Understanding the Basics of Financial Statements for Your Business
Financial statements provide a window into your business’s health. Understanding them is key to making sound decisions.
Key Financial Statements
- Profit & Loss Statement: Shows revenues, costs, and net profit over a period.
- Balance Sheet: Snapshot of assets, liabilities, and equity at a point in time.
- Cash Flow Statement: Tracks cash inflows and outflows, critical for liquidity analysis.
Why They Matter
Regular review helps identify trends, plan budgets, manage cash flow, and communicate with investors or lenders.
Conclusion
Mastering financial statements empowers you to steer your business confidently. AdvisIq offers expert support to prepare and analyze your reports.
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