11 Accounting Reports that are essential for a healthy Startup
- Income Statement:
This the health report card for your business. A statement showing the money you get and the money you spend. Your expenses will be subtracted from your income to show how much you have left.
2. Owner’s Equity:
If you’re the owner of your business, then you have rights to the assets of that business. As an owner, you of course want the value of your business to increase. Basically, the more your business is worth, the more value or equity you have. Assets — liabilities = owner’s equity, so ample assets with few liabilities is the ideal.
3. Balance Sheet:
Think of the balance sheet as a memo for your investors or for other companies and financial institutions to see how your business is doing. Refer to your assets to see how much your company owns. Under liabilities, you’ll see how much your business owes. To view your business’ earnings, always refer to equity. The overall value of your business is represented by the balance sheet report.