Profit distribution to partners

What it is, and why it is not an expense

A profit distribution is the money the operation hands to the partners once the result has been established. It is not a cost of running the accommodation: it is profit leaving to the owners. That is why Rezvia treats a distribution as an equity entry, not an expense:

it does not enter "Recorded expenses" or any line of the income statement, in either regime — the result of the period is the same with or without a distribution;

it leaves the bank when paid: it reduces the "Net cash movement" of Transactions in the month of payment, with a note saying how much was distributed;

pending moves nothing: until it is paid, it is only an open obligation.

The opposite also exists: a partner contribution (money a partner puts into the operation) is an equity inflow — it enters the bank, and it is not revenue either.

Pro labore is not a profit distribution: it is pay for work, and remains an expense (Salaries category).

Where it lives

Under Finance › Profit distributions. The screen has three cards — Pending distributions (open equity obligations), Paid in the period (outflows already settled) and Entries in the period — and the list of distributions, with filters by status and by partner. Equity entries do not appear in the Transactions list: they live only on this screen.

Register the partners

Before the first distribution, register each partner under Partners ("New partner" button): name, document type (CPF, CNPJ or foreign document), document, country, share (%) and notes. A partner can be marked inactive later; their history stays.

Record a distribution

Click "New distribution" and enter:

Type: Profit distribution (outflow) or Partner contribution (inflow);

Beneficiary partner;

Amount and currency;

Resolution / record date — when the distribution was decided;

Due date — when it must be paid;

Reference period — the month or period of results it refers to;

Financial account and notes, if you want.

If the money has already gone out, tick "Already paid" and enter the payment method and date: the distribution is born paid and enters cash on that date. Otherwise it is born pending.

Pay, cancel and reverse

Every distribution has a status — Pending, Partial, Paid, Cancelled or Reversed — and the actions that make sense for it:

Pay: records the payment (amount to pay, method, date). Paying less than the total leaves the distribution Partial until the rest is paid. Each payment enters cash on the date entered.

Cancel (pending only): nothing was paid; the distribution stays recorded as cancelled and leaves the pending list.

Reverse (paid only): the original payment is not deleted — a reversal movement enters cash on the date entered, returning the amount to that month's "Net cash movement". The history shows both.

Edit (pending only): amount, dates, reference period and notes. Once paid, cancelled or reversed, a distribution is not edited — changes are recorded through a payment, a reversal or a new distribution.

History: every creation, edit, payment, cancellation and reversal is recorded, with who did it and when.

I already recorded distributions as expenses. What now?

Before this screen existed, the only way out was to record the distribution as an ordinary expense — and it lowered the income statement result when it should not have. The screen shows the report "Older expenses that look like profit distributions": expenses whose category, description or notes mention "profit distribution", "profit to partners", "partner withdrawal" or "dividends" (in Portuguese). It is only a report — nothing is reclassified without your action.

For each listed expense, "Reclassify as distribution" asks for the beneficiary partner and converts the entry: it leaves the income statement (it is no longer an expense), keeps the cash outflow already recorded, with the same amount and dates, and starts showing on this screen. The reclassification is kept in the entry's history. There is no undo button: if it ever needs reverting, contact support — the entry goes back to being an expense, with amount, dates and payment preserved.

After reclassifying, the result of the affected months rises by the amount of the distributions — it was expense that should not have been there. The cash cards do not change: the money left the same way, on the same date.

Where a distribution shows, and where it does not

Shows: under Finance › Profit distributions; in the "Net cash movement" of Transactions (with the note "Includes profit distributions paid"); in the payment history.

Does not show: in "Recorded expenses", in "Amount paid", on the income statement (accrual or cash) or in the Transactions list.

About the cash cards, read Amount received, Amount paid and Net cash movement.