated based on the loan investment ledger. As the investment progresses, fees and charges accrue, contributing to the overall venture balance.
Each fee is treated as a separate ledger split. For example, management fees and interest have their own individual amounts allocated on a ledger entry, rather than being grouped under a general "fees" category. This approach allows for better tracking and analysis of income generated by different fees.
Click to expand each ledger entry to view the split breakdown:
## **How are Splits Apportioned?**
Splits are allocated by the pre-determined Payment Hierarchy rules set in the [Venture Product Settings](https://bizcore.refined.site/space/BCKB/1790214145/Venture+Product+Setup), these can be changed at any time:
> ℹ️ Modifying the payment hierarchy will not alter any previously recorded ledger entries. The changes will only apply to future transactions and payment allocations.
### **Payment Hierarchy Split Example**
For the example, this is the Split Hierarchy:
| **Fee Name** | **Hierarchy** | **Balance Outstanding** |
| --- | --- | --- |
| Interest | 1 | $50.00 |
| Admin Fee | 2 | $35.00 |
| Late Fee | 3 | $25.00 |
Based on the above Hierarchy, this is an example of how a payment and refund would be allocated:
| **Payment Amount: $120.00** | **Refund Amount: $100.00 ** |
| --- | --- |
| Splits will be allocated in the specified order:
1 → Principal | Splits will be allocated in the specified order:
Principal → 1 |
| **1** | Interest = $50.00 | **4** | Principal = $10.00 |
| **2** | Admin Fee = $35.00 | **3** | Late Fee = $25.00 |
| **3** | Late Fee = $25.00 | **2** | Admin Fee = $35.00 |
| **4** | Principal = $10.00 | **1** | Interest = $30.00 |
Notice the amount refunded was $100 and as a result, the Interest split was $30 instead of $50. When refunds are applied, the split hierarchy is reversed and calculated based on the preceding ledger entries.
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# **Download Ledger CSV**
Users can export each loan ledger as a .csv file by clicking the **Export as CSV **button above the ledger in Biz Core:
Confirm the action by clicking **Yes** in the popup window:
The requested .csv will be downloaded to the device, with the venture reference number as the default filename.