Proprietor with two firms can give Unsecured Loan to other firm?

Rohit sharma (5 Points)

20 March 2024  

Hi

I have Two Proprietor firms:

Firm A

Firm B

I have Credit limit in Firm A for running Business, But Now I am expanding Firm B Business, I need Immediate Funds for the Expansion. 

The question is Can Firm A give unsecured loan to Firm B from CC limit?

Both are registered in my PAN number. Looking for CA Advice in this matter.