You are correct, It is not a loan. They are investing in the corporation.

So the cash is recorded as a debit to the corporate bank account and a credit to the individuals capital account. You will need to setup a capital account for this individual with 2 subaccounts […]

Resolution for 'Contributing issue: 'How to enter ‘Contributing Capital’' available: Yes.

The Contributing issue or error code is a known issue in Quickbooks Online (QBO) and/or Quickbooks. Support for this issue is available either by self-service or paid support options. Experts are available to resolve your Quickbooks issue to ensure minimal downtime and continue running your business. First try to resolve the Contributing issue yourself by looking for a resolution described in the article. If it is a complex Contributing issue or you are unable to solve the issue, you may contact us by clicking here or by using other Contributing support options.

For more information about resolving issues related to Contributing in Quickbooks/QBO or to get support for the issue 'How to enter ‘Contributing Capital’', click the link below:

Details