Do I set up 2 accounts when a customer is a vendor?I buy products for resale but do contract labor in exchange.

Yes, you'll need to create separate customer and vendor profiles, ben-heritagefarm. Even though it represents the same counterparty, QuickBooks Online requires distinct records for each profile.

Doing this will also let you track the transactions as separate entities, purchases from the vendor side vs sales on the customer side. This provides better cash flow visibility and financial reporting.

However, please note that each name entry needs to be unique in the system. You can enter the company name as is for one of the records (e.g. as the customer). Then, for the other profile (e.g. as the vendor), make a minor modification to the company name, such as adding the word "Vendor" at the end.

You can use these articles as your guide on how to set them up:

• Add A Vendor In QuickBooks Online
• Add And Manage Customers In QuickBooks Online

You can also check out or bookmark these articles as additional reference materials in case you might need them: 

• Moving Names From One List To Another In QuickBooks Online
• Record A Barter Transaction

If you have any questions while recording transactions or when using QuickBooks for bookkeeping, please do not hesitate to ask. Our team will be happy to assist you and provide clarification.