We'll have to create a liability account first to track the loan. Let me show you how:
Go to the Accounting menu and select Chart ofAccounts.
At the upper-right, click New.
Under Account Type, select a liability account (Non-current liabilities or Current liabilities). For the Detail Type, select Notes Payable or Loan Payable.
Enter the account with a specific name.
Click Save and close.
If you already have one, you'll want to go ahead and record the money you got from the loan through a Journal Entry. Once you're ready to pay back the loan, you can write a cheque.