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Sometimes to keep your cash flow moving, you may need to loan your Company money.  This is perfectly legitimate, but make sure there is a written promissory note, with some reasonable interest rate, and some reasonable payment schedule.

I would recommend 1+prime as a minimum rate.  The prime rate has remained at 3.25% since the end of 2008.   Make sure you make timely interest payments and then report this interest as income on your 1040 form.

It can go in the other direction. You may need money and borrow from your Company. This is a bit trickier because you have to decide if you are paying yourself payroll, or paying yourself distributions or dividends, or having the Company lend money to you. If it’s a loan, make sure there is a written promissory note, with some reasonable interest rate, and some reasonable payment schedule.

If it is possible to pay off one or more of these loans before the end of the year, do it. It will clean up your balance sheet and keep the IRS auditors from questioning these types of transactions.