Diirector’s loan is when director withdraw money from their company that isn’t related to dividends, remuneration and benefits. Director must keep a record of any money they borrow from or pay into the company – this record is usually known as a ‘director’s loan account. If no money is introduced ( in the form of capital) or taken ( for private use other than dividend , wages and benefits in kind) from a company, a director’s loan account will be nil. In most cases Directors loan account (DLA) be in credit as directors invest their own savings into a company to cover revenue expenses or capital expenditures ( buying company assets such as plant and machinery, motor vehicle, land & buildings or any others assets)