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As a small business owner, it’s important to have a basic understanding of accounting terms and concepts. Knowing these terms can help you make informed decisions and better understand your business’s financial performance. Here are some of the most common...
A balance sheet summarizes a company’s assets, liabilities and equity at a specific point in time. Think of it as a snapshot of what your business is worth on a specific date. A balance sheet is organized into 3 main sections: Assets (what your business...
The profit and loss report is also known as an “income statement”. It shows how much money your business made (income) and how much money your business spent (expenses) over a specified period of time. The profit & loss report shows how profitable your business...
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