A Simple Guide to Your Company’s Financial Statements

• 1 min read

Understanding where you and your business stand

One statement cannot diagnose your company’s financial health. Put several statements together and you can make smart financial, investment and management decisions. This guide walks one through how to accumulate the necessary financial data in documents and statements as to enable and embolden company players to make diagnoses and take actions with confidence. This is a key piece to helping you access funding.
The TSBDC provides this and other guides for you to use at tsbdc.org/downloads.

Here is what you will find:

  • p. 4 — Balance Sheet: Shows what you own, and what you owe, and what’s left over
  • p. 6 — Income Statement: Direction of sales, profit, expenses, net income, left over money
  • p. 8 — Cash Flow Statement: What money comes in, what goes out, and what stays
  • p. 10 — Ratios: Help you identify strengths and weaknesses of your business

📌 Access the complete guide created by the TN Small Business Development Center here.