In this video I'm going to show you physically how you do it in your bookkeeping records. It is a snap shot of business financial capacity at a specific point in time.Yes setup directors loan account as asset on balance sheet, then do bank spend and allocate to DLA. When you receive money, do bank receive and allocate to DLA. We serve the finance and purchasing needs of the town council, citizens, town manager, town employees and general public. Fund Financial Statements. Governmental Funds: Balance Sheet – Governmental Funds . The following checklist is provided to assist with the process of gathering basic information related to a loan request. The report includes revenues and disbursements for the prior fiscal year and the ending cash balance at fiscal year-end for each trust fund.